Digital marketing can be a confusing space, but it doesn’t need to be. The digital space changes rapidly and it can sometimes be hard to keep up. Especially when there are so many three-letter-acronyms.
With so many new terms and abbreviations out there, we thought it would be a good idea to provide you with the most important ones.
Display Ad: A display ad is a form of online paid advertising that is typically a designed image with the promotion and is taken to the corresponding landing page. Display ads function differently than text ads as they aren’t found in the search results. They can be spotted through media sites or sites offering some type of display ad network.
CPM: Cost per mille (CPM), also called cost % and cost per thousand (CPT), is a commonly used measurement in online advertising. It is used as a benchmark to calculate the relative value of an advertising campaign.
CTR: Click-through rate (CTR) is a way of measuring the success of an online advertising campaign for a particular website as well as the effectiveness of an email campaign by the number of users that clicked on a specific link.
DSP: A demand-side platform (DSP) is a system that allows buyers of digital advertising inventory to manage multiple ad exchange and data exchange accounts through one interface.
Ad Exchange: Ad exchanges are technology platforms that facilitate the bidded buying and selling of online media advertising inventory from multiple ad networks.
RTB: Real-time bidding (RTB) refers to the means by which ad inventory is bought and sold on a per-impression basis, via instantaneous programmatic auction, similar to financial markets.