Chapter 7: Online Ad Server

Vocabulary flashcards covering key terms from the online advertising lecture notes.

ad server

A database of ads that uses algorithms to place ads in online sources for users who match a profile.

advertiser (online)

The party that pays the ad server to place its advertisement.

algorithm

Computer code that allows an ad server to profile users and place ads for advertisers whose target customers match those profiles.

analytics

Consumer data collected by an online ad server about who saw an advertiser’s online ads.

clickthrough

Acting on an advertisement by clicking on it.

clickthrough rate

The rate at which people who see an ad click on it (often expressed as a percentage).

cost-per-acquisition (CPA) pricing model

A pricing model for online advertising in which the advertiser pays a fee whenever a customer clicks on an ad and makes a purchase.

cost-per-click (CPC) pricing model

A pricing model for online advertising in which the advertiser is charged a fee every time a consumer clicks on an ad.

cost-per-thousand (CPM) pricing model

A pricing model for online advertising in which the advertiser is charged a fee for every thousand impressions. This is not to be confused with the normal CPM measurement.

frequency cap

A limit on the number of times each individual user can see an online ad from the same advertiser.

impression cap

A limit on the number of gross impressions an advertiser’s ad can have, to prevent the buyer from being charged an excessive amount due to an unanticipated high number of impressions.

Interactive Advertising Bureau (IAB)

An organization that promotes and sets standards for online advertising.

mobile ad

An online advertisement formatted for mobile devices; not formatted for desktop and laptop monitors.

online display ad

An online advertisement formatted for desktop and computer monitors; not formatted for mobile devices.

publisher (online)

The party that places an advertiser’s ad; the blank gets the ad from the ad server.

pull media

Media in which the user has a substantial amount of control over the content. Online media are blank; newspapers, television, radio, and magazines are push media.

push media

Media in which media companies have the most control over the content (e.g., newspapers, television, radio, and magazines).

impression

one exposure with one person