CPM – Cost per thousand impressions. The cost paid by and advertiser for 1000 individual advertising units also known as impressions.
Creative – The actual content of the advertisement. The advertiser typically hires a creative agency to design and produce their creative for a particular campaign. Creative is typically hosted in a advertising platform such as the most popular options Google DFA (now known as Doubleclick Campaign Manager or DCM), Sizmek, Celtra. The creative is everything contained within the advertising space that the user sees, and can interact with.
Data Management Platform (DMP) – Used to help in the targeting of advertising. A DMP can used in both programmatic advertising transactions as well as traditional insertion order style advertising business fulfilled by ad operations teams. These DMP systems can help to build and structure audiences and make targeting available. Many DMPs also offer ability to purchase of 3rd party data. Example of DMPs: Lotame, Krux.
Demand Side Platform (DSP) – A system used by buyers in programmatic advertising. The DSP helps automate the buying process for advertisers or their agencies. The system can help in pre-programming targeting instructions, budgets and other important advertising campaign instructions. Many DSPs will also have algorithms that optimize targeting options towards websites or audiences for the goal of reaching the advertisers key performance indicators (KPIs).
Exchange Bidding with Dynamic Allocation (EBDA) – This is a program facilitated by Google that mediates SSP partners within Google’s DFP/ADX environment. It eliminates the need for the publisher to host client side browser code on their website to facilitate multiple SSPs simultaneously bidding on individual impression. Google handles the heavy lifting to get SSP partners integrated into the publishers DFP account and payments are processed through the publishers’ Google ADX account. More information can be found here: https://support.google.com/dfp_premium/answer/7128958?hl=en
Impression – The individual unit of advertising. Each load of one advertising ad on a web site is considered an impression. Unfortunately in digital advertising there are multiple parties counting the “impression” and discrepancies between each count. Typically and historically the publisher has counted and impression upon the server side request being made to their adserver while the advertising has counted the impression upon the client side rendering of their advertising creative assets.
Key Performance Indicator (KPI) – In the advertising world referring to the advertiser or client’s definition of success on a campaign. Examples may include sales driven on an eCommerce site due to the advertising campaign or the quantity of users who saw the advertisement.
Open Auction – Synonymous with Public Auction. Google’s Doubleclick Ad Exchange refers to Public Auction as Open Auction. A programmatic markeplace in which any buyer, under pre-approval by the advertising exchange or SSP, may have an ability to bid on inventory that the sellers offer to that advertising exchange or SSP. The public auction empowers advertisers of any size to advertiser on websites around the world. Advertiser can participate in the public auction with very small advertising budgets, sometimes spending budgets small as fractions of pennies on a specific web site or as large as millions of dollars.
PMP – Private Marketplace. This is marketplace for programmatic transactions in which the publisher must first approve a buyers involvement in the marketplace.
Public Auction – A programmatic markeplace in which any buyer, under pre-approval by the advertising exchange or SSP, may have an ability to bid on inventory that the sellers offer to that advertising exchange or SSP. The public auction empowers advertisers of any size to advertiser on websites around the world. Advertiser can participate in the public auction with very small advertising budgets, sometimes spending budgets small as fractions of pennies on a specific web site or as large as millions of dollars.
Supply Side Platform (SSP) – Supply Side Platform. A system used by sellers in programmatic advertising. The system allows DSPs to bid on advertisements which the sell offers to the SSP. A publisher or owner of digital advertising inventory manages a unique instance of the SSP which runs only on the websites of which that publisher manages. In the SSP instance for those sites, the publisher determines rules such as floor prices, advertiser block lists, which ad inventory space on the site they manage is allowed to be sold, and inputs those settings into the SSP. Depending on the level of sophistication of the SSP partner the user interface may not be entirely self service for the publisher and will require help from a technical team at the ad technology company who owns the SSP. The SSP can help the publisher increasing the amount of revenue earned from advertising on the sites they manage using reporting insights and abilities available withing the SSP. Example of SSPs include: Rubicon Project and Pubmatic.