iSOCRATES MADTech Glossary of Terms
MADTech is the convergence of Marketing Technology, Advertising Technology and Data Technology(which includes Analytics). MADTech is a large and growing global industry that combines automation, artificial intelligence, real-time auction-based electronic trading, other new and emerging technologies and processes, and specialized skills and capabilities to achieve incremental effectiveness and efficiency in an increasingly complex and fast-moving world. The MADTech industry is composed of publishers, marketers, agencies and consultancies, and their data and tech enablers.
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iSOCRATES MADTech Glossary of Terms
1st Party Data
Customer, prospect or digital audience Information compiled and owned by a publisher or marketer which can be compiled explicitly (i.e., signing up for an email list, filling out a form or survey, etc.) or implicitly (i.e., information about past web surfing habits, site visits, etc.). A “truth” set. Likely your best data source.
2nd Party Data
3rd Party Data
The execution of the marketing mix as part of the marketing process. The activation phase typically comes after the strategy and planning phases during which managers plan their marketing activities and is followed by feedback and optimization phases in which results are evaluated with media and marketing analytics.
When an open slot of ad space is available on the Internet, a user’s browser sends requests to ad exchanges or ad servers to send an ad. This request is known as an ad call. Ad calls include information from browser cookies and ad tag information such as publisher ID, size, location, referring URL, and other specifications and data needed for the ad to serve.
How well advertising accomplishes what the marketer intends. Companies use many different statistics or metrics to measure their advertising effectiveness. A company’s advertising effectiveness usually increases over time with repeated exposures of sequenced, relevant messages, but ad effectiveness in any one media channel typically declines over time. Certain advertising objectives can be realized using measurable techniques including: reach, frequency, brand awareness, consideration, intent, purchases, and loyalty.
The technology and service that places advertisements on websites and mobile properties. Ad serving technology companies provide software to publishers and advertisers to serve ads, count them, help choose the ads that will make the website or advertiser the most money, and monitor the progress of different advertising campaigns.
Content settings. You can also style every aspect of this content in the module Design settings and even apply custom CSS to this text in the module Advanced settings.
A single unit of ad space.
Ads.txt stands for Authorised Digital Sellers and allows publishers to add a text file to their servers, which are then integrated into MADTech platforms. This helps publishers clearly communicate who is authorised to sell their inventory, adding additional layers of transparency for MADTech buyers.
Advertising Cost of Sales (ACoS)
A tool used for serving paid digital advertisements to target audiences. Different platforms allow marketers to place ads on different websites with varying measures of control.
Advertising Technology (AdTech)
Agency Trading Desk (ATD)
Amazon Advertising Strategy
Artificial Intelligence (AI)
Consumer data that is provided by a first-party such as a publisher or a DMP or other third-party data sources. This term is frequently used in reference to an advertiser’s own retargeting list or to data coming directly from a publisher, which is available at the moment an ad impression is made available. First-party data is generated when a cookie is placed on a website by the owner (publisher) so that the owner can recognize return visitors to the website. Third-party data is generated when a cookie is placed on a website by a third-party, such as an ad server or data provider. Information from these cookies is collected and can be used to place users in one or more segments, based on their online activity. These cookies are used to target advertisements and segment audiences.
A process which extends digital audiences beyond a publisher’s owned and operated ad inventory allowing advertisers to reach the same people, devices and/or households elsewhere. Audience extension typically leads to higher conversion rates and a more efficient ad spend by increasing reach and frequency for the advertiser while increasing revenue for the publisher.
A banner is an advertisement in the form of a graphic image that typically runs across a web page or is positioned in a margin or other space reserved for ads. In addition to adhering to size, many websites limit the size of the file to a certain number of bytes so that the file will display quickly.
The tendency of Web visitors to ignore display ads when consuming content online, leading to low click rates, visibility for advertisers and revenue for publishers.
The auction component of the buying algorithm that places bids on ad impressions.
A list of domains or apps that a buyer does not want to buy ad space on.
A distributed collection of computers running bots, typically home computers infected with malware. The distributed nature of the activity makes it harder to single out.
A set of practices and technical tools that ensure the advertiser’s brand is not damaged as a result of the improper or inappropriate placement of ads.
Call to Action
A phrase included within an ad, or a graphic element such as a button, which invites the audience to take a certain action. Examples include phrases such as Click to Read More, Download Your Free eBook Now, or Click Here.
A specific marketing initiative run by an advertiser, identified by a time period and a specific objective or message.
Visuals like charts, graphs and tables that provide a snapshot of media and marketing campaign performance at a point in time so executives can spot problems, or identify marketplace opportunities, and optimize appropriately.
Campaign optimization saves time and money while helping marketers achieve and improve upon media and marketing objectives by efficiently collecting the necessary data to analyze marketing campaigns and make informed data-driven business decisions. Campaign analysis helps marketers to reduce waste but can also provide the marketer with insight into maximizing the lifetime value of a customer over time. The campaign analysis and optimization process can be divided into two major categories: a) Harvesting Low Hanging Fruit: areas in need of improvement that are relatively easy to identify and provide quick and effective results; and, b) Long Term Optimization: the process of continual optimization over time and includes improving the customer’s overall lifetime value.
A piece of legislation passed in 2003 that governs the sending of marketing emails.
An advertising channel is any application on a digital device (e.g. web browser, gaming app, email, social, video player, and more) on which companies market products and services. The amount of channels available to marketers has grown enormously with the advancement of digital devices to embellish traditional media advertising.
A third-party organization or individual that markets and sells products, services or technologies for a manufacturer or service provider via a partnering relationship.
A click is “when a visitor interacts with an advertisement.” This does not apparently mean simply interacting with a rich media ad, but actually clicking on it so that the visitor is headed toward the advertiser’s destination. (It also does not mean that the visitor actually waits to fully arrive at the destination, but just that the visitor started going there.)
These are clicks that are generated falsely, either by humans or artificially with the intent to creating a click on a search engine listing or text ad, forcing the advertiser to pay even though the click is not real. Search engines have measures to try and prevent this. Indicators of click fraud are a spike in clicks and can be monitored by collecting log file and visitor data.
Click-Through Rate (CTR)
This is the number of click throughs received by an ad divided by the number of ad impressions. This is a key performance indicator for ads.
A recorded path of the pages a user requested in going through one or more websites. Click stream information can help website owners understand how visitors are using their site and which pages are getting the most use. It can help advertisers understand how users get to the client’s pages, what pages they look at, and how they go about ordering a product.
Consumer Data Platform (CDP)
A marketer- or publisher-managed system that creates a persistent, unified customer database that is accessible to other systems. This structured data is then made available to other marketing systems.
Content Delivery Network (CDN)
A CDN delivers static content, such as creative image or flash files. Usually, CDN providers have servers across the globe configured to deliver content as quickly as possible, which is why it’s typical for ad servers to rely on them.
Content Management System (CMS)
This technology allows website owners to make text and picture changes to their websites without specialized programming knowledge of software like Adobe Dreamweaver or Microsoft FrontPage. Content Management Systems can be edited by anyone with basic word knowledge via an internet connection. No need for length or costly web development contracts or need to wait on someone outside your company to make changes. CMS examples include WordPress, Drupal, and Joomla.
Content marketing is the publication of material designed to promote a brand, usually through a more oblique and subtle approach than that of traditional push advertising. The essence of good content marketing is that it offers something the viewer wants, such as information or entertainment.
Contextual Targeting (see Semantic Targeting)
A form of automated, targeted advertising based upon page/view-level content displayed to audiences on sites and in mobile browsers.
An event showing a user has become a customer of the advertiser. The conversion event can be defined by various of actions, such as a successful page landing, a registration on the advertiser’s website, an email subscription, making a deposit, a product purchase etc.
A 1×1 image or js pixel placed on a web page (such as a thank-you page) which is triggered whenever a conversion occurs. Usually transparent.
A small text file on the user’s desktop computer that identifies the user’s browser so that they are recognized when they re-visit a site or go elsewhere online.
Cookie-less targeting refers to a number of non-cookie based methods that can be used for targeting in cases where cookies may not work.
The process of matching the user ids from one system to another. This allows SSPs and DSPs to identify the same browser for the purpose of re-targeting browsers through the ad exchanges.
Cost per Acquisition (CPA)
The advertiser pays according to each ‘action’ attributed to the campaign or evaluates it according to the resulting CPA.
Cost Per Click (CPC)
The advertisers pay according to the number of clicks attributed to a campaign.
Cost Per Install
Cost Per Lead (CPL)
Cost per Thousand (CPM)
In digital advertising, CPM is an estimate of the price or cost per 1,000 views of an ad. It is a useful measure for calculating the relative cost of an advertising campaign or for comparing different marketing channels for the campaign.
Cost per Video (CPV)
The CPV price is the amount that gets paid when a video ad is played. In general, the video doesn’t have to be watched the whole way through to cause a payout – just started. In some video advertising models this price is also paid when someone clicks on a video ad.
A model that allows advertisers to pay only when ad is watched for a pre-determined amount of time, such as 30 seconds.
Similar to an ad tag, this is a snippet of code that gives the location of the creative, which is usually a content delivery network (CDN) or an ad server.
Utilizing different channels at one time. One can assume that campaigns targeting email, mobile, and online users are performing cross-channel tactics.
Involving multiple screens—those of laptops, tablets, phones, desktop computers or TVs. Marketers are trying to understand when their messages reach consumers on different devices throughout the day, identifying users accurately as they switch screens. Cross-device data lets marketers avoid repeating messages to the same person on different screens more than they want to, among other things.
Customer Data Platform (CDP)
Customer Relationship Management (CRM)
Structured or unstructured, data is made up of values of qualitative or quantitative variables belonging to a set of items.
Data Clean Room
A data clean room is a technology service that helps content platforms keep first person user data private when interacting with advertising providers.
A storage repository that holds a vast amount of raw data in its native format until it is needed. While a hierarchical data warehouse stores data in files or folders, a data lake uses a flat architecture to store data. Each data element in a lake is assigned a unique identifier and tagged with a set of extended metadata tags.
Data Management Platform (DMP)
Technology that provides a publisher, marketer, agency, or trading desk with a single integrated view of enterprise, campaign and audience data, helping with targeting, overall management, and analysis of data.
Data on-boarding, also known as ‘data on-ramping’ facilitates the transfer of data gathered offline to an online database. It is used to connect offline customer records with online users through matching technology. Data on-boarding enables an individual to leverage accurate customer data as a result of their marketing campaign. By identifying information from offline datasets we are able to gather those same customers online.
Data providers source various types of data including audience descriptions and identity, market intelligence, audience intention, and publisher performance data. This data is then collated and packaged to sell to companies such as demand-side platforms and trading desks. Brought together in a DMP, the 3rd party data compliments 1st party data, which is owned and generated by a marketer, agency, or trading desk. Data allows for smarter targeting and analysis, including bidding in ad auctions.
Data science incorporates and builds on techniques and theories from many fields, including math, statistics, data engineering, pattern recognition and learning, advanced computing, visualization, uncertainty modeling, data warehousing, and high-performance computing with the goal of extracting meaning from data and creating data products.
Serving ads at different times of the day and days of the week, or even changing bids or copy / creative at different times. For example, you may not want your ads to show from 11AM-2PM on Tuesdays. This can be done manually in most online platforms, or automatically in some such as Google AdWords. Automated day parting is not currently available directly through many social media advertising platforms such as Facebook ads and LinkedIn direct ads.
A deal ID is a piece of code that is used as the unique ID number to identify a pre-negotiated deal between a buyer and a seller in an automated buy. The deal ID is typically generated by the platform through which the deal will be executed. The ID itself doesn’t include any details of the deal (content, data packages or price floors.) The details of the deals are stored in the platform where the ID was generated.
A creative that runs as a backup in an open Internet ad space, in the case that no other creatives are available. A default creative can be a literal creative, say an in-house ad, or it can be a redirect in the form of a third-party ad tag to a third-party ad server. A default creative may also be called a “reserve creative”.
Demand Path Optimization
Publishers optimizing the path from supply-side platforms (SSPs), exchanges and ad networks to trade desks, demand-side platforms (DSPs) and brands that have taken their buying in-house.
Demand-Side Platform (DSP)
Technology that enables a marketer to utilize a single interface to perform MADTech and Real-Time Bidding media buying. A DSP allows the marketer to manage bidding on and buying ad inventory and data across multiple ad exchanges, ad market-places, and data provider accounts.
Demographics is data about the size and characteristics of a population or audience (for example, gender, age group, income group, purchasing history, personal preferences, and so forth).
Data that can accurately identify a consumer for targeting ads, such as a visitor’s login information for a website. Other deterministic data points are credit cards, phone numbers and addresses. (See “Probabilistic”)
Digital Marketing Funnel
How companies attract and retain clients through search marketing. The six stages of the digital marketing funnel are: Exposure- Done through SEO and Ads; Discovery- When a potential customer clicks through your site to learn more about you, your product, and service; Consideration- Potential customer considers purchasing your product; Conversion- Potential customer buys something, or completes an actionable item on your site, turning them into an actual customer; Customer Relationship- Maintain a good relationship with your client base through engagement, communication, and customer service; Retention- Creating value for customers that they do not receive from competitors is crucial. By creating value, maintaining excellent service and user experience, customers often return or stay.
A traditional insertion order-based ad campaign delivered programmatically, but bought and sold between humans with very specific advertiser goals, such as a product purchase, level of brand awareness, store foot traffic, the creation of a new customer account, etc.
A type of display ad campaign with very specific advertiser goals, such as the creation of a new account.
Interactive banner ads or rich media typically containing color, graphics, and pictures created by the advertiser, publisher or by others on their behalf.
Designated Market Area. DMAs cover a metropolitan area, in some cases grouping together multiple smaller cities.
Many advertisers wish to show different ads to different customers; for example, an advertiser might wish to show rain gear to people who live in rainy climates and sunblock to those who live in sunny climates. Dynamic creative refers to having a few different creatives and choosing the most appropriate one for the user through some automated means such as audience segmentation or based on frequency and recency. Many platforms have rules about how much creatives can vary within the same placement – for example, there may be limitations on rotating brands.
The price at which inventory during a real time bid instead of a fixed, negotiated price between an advertiser and publisher.
Email Service Provider (ESP)
A company that offers bulk email deliverability and services. An ESP makes it possible to send out mass amounts of emails at once without the possibility of getting blocked.
A measure of how consumers interact with ads with regard to their involvement.
The act of creating and serving an ad. It can refer to the ad itself or the campaign as a whole.
The concept of showing a user an ad.
FAST is a coalition of the Internet Advertising Bureau (IAB), the ANA, and the ARF that has recommended or is working on guidelines for consumer privacy, ad models and creative formats, audience and ad impression measurement, and a standard reporting template together with a standard insertion order. FAST originated with Proctor and Gamble’s Future of Advertising Stakeholders Summit in August 1998. FAST’s first guideline, available in March 1999, was a guideline on “Basic Advertising Measures.” Our definitions in this list include the FAST definitions for impression and click.
The first bid for a publisher’s request or ask for bid in a sequenced MADTech auction. For example, once an advertiser has identified the audience to target, they will seek a “First Look” at a publisher’s audience. A “First Look” provides the advertiser with the best opportunity to bid upon and win the auction to place their advertisement in front of the target audience. To achieve this First Look position the advertiser must be bidding on inventory from a publisher with an integration that includes a Header Bidding Vender’s tag in the header of every publisher’s page PLUS an Ad Server connection with API access PLUS an OMS connection with API access (if API is available). This integration will allow media buyers using a MADTech buy side utility (or DSP) first look access to their target audience.
An attribution model in which gives credit for the first impression a user saw. This may be used as an alternative to the last view/last click model, which gives credit for the last viewed or clicked ad.
The lifetime of a campaign, from its start date to its end date. A campaign can also have no flight dates and continue indefinitely. A campaign that is active is said to be “in flight”.
The number of times individuals, devices or households in the target audience is exposed to a specific advertising message/ad unit. Usually it takes three or more exposures to an advertising message before impact can be measured. Frequency of exposure per audience identity should be capped to avoid wasteful spending.
The practice of targeting users based on their geographic location.
Global Leader in MADTech Resource Planning and Execution
The definition, scheduling, segmentation, valuation, purchase/sale, monetization, delivery, tracking, optimization, and payment/collection of paid, owned and earned media and marketing-related data & campaigns. When specified and deployed correctly and supported by the right resources organized optimally, these tools and processes offer participants in the industry value chain (media companies, agencies, marketers and their suppliers) greater efficiency and effectiveness improving the likelihood of achieving their business goals and objectives.
A program in which enterprises can display Google advertisements on Web sites and earn revenue from hits that generate traffic for the Google search engines.
Google’s paid search marketing program, the largest such program in the world and in most countries with notable exceptions such as China (Baidu) and Russia (Yandex). Introduced in 2001, AdWords was the first pay per click provider offering the concept of Quality Score, factoring search relevancy (via click-through rate) in along with bid to determine ad position.
A MADTech transaction in which the publisher promises to deliver a specific audience (e.g., in-market Ford truck buyers, cricket enthusiasts) or outcome (e.g., engagement, leads).
Header Bidding, also known as advance bidding or pre-bidding, is an advanced MADTech technique wherein publishers offer inventory to multiple buyers including retargeters, market makers, and ad exchanges simultaneously (as opposed to sequentially as in “waterfall” mediation) before making calls to their ad servers.
A visual representation of user activity such as clicks and eye focus on a website.
High-Frequency Trading (HFT)
A machine-to-machine program trading platform that uses computers to transact a large number of orders at fast speeds. High-frequency trading uses complex algorithms to analyze multiple markets and execute orders based on market conditions. Typically, the traders with the best models, lowest transaction costs, and fastest execution speeds are most successful. It is estimated that the majority of all securities and commodities exchange volume comes from high-frequency trading orders. A high-frequency trading process typically takes place in milliseconds or less and results in greater liquidity, cost savings efficiency for the buyer, and often higher eCPMs and/or better monetization for the seller.
An area of an ad unit, which when rolled-over/rolled-on by the user’s cursor, such rollover triggers and event (i.e. expand ad).
Display ads promoting a product or service sold or provided by the publisher of the website on which it appears.
An acronym for Hypertext Markup language, version 5. HTML5 extends earlier versions to include tags for processing video, audio, canvas, and other embedded audio and video items without requiring proprietary plugins and APIs. HTML5 has been used as an alternative to developing and executing interactions similar to those using Adobe Flash but with very different technology.
The term used to describe a very specific area and/or demographic. Targeting a hyper-local area is another way to narrow down your target market.
An HTML iframe tag tells the browser to open a mini browser window of a specified size inside the current window. This way the ad content cannot expand beyond the size specified and “take over” the screen.
Interest-based advertising – which is also sometimes called ‘online behavioral advertising’ – uses information gathered about a site user’s visits over time and across different websites or applications in order to help predict preferences and show ads that are more likely to be of interest to you.
A value assigned to a particular user or device and is used to assist in ad serving functionality. The identifier contains no personally identifiable information, can be reset by the user at any time, and respects user options to limit or opt out of ad tracking. Identifiers are used for audience list targeting, frequency capping, and sequential creative rotation. Examples of identifiers are cookies (used on web and mobile web), mobile advertising IDs (used within mobile apps) and publisher provided identifiers (PPID, used for cross screen serving).
A database that houses all the known identifiers that correlate with individual customers.
Clickable regions on images that make links more visually appealing and websites more interesting. Image maps enable spiders to “read” this material.
Impression/ Ad Impression
This is the main way in which the success of an ad is measured. This is determined by the size, type, placement and context of the ad. It is also important to note that the number of ‘viewable’ impressions determines its performance.
Distinguished from spoofing by using technical measures to make an impression appear to be something it is not. Most commonly, this involves creating a shell website such as “diychef.com”, which appears to be a cooking blog, hosting a simple web page on that domain containing nothing but an ad unit, and using an IFRAME to load that web page on an unrelated website (such as piracy site “primewire.ag”). Simple automated identification of the domain of the ad will read “diyched.com”, which is technically the domain the ad is serving on, but is misleading as it is actually loaded into another site.
Loading multiple ad units on top of each other. So, while only one has any possibility of being seen, multiple impressions are generated and charged.
A type of creative played in a standard banner rather than in a video player. Any banner placement may accommodate an in-banner video creative, if allowed by the publisher.
Video ads played before, during or after the video content the publisher is delivering to the consumer.
Independent Media Trader (IMT)
Arms-length buyer and seller of advertising inventory offering execution services on behalf of publishers, marketers and/or agencies, and networks. The IMT may or may not offer additional services to buyers and sellers. The media trader may trade on its own behalf and may or may not bear risk as principal. Less common, the independent media trader may also trade continuously in specific market segments as a Market Maker. In its role as Market Maker, the IMT may or may not have special privileges and/or responsibilities granted to it by the publisher, ad exchange, and/or audience or contextual data supplier.
Insertion Order (IO)
A contract, usually between the website or agency and advertiser that details the specifications of an ad campaign and includes terms of payment, etc.
Internet Advertising Bureau (IAB)
An organization that fosters the growth of advertising on the Internet. Membership is available to corporations engaged in selling, measuring, monitoring or producing advertising on the Internet.
An interstitial (something “in between”) is a page that is inserted in the normal flow of editorial content structure on a Web site for the purpose of advertising or promotion. It can be more or less intrusive and the reaction of viewers usually depends on how welcome or entertaining the message is.
A type of inventory that is unreserved, has auction-based pricing and incorporates a one seller-to-few buyers type of participation. Other terms used in the market to describe Invitation-Only Auction digital media inventory are: Private Marketplace, Private Auction, Closed Auction and Private Access. Prioritization in the ad server, the Deal ID, Data usage, Transparency to buyer and pricing floors are other things to consider as an impact to Invitation-Only Auction Digital Media Inventory.
Just-in-Time is a production and workflow strategy that seeks to improve return on investment by reducing in-process inventory, financial capital and associated carrying costs.
Key Performance Indicator (KPI)
A certain quantitative measurement of advertising performance, such as an impression number, click number, conversion number, CPM, eCPC, eCPA, CTR etc.
The first page a person sees when coming to your website from an advertisement. This page can be any page on your website including your home page. Almost anytime you direct someone to your website from an advertisement, you should send them to a specialized landing page with tailored information to increase your landing page conversion rate. Radio advertisements are a notable exception as spelling out specific URL‘s can be time consuming and difficult to remember. Direct Online Marketing™ has extensive experience in creating, testing, and modifying landing page conversion rates to give your business the highest quality, least expensive, most cost-effective leads possible.
A type of attribution model that pays out on the last impression that was clicked on by the user. This may be used as an alternative to the first touch model, which gives credit for the first impression a user saw.
A type of attribution model that pays out on the last impression that was viewed by the user. This may be used as an alternative to the first touch model, which gives credit for the first impression a user saw.
A web monetization strategy that involves collecting contact and demographic information about a site’s visitors and selling to lead aggregators or other companies.
One of the most common display ad units, usually seen in dimensions of 728 pixels wide by 90 pixels high.
In the context of yield management this is the percentage by which an ad was optimized. It is calculated by finding the percentage difference between the optimized group and the control group.
Lifetime Value (LTV)
Advertising assets become liquid when they can be bought and sold (crossed) easily.
A method for targeting ads to customers based on their vicinity or location. Targeting techniques can encompass a variety of data including geolocation, contextual element of media, user preferences, and more.
Look - A like Percentage
Look - A like Targeting
When a target-audience is built using the attributes of a specific customer profile in order to find other users with the same interests.
Convergence of marketing technology plus advertising technology plus data technology.
Unified data and analytics MADTechBI is the unified data and business intelligence platform purpose-built for both MarTech and AdTech to serve the supply-side and demand-side including B2C and B2B publishers, marketers, agencies, and their enablers.
MADTech Direct is a way to automate direct ad buys for set campaigns. MADTech Direct is the transactional methodology of automated direct sale of guaranteed advertising between advertiser and publisher.
A one-to-one sale with fixed pricing and reserved inventory that is processed automatically. An automated transaction that takes place in the context of OpenRTB. Publishers that make guaranteed deals and sell utilizing MADTech auction technology such as deal IDs are, in effect, selling through MADTech guaranteed. When this occurs, publishers and buyers negotiate a fixed price for reserved inventory, with the publisher linking the deal to said inventory in the RTB platform. The transaction is processed with a solution that was initially designed for real time bidding, but that has been pushed to its limits to support “direct sales”. To complete such a sale, the publisher needs a holistic view of both direct commitments and MADTech sales. Therefore, this type of transaction is limited to platforms like Smart RTB+.
MADTech media buying best practices and technology originally developed for computerized buying of online display advertising can be applied beyond display advertising or even beyond paid media to embrace all digital marketing activities. MADTech marketing is about data and algorithmically-driven targeting and campaign management being applied integrated across all paid, earned, and owned digital marketing activity. Know more here
MADTech Media Buying
Automated buying and selling of digital media using disparate data and typically algorithmically-driven trading systems with direct access to publisher ad servers, ad exchanges, supply side platforms, demand side platforms, trading desks and other auction-based electronic marketplaces, sellers and buyers. MADTech trading can be real-time or forward bought. Know more here
MADTech Shopper Hub
A data, analytics and activation platform that combines disparate sources of shopper Personally Identifiable Information(PII) like names, emails, postals, purchases and non-Personally Identifiable Information(non-PII) like cookies and mobile device IDs with media like ad inventory and email. The MADTech Shopper Hub applies its proprietary unified Shopper ID such that the publisher can offer fully integrated the client targeting, activation, measurement, optimization, and reporting.
Outsourced execution and support on behalf of publishers, marketers and/or agencies. These services may include: administration; technologies and related support services; monetization; data, analysis and reporting; and business development and marketing.
A class of media for sale in a marketplace expected to transact at a set future date for a set future price and volume for a defined audience via a MADTech auction. A futures market for digital media would invite industry players and speculators to bet, through online exchanges, on the future price of media inventory. Ad sellers could lock in sales further out, while buyers could lock in prices on inventory that they expect to become more expensive.
A document used primarily by ad sales professionals to concisely summarize the audience and advertising options for a website.
Media Market Maker (a/k/a Independent Media Trader)
A new form of independent media agency/media trading desk that may or may not use its client’s money to buy media and audience data and charges a transparent cost-plus fee. A media market maker may use its own capital to buy media at its own risk seeking to resell this media to a buyer for a profit. With sufficient volume of transactions, a media market maker can be successful on thinner profit margins than most other market participants. The effect of this risk-bearing role is to significantly narrow the spread between what the advertiser pays for a given result and what publishers receive for delivering the ad opportunity. Moreover, the market making role of a media market maker ensures the likelihood of higher fill rates and eCPMs for publishers.
Able to understand how the media works and able to use and orchestrate the media to one’s advantage.
Media Trading Desk
A service-based organization that provides a managed service layer overlaying or interfacing to one or a number of data management platforms (DMP), demand-side platforms (DSP), supply-side platforms (SSP) or trading platforms. Through the trading desk, a publisher, marketer or their proxy (agency or consultant) can programmatically buy/sell/optimize exchange-based biddable ad inventory. Know more here
A standard display ad that is 300 pixels wide by 250 pixels high.
A video ad unit that runs during video content within a video player environment.
Media that is consumed other than fixed position, traditional channels. These include tablets, cellular devices, and laptops.
Mobile Device ID
A unique identifier for a mobile device. The device ID cannot be linked to personally identifiable information (PII). Different operating systems use different identifiers: IDFA (iOS), AAID (Android), and Windows Advertising ID (Windows).
Mobile Marketing Attribution
Mobile Measurement Partner (MMP) Integration
A process used to define and analyze data requirements needed to support marketing processes.
The process of converting audience traffic at a particular website or mobile app into revenue by implementing Pay Per Click (PPC) and/or Cost per Mille/Objective (CPM/CPO) pricing.
Viewable impression standard set by the Media Ratings Council. The current definition is that 50% of the ad unit be in view for 1 consecutive second for display and 2 consecutive seconds for video.
The buying of inventory across any channel (web, mobile, social, email, etc.) and any format (banners, rich media, video, etc.).
Multi-Touch Attribution (MTA)
These are ad placements that are integrated into content so that users have a more streamlined content experience. Social media platforms tend to have unique functionalities that allow for native ads.
Non-O&O Audience Development
The term “Audience Development” describes activity which is undertaken specifically to meet the needs of existing and potential audiences. It can include aspects of marketing, commissioning, programming, education, customer care and distribution. Most often, the term refers to using paid and earned media to drive site traffic to a publisher’s digital property from non-endemic (other publishers’) properties.
Non-O&O Audience Extension
Audience extension allows advertisers to target and publishers to deliver the same or similar premium site audiences found on a publisher site(s), but when the inventory delivering those audiences not owned and operated by the publisher. This “synthetic” ad buy may or may not then be made at a lower CPM than running ads on the original premium site. Audience extension requires cookies, mobile IDs or other audience identifiers as triggers for behavioral targeting techniques.
Non-personally identifiable information (non-PII) is data that cannot be used on its own to identify, trace, or identify a person, so basically the opposite of PII.
Inventory sold directly by a publisher to an advertiser. Remnant inventory is usually sold by a third-party.
Offline data refers to data used for data-driven marketing on digital marketing channels and which originates from offline sources. Offline data can be the owner’s data – from CRM data files – or data bought from offline data vendors. Offline data offered by vendors can be retail transactions from credit card networks, aggregated offline catalog transactions, syndicated loyalty-card data and more. Regardless of where offline data comes from, the onboarding process removes personally identifiable information, leaving the population that is targetable as a group, but anonymous.
Open Auction Digital Media Inventory
Ad inventory that is unreserved, has auction based pricing and incorporates a one seller-to-all buyers type of participation. Other terms used in the market to describe Open Auction Digital Media Inventory are: Real-time Bidding (RTB), Open Exchange and Open Marketplace. Prioritization in the ad server, the Deal ID, Data usage, Transparency to buyer and pricing floors are factors to consider impacting to Invitation-Only Auction Digital Media Inventory.
An open exchange is defined as an open digital advertising marketplace for aggregated inventory from multiple partners where buyers can bid either manually or programmatically to purchase ad impressions. Ad Inventory on an open exchange allows all buyers the opportunity to purchase the same inventory.
The process of using historical data to adjust a MADTech approach to buying a piece of inventory. Frequently, this information will be used to either alter the bid price for a piece of inventory or determine if a buyer is willing to bid on a piece of inventory at all.
The redirecting of an impression back to an ad server when no acceptable bid is received from a mediated bid, in order to allow the next highest bidder a chance to win the impression. See also default tag.
Marketing techniques and campaigns by which the advertiser pays only for measurable results, including: Cost per action or CPA (any action agreed by publisher and advertiser), Cost Per Sale or CPS (flat fee or sales commission), Cost per lead (often based on filled webforms), and Cost per Click (CPC).
Personally Identifiable Information (PII)
This is data that allows a user to be identified by their true identity. This includes name, birth date, gender, social security number etc. Sites collect this via the registration process.
This term usually refers specifically to a piggybacked pixel. When pixel A has pixel B piggybacked on to it, then the firing of pixel A causes the firing of pixel B. This second firing can either be via a redirect or a server-side firing. Piggyback pixels may be used for tracking conversions in secondary systems.
An extremely abused type of online marketing advertisement, pop-ups open new windows on your screen that partially or wholly cover your current Web Browser window. Some search engines ban ads that create a certain number (or even any) pop-up ads. Direct Online Marketing™ does not include pop-ups or pop-unders as part of its internet marketing services.
An advertisement that opens in a new Web Browser window once you visit a particular page or take some other action. Considered less annoying than Pop-Up ads because the new window appears behind the existing one.
A video ad unit that runs after video content within a video player environment.
A pre-roll ad is a promotional video message that plays before the content the user has selected. The video advertisements are often repurposed television ads, sometimes shortened to 10 or 15 seconds because the 30-second standard for ads on television is not suitable for videos, which are themselves frequently only a few minutes long.
Better quality ad inventory found on well-known and well-respected publisher sites and apps. This type of media is more likely to achieve marketer ROI and is considered of highest value to an advertiser or publisher.
A price, usually set by the publisher, specifying the minimum CPM at which their inventory can be sold. It is common to set different floor prices for different sections of inventory and different ad formats.
Private Ad Exchange
A publisher-controlled ad exchange through which a publisher can directly auction and sell its ad inventory retaining more control over bid selection, setting dynamic reserves, and limiting potential buyers including by invitation-only auctions. A private ad exchange is an auction marketplace that a publisher can exclusively use to sell some or its entire ad inventory combined with its own proprietary data sets to obtain better bids and therefore improve revenues and yield using MADTech media channels.
A “Private Marketplace” (PMP), functions similarly to an open auction in pricing and is determined in real time based on what advertisers are willing to pay. The difference is Private Marketplace deals (PMP Deal IDs) are more exclusive, because only a select group of invited buyers are permitted to bid in the auction.
Using data points to guess who the consumer is on the other side of the screen. Knowing where a person is, what time it is and the device in use help, but not with nearly 100% confidence. This type of data is considered less accurate than deterministic (see “Deterministic”), though many say a blend of the two yields the most accurate results.
The automated purchasing and selling of banner advertisements that are displayed in applications, social media platforms, or in specific locations on websites. Programmatic display provides a level of transparency for marketers that allows total visibility over their campaigns.
Organizations that deliver content or a service to an audience/users. Publishers may depend on selling advertising to generate revenue to fund the development and delivery of content or services. Publishers have traditionally directly sold their best quality advertising spots or space, whereas those that can’t or can’t cost-effectively be sold directly are often sold through third party resellers such as ad networks, supply-side platform or ad exchanges (electronic marketplaces) on their behalf. As marketers move more and more toward automated or MADTech media buying, so are publishers as they are adapting and learning how to effectively list their ad inventory in MADTech channels.
Real Time Bidding (RTB)
A way to limit the showing of an ad over time. For example, an advertiser might want to avoid showing an ad to a specific user ID more than once per hour.
Remnant Ad Inventory (also known as Backfill)
Advertising inventory that a publisher has failed to sell using its direct sales force or has decided not to use its direct sales force to sell this particular ad inventory or class of ad inventory. The publishers’ remnant ad inventory is then redirected to third parties to sell on their behalf. In many cases the publisher requires the identity of the publisher or title for the ad inventory not to be disclosed so the marketer has to buy the ad inventory blind. This is done by publishers to avoid gaming by marketers that could adversely impact the pricing of direct sold ad inventory. However, some publishers are experimenting with direct selling remnant ad inventory themselves through their own branded often by invitation only private ad exchanges. In a private ad exchange the publisher has more control over what ad inventory gets sold to whom and to decide which bids to accept. In addition, publishers are finding private ad exchanges are valuable sources of market intelligence allowing them to track and evaluate media buyers bidding behavior and ad inventory needs.
Request for Proposal (RFP)
A document sent by an advertiser or agency inviting a publisher to submit a proposal for an upcoming advertising campaign.
An action taken by a user based on the exposure to an ad.
Retail Media Network
Also known as remarketing, retargeting is digital advertising that features specific products or services and targets an individual who has viewed them online. Customers and leads already in an advertiser’s database may also be subjects for retargeting. Retargeting is the technology behind ads that follow people from one site to another.
Advertising that contains perceptual or interactive elements more elaborate than the usual banner ad. Some studies have shown that rich media ads tend to be more effective than ordinary animated banner ads.
Return On Advertising Spending and represents the dollars earned per dollars spent on the corresponding advertising.
Performance measure used to evaluate the efficiency of an investment and to compare the efficiency different investments. To calculate ROI, the benefit (return) of an investment is divided by the cost of the investment; the result is expressed as a percentage or a ratio. Return on investment is a common metric because of its versatility and simplicity. That is, if an investment does not have a positive ROI, or if there are other opportunities with a higher ROI, then the investment may not be undertaken.
A rollover ad (sometimes called a mouse-over ad) is an online advertisement that appears to be a static image until the cursor touches the image and activates it. Movement of the cursor over the image is known as a rollover. In the case of a rollover ad, activation usually causes an expansion of the ad.
% increase in sales (in $ or volume) obtained due to retailer merchandising. Calculated as (Incremental/Base) x 100
When used in context of social, refers to the audience reach available to marketers via social media platforms.
Search Engine Marketing (SEM)
A method of promotion and advertising to help companies’ content rank higher among search engine traffic. Like search engine optimization, search engine marketing helps companies improve the way content is ranked by search engines. Know more here
Search Engine Optimization (SEO)
An area of website development that seeks to improve the way content is ranked by search engines in organic search results. Various approaches are taken to achieve that goal, including making sure the website architecture makes it easy for visitors to find content and that pages are mobile-friendly and load quickly. Know more here
A specific type of retargeting that allows an advertiser to show ads to searchers of given keywords who have never visited the advertiser’s site.
Second Price Auction
Second price auctions means the winner of an ad impression pays just one cent more than the next highest bidder.
A group composed of members of a target audience identified based on the webpages they visit, the actions they take such as making a purchase or completing a sign-up form, or data such as gender or geographical region.
A pixel that marks a user as belonging to a certain segment. For example, an advertiser might place a segment pixel on the homepage and mark all visitors to the homepage as “homepage visitors.”
Semantic Targeting (see Contextual Targeting)
In theory, semantic targeting means figuring out what the content on a webpage is really about and being able to place ads based on that content. For example, if a website says, “sunny weather,” is it about great beach vacations, or is it about skin cancer, and do you want to advertise flights to Florida on it or not? However, the term is often used by different people to mean slightly different things, and is often used to be synonymous with contextual targeting.
Share of Voice
The most common form of retargeting: displaying your ads to a visitor based on a visit to your site, or individual page of your site. These cookie-based can appear on any publisher throughout the ad network being used. Various targeting options exist, including only showing ads when a certain page has been visited (such as a landing page) and an action has not been completed (e.g. a conversion).
Internet or mobile-based applications and tools to share communications and information. Social media includes popular networking websites, like Facebook, Snapchat and Twitter, as well as commenting and bookmarking sites like Disqus and Reddit. Social includes blogging, forums and any aspect of an interactive presence which allows individuals to engage in conversations with one another, often as a discussion over a particular blog post, news article, or event.
Misrepresenting an impression as something that it is not. For example, claiming that an impression is “cnn.com” when it actually serves on a completely different website. This is possible when platforms allow inventory to be self-declared, with no validation of what it actually is.
The prevailing market price for a given ad impression. It can also mean buying market-by-market or just-in-time rather than a national network buy or on a forward basis.
Standard Ad Units
A set of ad specifications for standard image or animated in-page ad units that establish a framework for advertising inventory and webpage design.
A distribution method for serving video files such that the video is played over a persistent connection between the browser and the ad server. Versions of the file at different levels of compression (quality) can be served based on detection of the user’s Internet bandwidth. HTML5 files cannot be streamed and rely on adaptive bitrate streaming technologies such as HLS and MPEG-DASH.
Supply Path Optimization (SPO)
An algorithm used by DSP’s to streamline how they interact with SSP’s. It gives media buyers the ability to bid on and win inventory at the most reasonable price, while it lets publishers maximize their revenue over the long run.
Supply-Side Platform (SSP)
Publisher-facing technology platform that enables publisher to better manage and to maximize the revenue from its ad impression inventory.
Many advertisers and their media buyers use a number of tags for tracking impressions, clicks, conversions, and other data. Some use tag containers to manage these disparate pixel tags and make it easier to change them via a single source. When a page loads, the tag container code displays the code for all tags stored within the container.
Tearsheet or Screenshot
Test and Learn
A 1×1 pixel-sized transparent image that provides information about an ad’s placement. In many cases, a tracking pixel is used to notify an ad tracking system that either an ad has been served (or not served, in some cases) or that a specific webpage was accessed. Also knows as: beacon, web beacon, action tag, redirect.
Unique User ID
Also, sometimes called a UUID. A unique, anonymous user ID for a given user profile that may be stored in a user’s browser cookie and/or in the ad server-side cookie store. Ad traffickers are not permitted to associate these IDs in any way with personally identifiable information (PII), and user IDs do not necessarily equate to a unique individual. An individual may also be associated with multiple user IDs due to clearing cookies or using multiple browsers and multiple devices. Additionally, for mobile devices, a unique user ID may be associated with multiple device IDs (for example, Apple IDFA, OpenUDID, etc.).
A unique visitor is someone with a unique address who is entering a website for the first time that day (or some other specified period). Thus, a visitor that returns within the same day is not counted twice. A unique visitor count tells you how many different people there are in your audience during the time period, but not how much they used the site during the period.
Unreserved Fixed Rate
The willful act of a user to engage with an ad. Users may interact by a discrete device action like clicking on the ad, and/or tapping over an ad (or a portion of an ad). Rollover is not a valid user initiation action.
Video Ad Serving Template. This is an XML-based video ad serving protocol. It was created to provide a uniform way for video content to be transferred from ad servers to video players on web pages. For details, see the Interactive Advertising Bureau (IAB) VAST documentation.
Reviewing, inspecting or testing to establish and document that an ad unit, product, service or system meets regulatory or technical standards.
In the digital advertising industry, a Viewable Impression is a metric applied to ads which were actually viewable by a human when served. The measurement can be in part or entirely based on conditional parameters and is typically verified by a third party. There may or may not be a delivery guarantee between ad inventory buyers and sellers tied to a minimum threshold based on this measurement.
Video Player Ad-Serving Interface Definition. VAST supports relatively simple in-stream video ad formats that are not executable. VPAID was created to support more interactive rich media video formats. For more information, see the Interactive Advertising Bureau (IAB) VPAID documentation.
Walled Garden Advertising
A list of web sites that an advertiser will permit its ads to be placed on. Websites not on this list will not be used to display ads for the advertiser. The opposite of this is blacklist.
The number of impressions won over the number of impressions bid.
Publisher realized revenue derived from ad unit, site, mobile app, or page audience traffic reflected as a percentage. Yield Management is the technology used by publishers to ensure maximum revenue generation.
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