War Room has created the Advertising Institute as a library of resources in the realm of digital advertising.
Table of Contents
Ad Recall Rate
Agency Trading Desk
AOR (Agency of Record)
A measurement of the direct impact your ads have on a shopper’s perception and behaviors toward a brand. This metric is calculated in a number of ways using post-exposure success metrics, such as brand awareness, and likelihood to purchase metrics.
The increase in effectiveness measurements (e.g., message recall) between respondents who did not view the ad and those who did.
The maximum amount of money you will spend on your advertising campaign.
A form of targeted advertising for advertisements appearing on websites, mobile browsers or other ad supported devices. The advertisements themselves are selected and served by automated systems based on the identity of the user and the content displayed.
CPA (Cost per Acquisition)
Stands for cost-per-acquisition, also known as cost per action, pay per acquisition (PPA) and cost per conversion, is the cost for a specified acquisition – for example a sale, click, page view or form submit.
CPC (Cost per Click)
Referring to the actual price you pay each time someone clicks your ad in a PPC campaign. This number is calculated by dividing the amount of money you spent on an ad divided by the number of clicks it received. Sponsored Products and Sponsored Brands are examples of cost-per-click ads, so you only pay when your ad receives clicks.
CPCV (Cost per Completed View)
Cost per Completed View; the price paid by an advertiser to the publisher once a video has been viewed through completion.
CPE (Cost per Engagement)
With the CPE bidding strategy, impressions are free and advertisers only pay when users actively engage with ads (ie: click, watch, roll-over, etc.).
CPI (Cost Per Install)
CPI, or Cost Per Install, is an advertising method that only charges advertisers each time their app is downloaded.
CPM technically stands for “cost per mille”. The average cost you pay to deliver 1,000 impressions of your ads. With the CPM bidding strategy, advertisers pay based on the number of impressions your ad receives.
CPV (Cost per View)
A bidding method where you pay for each time your video is played.
CRM (Customer Relationship Management)
CRM software is a category of software that covers a broad set of applications designed to help businesses manage many of the following business processes: customer data. customer interaction. access business information. automate sales. Examples include: Hubspot, Salesforce, Zoho and Insightly.
Technology or media that applies across multiple formats and across multiple devices. This is different from “cross-device”, which implies only multi-device application rather than multiple formats within devices.
CTR (Click-Through Rate)
Consumer Purchase Journey/ Consumer Decision Journey
A term that refers to the sum of experiences that shoppers go through when interacting with your company and brand. Instead of looking at just a part of a transaction or experience, the customer journey documents the full experience. You can map your advertising objectives to the stages of the journey, which are, typically: awareness, consideration, purchase or conversion, and loyalty.
An action that a customer completes; this phrase can be used to refer to any number of actions, including clicking “Add to Cart,” completing a purchase, etc.
DMP (Data Management Platform)
Data Management Platform; a “data warehouse” used to house and manage cookie IDs and to generate audience segments, which are then used to target specific users with online ads.
Traditionally used for television buying; a block of time that divides the day into segments for purchase, scheduling and delivery (e.g., primetime).
A unique piece of code assigned to an automated ad buy, used to match buyers and sellers individually, based on a variety of criteria negotiated beforehand.
A form of online advertising where an advertiser‘s message is shown on a web page, generally set off in a box at the top or bottom or to one side of the content of the page.
DMA (Designated Market Area)
Designated Market Area; as defined by Nielsen, DMAs divide the country into different regional markets by population centers (e.g., San Francisco Bay Area).
DMO (Destination Marketing Organization)
They represent destinations and help to develop their long-term travel and tourism strategy. DMOs come in various forms and have labels such as “Tourism Board,” “Convention and Visitors Bureau” and “Tourism Authority.”
DOOH (Digital Out-Of-Home Advertising)
DOOH stands for Digital Out-Of-Home advertising. It refers to “out-of-home” advertising – that is, ads that are marketed to consumers when they are “on the go”, such as in transit, in commercial locations, or in waiting areas.
Dynamic Search Ad (DSA)
DSP (Demand Side Platform)
Dynamic Ad Insertion
eCPM (Effective Cost per thousand)
GRP (Gross Rating Point)
Interactive In-App Pre-Roll
KPI (Key Performance Indicator)
MRC (Media Rating Council)
OTA (Online Travel Agency)
The opportunity for an HTML document to appear on a browser window as a direct result of a user’s interaction with a website.
PII (Personally Identifiable Information)
Personally Identifiable Information; digital information that can be used, on its own or together with other information, to track back actions to a specific, known individual.
A piece of code provided by a company that wishes to track the end-user’s behavior and identification (cookie) on a website.
The place where an advertisement appears. Examples include in shopping queries on Amazon, on Amazon devices (such as Fire TV or Fire tablet), and on third-party sites.
The streaming of a mobile advertising clip after a mobile TV/video clip. The mobile advert is usually 10-15 seconds.
A video advertisement that appears directly preceding an online video. Common formats include :15, :30 and :60 lengths.
A term used in the digital advertising industry which refers to the automated buying and selling of digital advertising inventory.
Programmatic Ad Buying
The use of software to purchase digital advertising, as opposed to the traditional process that involves RFPs, human negotiations and manual insertion orders.
An ad buy done directly between a publisher and advertiser through automated programmatic ad-buying systems.
A typical automated buy, similar to an open auction, in which relatively anyone can bid to buy ad space that is for sale.
PTV (Programmatic TV)
A technology that enables brands and agencies to buy TV ads programmatically – using software.
RTB (Real-Time Bidding)
The buying and selling of online ad impressions through real-time auctions that happen within milliseconds.
The total number of users who are shown the same ad on any web page or screen.
ROAS (Return on ad spend)
ROI (Return on investment)
A measure of how much net profit you earn for every dollar you spend. The standard calculation for ROI is (revenue – cost) / (cost).
Retargeting ads are a form of online targeting advertising and are served to people who have already visited your website or are a contact in your database (like a lead or customer).
RON (Run of Network)
Run-of-Network; the scheduling of Internet advertising whereby an ad network positions ads across the sites it represents at its own discretion.
ROS (Run of Site)
Run-of-Site; the scheduling of Internet advertising whereby ads run across an entire site, often at a lower cost to the advertiser than the purchase of specific site sub-sections.
Search Engine Results Page (SERP)
Search Engine Results Pages; the page presented to a user when they use a search engine like Google or Bing to search for something online by typing in a search query or keyword. SERPs offer two types of results: organic and paid results. Paid search ads are typically at the very top of the SERP, followed by organic posts. To rank high for organic search results, websites need to work on Search Engine Optimization (SEO).
Search Engine Optimization (SEO)
Search Engine Optimization; the process of improving a website to rank higher on a Search Engine Results Page (SERP). Search engines (Google, Bing, Yahoo, etc.) have unique algorithms that rank web pages’ based on quality, relevancy, and other factors. Good SEO means your website is more likely to appear higher on the SERP.
When a company makes its first-party data directly available to another company, which then uses it to sell ads.
The percentage of ad inventory sold as opposed to traded or bartered.
An electronic device that connects to a TV providing connectivity to the Internet, game consoles or cable systems.
SOV (Share of Voice)
An ad revenue model that focuses on weight or percentage among other advertisers; used to represent the relative portion of ad inventory available to a single advertiser within a defined market over a specified time period.
In-stream video ads that allow viewers to skip ahead to non-advertisement video content after playing for a few seconds.
A tall, thin online ad unit defined by the IAB as one of two sizes: 120×600 and 160×600.
SSP (Supply-Side Platform)
Supply-Side Platform; software used to sell advertising in an automated fashion.
In-stream video ads that play before video content.
Digital advertising services use a variety of ways to match ads with potential customers based on interests. Examples include relevant shopping queries or purchases of related products.
The intended audience for an ad, usually defined in terms of specific demographics (age, gender) and psychographics (interests, behaviors).
Third-Party Ad Server
Independent outsourced companies that specialize in managing, maintaining, serving, tracking, and analyzing the results of online ad campaigns.
Information that an established data company collects indirectly or aggregates from others and then sells to ad buyers.
Unique User/Device ID
Sometimes called UDID; identifier assigned to a device or user that lasts until the device is reset or the account is deleted.
VAST (Video Ad Serving Template)
Video Ad Serving Template; a universal XML schema for serving ads to digital video players.
vCPM (Viewable Cost-per-thousand-impressions)
Viewable CPM; cost per thousand viewable ads served – a simple calculation for vCPM = CPM / viewability rate.
Viewability is a metric that addresses an ad’s opportunity to be seen by a viewer.
When a video is viewable at the end of ad play.
As defined by the Media Ratings Council, a viewable video impression is one where 50% of a video player’s pixels are in view in an active browser tab for any two consecutive seconds.
VPAID (Video Player Ad-Serving Interface Definition)
Video Player Ad-Serving Interface Definition; allows a rich interactive user experience with in stream video ads.
VTR (View-Through Rate)
View-Through Rate; measurement of how many people saw an ad and eventually visited the advertiser’s site.
The percentage of clicks vs. impressions on an ad within a specific page. Also called “ad click rate.”
Yield and Revenue Management is the process of understanding, anticipating and influencing advertiser and consumer behavior in order to maximize profits through better selling, pricing, packaging and inventory management while delivering value to advertisers and site users.