Your AdMarula guide to digital & search marketing terms and acronyms


AOV Average order value.


Backlink Backlinks (or back-links) are incoming links to a website or web page.


Customer Lifetime value The total revenue a business can expect from a single customer.


Cost per action or Cost per acquisition An online advertising pricing model, where the advertiser pays for each specified action (a purchase, a form submission, and so on) linked to the advertisement.


Cost per click The sum paid by an advertiser to search engines and other Internet publishers for a single click on their advertisement, which directs one visitor to the advertiser’s website.


Cost per everything  A collective term for the cost of each single click, lead, action, sale etc.


Cost per lead
An online advertising pricing model, where the advertiser pays for an explicit sign-up from an interested consumer, interested in the advertiser offer.


Cost per mille or Cost per 1,000 impressions
The online advert cost per thousand views (M=1,000 in roman numerals), so CPM = C=Cost P=Per M=1,000 as in banner advertising you pay for each 1,000 ad views your banner gets.


Cost per sale
An online advertisement pricing system where the publisher or website owner is paid on the basis of the number of sales that are directly generated by an advertisement.


Cost per transaction
A type of CPA method that allows advertisers to pay whenever a visitor who clicked on their advertisement generates a transaction, usually a sale.


Click Rate The actual number of users that click on a banner/ad link.


Comparison shopping engine or Custom search engine
A price comparison service (also known as shopping comparison or price engine) allows individuals to see different lists of prices for specific products.


Cascading style sheet
A style sheet language used to describe the presentation semantics (that is, the look and formatting) of a document written in a markup language.


Click through rate This is the percentage of people who see a link and click on it. Typically, only immediate responses are counted, so CTR may not reflect the cumulative effect if there are delayed responses (meaning that someone sees a link and goes to that URL directly later).


Data center A data center (also called a server farm), is a facility used to house computer systems and associated components, such as telecommunications and storage systems.


Dynamic CPM In this model the advertiser continues to advertise as long as his eCPA is under his CPA target, and the publisher advertises as long as the CPM he receives is higher than the competing advertisers’.


Directory – Mozilla The Open Directory Project (ODP), also known as Dmoz (from, its original domain name), is a multilingual open content directory of World Wide Web links.


DMPs – Data Management Platforms are essentially data warehouses that help to house, sort and process information into a format that's useful for marketers, publishers and other businesses.


DSPs – Demand Side Platforms allow advertisers and agencies to buy ad inventory on an ad exchange through real-time bidding so that impressions or clicks can be purchased as and when needed.


Effective cost per action The cost that an advertiser actually paid for each action i.e. the total cost divided by the number of actions.


Effective cost per mille eCPM is used to measure the effectiveness of a publisher’s inventory being sold (by the publisher) via a CPA, CPC, or CPT basis.


Earnings per 100 clicks A metric used within affiliate marketing, to measure the average earnings over a 7 day period that an affiliate can expect to earn for every 100 clicks that they are able to generate. This calculation can be helpful to affiliates when they are seeking out new products to promote.


HyperText Markup Language The predominant language for construction of web pages. It is used to describe structure and content in text form as well as to compliment text with objects such as images.


Inbound Link A link from another web page (on a 3rd party website) that links to your web page.


The number of times your advertisement is shown on a site.


Internet business promoter Internet Business Promoter (IBP) is a website promotion software tool that helps website owners achieve high search engine rankings.


Latent semantic analysis A technique in natural language processing, in particular in vectorial semantics, of analyzing relationships between a set of documents and the terms they contain by producing a set of concepts related to the documents and terms.


Latent semantic indexing An indexing and retrieval method that uses a mathematical technique called Singular Value Decomposition (SVD) to identify patterns in the relationships between the terms and concepts contained in an unstructured collection of text.


Outbound link A link from one domain to another is said to be outbound from its source anchor and inbound to its target.


Open directory project Also known as Dmoz (from, its original domain name), is a multilingual open content directory of World Wide Web links.


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