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Glossary

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Ad Networks: Ad networks are platforms that connect advertisers with publishers who have unused ad space on their websites. Ad networks help to increase the reach of an advertiser’s message by placing their ads on websites where they might not otherwise be seen.

Affiliate networks: Affiliate networks are platforms that connect merchants with affiliate marketers who agree to promote their products or services. Affiliate networks help to increase the visibility of a merchant’s products or services by placing them on websites where they might not otherwise be seen.

Aggregation: Data aggregation is the process of summarising data collected from multiple sources and presenting the data in an easy-to-understand format. Measurements such as totals, averages and percentages are often used in aggregation.

ACoS: ACoS, or Advertising Cost of Sale, is a metric that measures the amount you spend on advertising for each sale generated. A higher ACoS indicates that you are spending more on advertising than you are making in sales, while a lower ACoS means that your ad spend is generating more sales.

ATL Marketing: Above-the-Line marketing is all about luring a wide audience and providing them with information about your brand. ATL marketing is not targeted. Conversions from Above the Line customers are less important than enhancing brand awareness. Examples include TV ads, radio ads, billboards and magazine ads.

AOV: Average Order Value is the average amount spent per order. This metric can be used to measure how much each customer spends on average when they make a purchase from your store.

AVBs: Media buying agencies sometimes collect undisclosed rebates – also known as agency volume bonuses (AVBs) – from media owners. This is usually a cash incentive or volume discount that is offered to these agencies in exchange for higher spending on certain media properties such as radio, tv or print adverts.

Bounce Rates: Bounce rates on a website refer to website visitors only visiting a single page on the website and then exiting the site. It doesn’t take into consideration time spent on a page, only single page views in a session.

BTL Marketing: : Below-The-Line marketing gets your message to the people who need it most. It’s very targeted, and customers will never forget the message after receiving it. BTL is also known as direct marketing, which focuses on conversions rather than building the brand. Examples include direct mail, sponsorships, brand activations and point-of-sale marketing.

CTA: A Call To Action prompts your target audience to take a specific action such as add to cart, sign up or download an app. A CTA is often presented as a clickable button.

CCPA: This stands for California Consumer Protection Act which came into force in 2018. It gives individuals more control over the information that businesses can collect about them. If you are targeting audiences in the USA, you will need to ensure you are CCPA compliant.

CPM: This stands for Cost Per Mile, sometimes referred to as Cost per Thousand, and refers to a metric used to measure the cost of an advertising campaign per 1000 impressions.

CPL: Cost Per Lead (CPL) is an advertising metric that measures the cost of generating a lead. A lead is defined as a potential customer who has shown interest in your product or service.

CTR: CTR refers to the Click Through Rate of a paid advertising campaign, in other words, what percentage of people who are served the ad actually click through to the landing page.

Conversions: Ad conversions are the number or percentage of people who are served an ad and take the desired action the ad set out to achieve such as app downloads, making a purchase or filling in a contact form.

Data Lifecycle Management: This is an organisation’s policy with regard to how it collects, stores, uses and destroys data. A DLM policy keeps data secure, ensures data integrity and makes relevant data readily available.

DXP: This refers to a Digital Experience Platform that helps you manage various digital touchpoints to create a seamless and consistent experience for the end user.

DAM: Digital Asset Management Software is a central storage location for the digital assets belonging to a brand such as images, videos and other digital media files.

FTE: Short for Full Time Equivalent, the FTE is used to determine whether the marketing budget allocated to an agency would exceed the cost of hiring a full-time employee to perform the same tasks.

GDPR stands for General Data Protection Regulations which is a set of data privacy laws that came into force in May 2018. Should you fail to comply with the regulations, you can be fined up to 20 million Euros.

Gross Profit: Gross Profit is the amount of money left over after all expenses have been paid. This number can be used to measure how efficient a company is at generating profit from its sales.

Hagakure Campaigns: The Hagakure approach is a new method of structuring and optimising Google campaigns with simplified configuration and automation strategies.

K-clustering algorithm: Type of clustering algorithm that groups data into different sets, where “k” is the number of customer segments.

KPI: Key performance indicators (KPIs) are measurable values that help a company determine whether they are achieving key objectives. They can also be used to measure employee performance, identify company risks and opportunities, track budget spend, and monitor the expenditure of resources.

Multi-Touchpoint Attribution: Multi-touch attribution is a marketing effectiveness measurement technique that assigns credit to each interaction with a consumer on the journey to purchase so that marketers can see how they influence sales.

Market Cannabilisation Effect: Market cannibalization is a risk when introducing a new product into the marketplace. When one of our current products is consistently outselling all the others, it always has a downside. The new product can, at times, cannibalize sales from other established products. This leads to no increase in market share for the company despite an increase in sales for the newer product.

Malus: Malus scheme is a type of remuneration model that allows an employer to deny payment or request a refund should the agency not deliver on its objectives as a way to incentivise the agency to perform.

NoSQL Database: NoSQL database is a non-relational database that does not store data in tables. NoSQL databases are often used for handling large amounts of unstructured data, such as documents, images or video files.

OTT: Over The Top ads are also sometimes referred to as streaming tv ads. They are the ads which appear before, during or after a series or movie on a streaming service like Netflix or Hulu.

Performance Max: Google Performance Max ads combine several ad formats into one, making it easier to generate ads in one go across many channels.

Pitch Fee: Agreed upon amount paid to all agencies who submit a media pitch to compensate them for their time. The amount should be the same for every agency.

PPC: Refers to Pay Per Click advertising on platforms such as Google, Facebook, Instagram, LinkedIn and similar platforms.

RSLA: Remarketing lists for search ads (RSLAs) are a way to target and retarget people who have previously searched for or interacted with your business online. RSLAs allow you to create custom audiences based on past website visitors and build remarketing campaigns tailored specifically to those users. These campaigns can help you increase brand awareness, generate more leads, and ultimately drive sales.

ROI: Short for Return on Investment, ROI measures how much the company receives in sales, winning new business or generating leads in comparison to its investment in marketing. It is also referred to as MROI (marketing return on investment) or ROMI (return on marketing investment).

SQL Database: An SQL database is a structured, relational database that stores data in tables with rows and columns. The data in an SQL database can be queried and manipulated using the Structured Query Language (SQL).

SLA: An SLA is a “Service Level Agreement” which is entered into between a contractor/vendor (such as a media agency or technology company) and a business. It lays out objectives, expectations and other important information and is a legally binding contract between both parties.

Sandbox environment: A sandbox environment is a term often used by developers in the techscape to describe a testing environment. A developer will create a sandbox environment to test website functionality, an app or implementation of a new tool to determine whether it works before going live. This way, any potential roadblocks, such as the site crashing, are addressed prior to implementation.

Total Revenue: Total amount of money generated from sales, before any expenses are deducted.

TTL Marketing: Marketing campaigns involve both above-the-line and below-the-line techniques. They refer to 360-degree advertising where both brand building and conversion rates are accounted for. Sometimes ATL-based strategies are used to execute direct marketing strategies. Examples include digital marketing tactics such as social media marketing and online advertising.