Dictionary

Marketing measurement and optimization terms explained.

What is Adstock?

Adstock

Adstock (also known as carryover effect or advertising decay) is a marketing measurement concept that quantifies how advertising effects persist and diminish over time after an advertisement is shown. …

What is Hierarchical Bayesian Modeling?

Hierarchical Bayesian Modeling

Hierarchical Bayesian modelling is a statistical approach that handles complex data structures by organizing parameters into multiple levels or layers, allowing for more sophisticated analysis of rela …

What is Bayesian Statistics?

Bayesian Statistics

Bayesian statistics is a statistical approach that uses Bayes' theorem to update the probability of a hypothesis as new evidence becomes available. Unlike traditional frequentist statistics, Bayesian …

What is Predicted Lifetime Value (pLTV)?

Predicted Lifetime Value (pLTV)

Predicted Lifetime Value (pLTV) is a forward-looking metric that estimates the total revenue a customer will generate for a business throughout their entire relationship with the company. Unlike tradi …

What is Lifetime Value (LTV)?

Lifetime Value (LTV)

Lifetime Value (LTV), also known as Customer Lifetime Value (CLV or CLTV), is a critical marketing measurement metric that represents the total revenue a business can expect to generate from a single …

What is Customer Acquisition Cost (CAC)?

Customer Acquisition Cost (CAC)

Customer Acquisition Cost (CAC) is a fundamental marketing metric that measures the total cost a business incurs to acquire a new customer. It represents the average amount of money spent on marketing …

What is Share of Search (SoS)?

Share of Search (SoS)

Share of Search (SoS) is a marketing measurement metric that calculates the percentage of search queries related to your brand compared to the total search volume for your entire product category or c …

What are Clicks?

Clicks

Clicks are user interactions where someone presses or taps on a digital element, such as a link, button, advertisement, or call-to-action. In digital marketing, clicks represent one of the most fundam …

What is Frequency?

Frequency

Frequency in marketing refers to the number of times an individual consumer is exposed to an advertisement or marketing message within a specific time period. It's a fundamental metric in advertising …

What is Reach?

Reach

Reach is a fundamental marketing metric that measures the total number of unique individuals or households exposed to a marketing message, advertisement, or campaign within a specific time period. In …

What is Impression Share?

Impression Share

Impression Share is a key performance metric in digital advertising that measures the percentage of impressions your ads received compared to the total number of impressions they were eligible to rece …

What is Keyword Coverage?

Keyword Coverage

Keyword coverage refers to the breadth and depth of keywords for which a website ranks in search engine results pages (SERPs). It measures how comprehensively a website captures search traffic across …

What is Organic Visibility?

Organic Visibility

Organic visibility refers to how prominently a website or webpage appears in unpaid search engine results for relevant keywords and queries. It measures the likelihood that users will discover and cli …

What is Causal Inference?

Causal Inference

Causal inference is the process of determining cause-and-effect relationships between variables, distinguishing between correlation and true causation. In marketing and business contexts, causal infer …

What is Branded Search Advertising?

Branded Search Advertising

Branded Search advertising refers to paid search campaigns that target keywords containing your brand name, product names, or other brand-specific terms. These campaigns appear when users search for y …

What is Directed Acyclic Graph (DAG)?

Directed Acyclic Graph (DAG)

A Directed Acyclic Graph (DAG) is a visual structure consisting of nodes (vertices) connected by directed edges (arrows). In the context of marketing measurement and data science, DAGs serve as powerf …

What is Causality?

Causality

Causality refers to the relationship between cause and effect, where one event (the cause) directly produces or influences another event (the effect). Causality is an important concept in measuring ma …

What are Impressions?

Impressions

An impression is a metric that counts the number of times an advertisement, piece of content, or digital asset is displayed to users, regardless of whether they interact with it. In digital marketing …

What is Return On Advertising Spend (ROAS)?

Return On Advertising Spend (ROAS)

Return on Advertising Spend (ROAS) is a marketing metric that measures the revenue generated for every dollar spent on advertising campaigns. It's calculated by dividing the revenue attributed to adve …

What is Search Engine Marketing (SEM)?

Search Engine Marketing (SEM)

Search Engine Marketing (SEM) is a form of digital marketing where advertisers pay to display targeted ads alongside search engine results when users enter specific keywords or phrases. Also known as …

What is Average Order Value (AOV)?

Average Order Value (AOV)

Average Order Value (AOV) is a metric used by eCommerce businesses for measuring how much their customers are purchasing on average. Total AOV is calculated by dividing total revenue with the number o …

What is Conversion Rate?

Conversion Rate

Conversion Rate is a metric used in assessing the performance of digital advertising. Conversion Rate measures the percentage of website visitors making a purchase. Conversion Rate for a campaign is c …

What is Click-Through Rate (CTR)?

Click-Through Rate (CTR)

Click-Through Rate (CTR) is a metric used in digital marketing for measuring the effectiveness of display ads, email campaigns and other forms advertising targeted at driving clicks. CTR measures how …

What is Incrementality?

Incrementality

Incrementality in marketing refers to the concept of quantifying the actual sales lift originating from investments to media, in contrast to sales driven by other factors, such as seasonality or promo …

What is Cost Per Conversion?

Cost Per Conversion

Cost Per Conversion is a cost-efficiency metric used by digital marketers when analysing how well different campaigns and channels are driving conversions. It measures the average cost of one conversi …

What is Cost Per Mille (CPM)?

Cost Per Mille (CPM)

Cost Per Mille (CPM) is a cost-efficiency metric used by digital marketers when measuring performance of digital campaigns. It measures the cost of showing an ad to 1,000 people. CPM is calculated by …

What is Cost Per Click (CPC)?

Cost Per Click (CPC)

Cost Per Click (CPC) is a metric used by digital marketers to assess the cost-efficiency of their digital advertising campaigns. It reflects how much you pay for each click on your ad. CPC is calculat …