Term | Explanation |
---|---|
DSP (Demand-Side Platform) | A DSP is a software platform that allows advertisers to buy digital ad space automatically. It helps brands reach the right audience at the right time by bidding in real-time for ad impressions on websites, apps, or videos. |
DMP (Data Management Platform) | A DMP collects and organizes user data from various sources (like websites, apps, and CRM systems). It helps advertisers understand their target audience better and make smarter decisions about where and how to show ads. |
SSP (Supply-Side Platform) | An SSP is used by publishers (like websites or apps) to sell their ad space. It helps them get the highest possible price by making their inventory available to multiple buyers (DSPs) through automated auctions. |
RTB (Real-Time Bidding) | RTB is a method of buying and selling online ad space in real-time auctions. When a user visits a site, advertisers bid instantly to show their ad to that user. The highest bid wins, and the ad is shown right away. |
PMP (Private Marketplace) | A PMP is an invite-only auction where selected advertisers can buy premium ad inventory from top publishers. It offers more control, transparency, and brand safety than open marketplaces. |
PG (Programmatic Guaranteed) | In PG deals, advertisers and publishers agree in advance on pricing and inventory. Unlike real-time bidding, the deal is fixed but still uses programmatic tools for delivery and targeting. |
PD (Preferred Deal) | A preferred deal is a one-to-one agreement where an advertiser gets first access to a publisher’s inventory at a fixed price, before it goes to open auction. |
ATD (Agency Trading Desk) | An ATD is a team within an ad agency that uses programmatic technologies to manage media buying. They help brands run campaigns efficiently using data, targeting, and automation. |
CPM (Cost Per Mille) | This stands for the cost of showing an ad 1,000 times. It is a common way to price display and video ads in programmatic advertising. |
IO (Insertion Order) | An IO is a formal agreement between an advertiser and a publisher that outlines the terms of an ad campaign like dates, formats, pricing, and goals. |
CPA (Cost Per Acquisition) | This is the amount an advertiser pays when a user completes a specific action, like signing up or making a purchase. It measures how efficiently an ad converts users. |
CTV (Connected TV) | CTV refers to televisions connected to the internet, such as Smart TVs or devices like Fire TV or Roku. Programmatic ads can be shown on these TVs just like online video ads. |
OTT (Over-The-Top) | OTT refers to content delivered over the internet, bypassing traditional cable. Examples include Netflix, Hotstar, and YouTube. Advertisers use programmatic tools to serve ads in OTT content. |
GDPR (General Data Protection Regulation) | GDPR is a privacy law in Europe that affects how companies collect, store, and use personal data. Advertisers must get consent before tracking or targeting users in the EU. |
UID (Universal ID) | A UID is a single identifier used to track and target users across multiple websites and devices. It helps advertisers recognize the same person even when cookies are blocked. |
MRC (Media Rating Council) | The MRC is an organization that sets measurement standards for media and advertising. It ensures ad data (like impressions or views) is accurate and trustworthy. |
VCR (Video Completion Rate) | VCR shows the percentage of users who watched a video ad all the way through. A higher VCR means the ad was engaging and relevant to the viewer. |
MOAT (Measurement Of Advertising Tool) | MOAT is a tool that measures the performance of digital ads, including whether they were viewable, how long they were viewed, and if they were seen by real people. |
IVT (Invalid Traffic) | IVT refers to ad impressions or clicks that come from bots or fraudulent sources. Programmatic platforms work to filter out IVT to ensure advertisers only pay for genuine user activity. |
QPS (Queries Per Second) | QPS measures how many ad requests or bid opportunities are processed every second. It shows the speed and capacity of a programmatic platform. |
SSAI (Server-Side Ad Insertion) | SSAI is a method of inserting ads into video streams on the server side, rather than on the user’s device. It offers smoother playback and helps avoid ad blockers. |
AdX (Ad Exchange) | An ad exchange is a digital marketplace where publishers and advertisers buy and sell ad space in real-time, using automated bidding. Google AdX is one popular example. |
OEM (Original Equipment Manufacturer) | In advertising, OEM refers to companies that produce mobile devices or hardware. Advertisers may partner with OEMs to show ads directly within the device ecosystem. |
SDK (Software Development Kit) | An SDK is a set of tools that app developers add to their apps to allow ad platforms to serve, track, and report ads. It helps monetize mobile apps through programmatic ads. |