| Glossary Internet Design Terms |
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Discover the meaning of the abbreviations used in internet advertising such as CPM, CPC, ROI among others. Banner Ads- An online advertisement (either graphic or rich media) that appears on a Publishers web page and is usually hyperlinked to an advertisers web site. Click here to view the Interactive Advertising Bureau (IAB) Ad Standards & Creative Guidelines.
CPC- Cost per Click (CPC) is the online payment model by which advertisers pay for each click through made on their advertisement. This method gaurantees advertisers will get a user to see their page or website as a result of an advertisement.
CPL- Cost per lead (CPL) is a form of CPA advertising in which advertisers only pay for each actual lead or customer inquiry as a result of an advertisement. This is also known as Cost per Inquiry (CPI).
CPM- Cost per Mille (CPM) is the online payment model by which advertisers pay for every 1000 impressions of their advertisement. This method means that an advertiser pays a certain amount for every time their banner is displayed, and so is often used for branding purposes. The "M" in CPM is from the Roman numeral for 1000, M, which was derived from the latin word "mille".
CPS- Cost per Sale (CPS) is a form of CPA advertising in which advertisers only pay for each actual sale generated as a result of an advertisement. Payouts range from set fees to a percentage of the sale, and the length of time that a user buying a product after clicking on a publisher's advertisement varies from that session to 30 days (with the use of a cookie).
Creative- Used to describe the actual advertisement online, such as a GIF, JPG, PNG, or SWF banner. Click here to view the Interactive Advertising Bureau (IAB) Ad Standards & Creative Guidelines.
CTR- Click Through Rate (CTR) is the percentage of impressions that resulted in a click through. It is calculated by dividing the number of clicks by the number of impressions to determine the average (mean) CTR.
eCPM- Effect Cost per Mille (eCPM) is the average (mean) cost of 1000 impressions, taking into account CPA, CPC, and CPM campaigns. This is a good way for publishers to determine which campaigns are performing best in their rotation.
Impression- The number of times a banner ad was requested from the server and presumably seen by users. It is often hard to obtain an accurate impression count as they can be undercounted due to issues relating to cache or browser issues, or overcounted due to requests that were not completed.
Inventory- The number of ad spaces available for sale on a web site during a certain time frame. Determined buy taking into consideration the number of advertisements on a page, the number of pages with advertisements and the number of page views during a specific time frame.
Leaderboard- A banner advertisement (either graphic or rich media) that appears on the top of a web page and is usually hyperlinked to an advertisers web site. Click here to view the Interactive Advertising Bureau (IAB) Ad Standards & Creative Guidelines.
Pop Under- A type of advertisement that is automatically displayed in a second smaller browser window behind the current window apon loading or unloading a normal web page. Also known as Pop Behinds. Click here to view the Interactive Advertising Bureau (IAB) Ad Standards & Creative Guidelines.
Pop Up- A type of advertisement that is automatically displayed in a second smaller browser window apon loading or unloading a normal web page. Click here to view the Interactive Advertising Bureau (IAB) Ad Standards & Creative Guidelines.
Rich Media- A type of advertisement technology that often includes higher quality graphics, audio or video within the advertisement. Some popular types of rich media banners are created with HTML, Javascript, Shockwave & Flash (an SWF file). Click here to view the Interactive Advertising Bureau (IAB) Ad Standards & Creative Guidelines.
ROI- Return on investment (ROI) is the process used to determine whether the financial benefits from an expenditure, such as a advertising campaign, are above or below the amount of money spent on the campaign.
RON- Run of Network (RON) means an advertisement will appear on any site that is part of an advertising network. As RON buys are not targeted, they tend to be the least expensive type of advertisement that can be purchased.
Skyscraper- A banner advertisement (either graphic or rich media) that appears vertically on a web page and is usually hyperlinked to an advertisers web site. Click here to view the Interactive Advertising Bureau (IAB) Ad Standards & Creative Guidelines.
Sponsorship- A form of advertising in which an advertiser pays to sponsor a particular section of a web site for a certain period of time. It may take the form of the typical banner and/or text that mentions "this section sponsored by...".
Statistic- The records that an ad serving software keeps each time it serves an ad and the ad is clicked on. These statistics may be as simple as total impressions and click throughs or more detailed info such as browser types, geographical location, operating system and more.
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