What Are Online Advertising Rates?
Price Definitions for Internet Marketing Companies
Today we are going to talk about the cost of online advertising and internet marketing price acronyms. As you probably know, internet marketing company pricing and online advertising rates can be confusing. We are going to help you understand what you’re paying for by breaking down internet marketing acronyms so you know what you are buying, even if it is not from us.
Internet Marketing Definitions & Acronyms
If you have looked for any kind of internet marketing services from online advertising agencies or internet marketing companies you know how confusing all of the acronyms can be. Let’s get started and breakdown the internet marketing acronyms pertaining to internet advertising costs.
CPM – Cost Per 1,000 Impressions: What is CPM? The definition of CPM is the amount paid for every thousand qualifying impressions served. CMP is also referred to as Cost Per Impression (CPI). However, the number 1,000 is represented by the letter “M” in Roman numerals, so M=1,000. That is why the main stream acronym is CPM and not CPI. An impression is every time that your online advertisement is displayed or viewed by a user, usually in the form of a banner ad on a website or email marketing ad. Ad server may exclude certain non-qualifying activities such as page-refreshes from counting as impressions in order to count the impressions served as accurately as possible. It is always good to know what online advertising rates you are paying so we recommend that you speak to your internet marketing company to make sure you know what you are paying for. Please feel free to contact us directly if you would like immediate service and we will gladly answer all of your internet marketing questions.
CPC – Cost Per Click What is CPC? The definition of Cost Per Click (CPC) is the amount of money or cost you pay a search engine or internet publisher for a single click on your advertisement or sponsored ad that brings one visitor to your website. CPC is also referred to as Pay Per Click (PPC). CPC is the actual Cost Per Click and PPC is the physical act of Paying Per Click. Websites and search engines utilizing PPC ads will display an advertisement when a keyword query matches your keyword, or when a content site displays relevant content. These advertisements are called sponsored links or sponsored ads, and appear adjacent to or above the organic results on search engine results pages, or anywhere a web developer chooses on a content site. The CPC varies depending on the search volume and the level of competition for a particular keyword. That is why we base your budget directly around the competition and on how many clicks and impressions your website may receive. It is always good to know what online advertising rates you are paying so we recommend that you speak to your internet marketing company to make sure you know what you are paying for. Please feel free to contact us directly if you would like immediate service and we will gladly answer all of your internet advertising questions.
CPA – Cost Per Action: What is CPA? The term Cost Per Action (CPA) is also referred to as Pay Per Action (PPA) or Pay Per Inquiry (PPI) and is often confused with Cost Per Acquisition (CPA). CPA is when an advertiser only pays for the ad when a desired action has occurred. An action can be many different things such as watching a video, a product being purchased, a survey completed, a contact form being filled, etc. In most cases, the desired action to be performed is determined by the advertiser and agreed upon by the internet marketing company or website publisher. Radio and TV stations also sometimes offer unsold inventory on a cost per action basis, but this form of advertising is most often referred to as “per inquiry.” It is always good to know what online advertising rates you are paying so we recommend that you speak to your internet marketing company to make sure you know what you are paying for. Please feel free to contact us directly if you would like immediate service and we will gladly answer all of your online marketing questions.
CPA – Cost Per Acquisition: What is CPA? CPA is also referred to as Cost Per Acquisition (CPA). The term Cost Per Acquisition is used because Cost Per Acquisition offers are usually based around acquiring something such as new customers. In this case using the term “Cost Per Acquisition” instead of “Cost Per Action” is not incorrect. Not all Cost Per Action campaigns can be referred to as Cost Per Acquisition and not all Cost Per Acquisition campaigns can be referred to as Cost Per Action. It is always good to know what online advertising rates you are paying so we recommend that you speak to your internet marketing company to make sure you know what you are paying for. Please feel free to contact us directly if you would like immediate service and we will gladly answer all of your internet marketing questions.
CPL – Cost Per Lead: What is CPL? The definition of Cost Per Lead (CPL) is when the advertiser pays for an explicit sign-up from an interested consumer interested in the advertiser offer. Many advertisers think that CPL advertising enabled them to generate guaranteed returns on their online advertising dollars without taking into account that the leads they might or might not be receiving may be false. Any advertiser entering into a CPL scenario should ask questions such as “where do the leads come from?” and “how many people or companies are these leads being sold to?” Knowing where the leads are coming from and how many times the leads are being sold may help you overt a potential problem in the future. There are two different sides of this equation because you may want to be the one selling the leads. CPL is also an affiliate marketing model where the merchant will pay a certain commissions to the affiliate whenever the affiliate sends a lead to the merchant’s website. It is always good to know what online advertising rates you are paying so we recommend that you speak to your internet marketing company to make sure you know what you are paying for. Please feel free to contact us directly if you would like immediate service and we will gladly answer all of your internet marketing questions.
SMM – Social Media Marketing: What is SMM? The definition of Social Media Marketing (SMM) is the process of increasing website traffic, brand awareness, name recognition and or attention through social media marketing. SMM is also used when referring to Social Media Management. Social media marketing and social media management campaigns are usually centered around creative content that attracts attention and encourages readers to share it with their social networks. This creates a viral effect and if done correctly an advertiser can generate a disproportionate media exposure value which is called earned exposure. Social media marketing is an effective way to create brand awareness and build a loyal repeat customer base. A consistent social media branding message will establish frequency and resonate with your target audience to further develop the bond between the brand and the consumer. Remember people do not just buy brands, they join them. It is always good to know what online advertising rates you are paying so we recommend that you speak to your internet marketing company to make sure you know what you are paying for. Please feel free to contact us directly if you would like immediate service and we will gladly answer all of your internet marketing questions.
ROI – Return On Investment: What is ROI? The definition of Return On Investment (ROI) is the ratio of money gained or lost on an investment relative to the amount of money invested. ROI is also referred to as Rate of Profit (ROP) and Rate of Return (ROR). ROI is usually expressed as a percentage and the profit is the return and the money invested is referred to as the asset, capital, principal, or the cost basis of the investment. It is always good to know what online advertising rates you are paying so we recommend that you speak to your internet marketing company to make sure you know what you are paying for. Please feel free to contact us directly if you would like immediate service and we will gladly answer all of your internet marketing questions.
SEO – Search Engine Optimization: What is SEO? The definition of Search Engine Optimization (SEO) is the practice of improving the amount of traffic and/or the quality of traffic a website receives from search engines through improving the way the search engine naturally lists or ranks the site. There are over 200 factors that Google, Yahoo, Bing and other major search engines asses before awarding a page position or rank in the organic listings for any given search query. SEO is an ongoing process of increasing the volume or improving quality of traffic to your website from the “natural” or “organic” search results.
SEP – Search Engine Placement: What is SEP? The definition of Search Engine Placement (SEP) is the process of placing a website on a specific search engine within the sponsored listings or paid ad space. Most search engines will perform a review on your website. They will look at several factors including how well your target keyword matches site content to make sure you are advertising what you are selling, if your website content is appropriate, ad text to keyword relevancy, and many other factors. After this process you are awarded a Quality Score and your placement and page position can increase or decrease based on your Quality Score.
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Tags: Advertising Definitions, CPA, CPC, CPL, CPM, Internet Marketing Costs