Popular Terms about Online Advertising
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Popular Terms about Online Advertising

Web 2.0

Web 2.0 signifies the new era of the World Wide Web. It transforms from one way communication (Web 1.0) to interactive ways of communication between users (Web 2.0). The second generation focuses on web-based communities such as forums, vertical communities, blogs, social-networking sites, and wikis which facilitate sharing and collaboration among users.

Social Media

Social Media refers to community websites whose content is primarily published by users. One characteristic of social media is that users generally with stronger engagement and stickiness to the media compared to some traditional media.

Impression

Impression is an advertising term referring to the number of times an advertisement is displayed. Technically, it is the number of responses from a Web server to a request from the user browser. For example, 50,000 impressions means the ad is requested and displayed 50,000 times at users’ browsers.

CPM

CPM is a media term describing the cost of buying 1,000 impressions. For example, a Web site that charges $2,200 per ad with 100,000 impressions represents a CPM of $22.

CTR

CTR (click-through rate) is obtained by dividing the number of clicks of an ad by its impressions. For example, if the banner ad was delivered 100 times (impressions) and one person clicked it once, the resulting CTR would be 1.0%.