Online advertising terminology
This page lists and defines terms used when discussing online advertising, or Internet advertising.
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General online advertising terms
Above the fold
Web content above the fold is content that appears before users have to scroll to read the page. The term "above the fold" comes from newspaper use, where content placed above the newspaper fold is intended to persuade people to buy the newspaper based on what they see above the newspaper fold where the newspaper is for sale. In the same way, web content that's above the fold is seen more and can help draw visitors into the site. Ad placements above the fold have added value because they're viewable without scrolling.
Unlike newspapers, exactly what is above the fold isn't fixed. The "fold" line, or the bottom of the screen, depends on the user's screen resolution.
Ad rotation
Ad rotation is the use of an ad rotator program to rotate ads that appear in the same spot. With ad rotation, users see different ads when they return to a previously viewed page. The purpose of ad rotation can be ad targeting or to display a variety of ads.
Ad space
Ad space is space designated on a web page for advertisements to appear.
Ad targeting
Ad targeting is the practice of targeting a particular audience with ads related to their interests.
Advertising network
Advertising networks are companies that manage and display advertisements on numerous websites. The ads are on a common server, and advertising networks can display the same ads on different sites and target ads to their audiences.
Affiliate marketing
Affiliate marketing is the promotion of services using an affiliate or referral link. The affiliate who promotes the services receives a commission or percentage whenever a sale is made as a result of the affiliate or referral link.
Banner exchange
A banner exchange takes place when a website displays a banner ad in exchange for the site behind that banner ad displaying a banner ad for the other site.
Click-through and click-through rate
"Click-through" describes the action when a user clicks on an ad (banner ad or text link) and lands on the target page. The click-through rate, also called CTR or click rate, is the rate of click-throughs per page view. The higher the CTR, the more successful an ad is.
Demographics
Demographics are information about a segment of the population, such as their age range, gender, and common interests.
Advertising payment types
Cost per action (CPA)
Cost per action (CPA) is a price for advertisers for each action that users take, such as filling out a form or making a purchase.
Cost per click (CPC)
The cost per click (CPC) is the price advertisers pay for each clickthrough.
Impression and cost per impression
Also called ad impression or ad view, "impression" refers to the number of times a page with a particular ad is viewed. Some advertising rates are based on cost per thousand impressions (CPM). These rates don't take into consideration whether viewers click on the ads or not.
Types of online ads
Banner ads
Banner ads are graphical ads that extend horizontally across a page, like a banner. They usually have the company logo as well as some advertising images and text. Banner ads are clickable and lead to the target page on the advertiser's website.
Floating ads
Floating ads appear when users first go to a page and can float over the page for up to 30 seconds. They can't be ignored, but they block page content from users, and they can be very annoying.
Pop-up ads
Pop-up ads open in a new window when users go to the page with the pop-up ad. Tools have been created to block pop-up ads, and some browsers have built-in tools to block them.
Skyscraper ads
Skyscraper ads, also called skyscraper banners are like banner ads except that their length is vertical rather than horizontal and they appear at the side of the page.
Text ads
Text ads have a short amount of text and a link to the target web page.
See also
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