Glossary Category
Marketing & Paid Advertising

Marketing & Paid Advertising

Terms covering paid advertising across Meta, Google, TikTok, and emerging platforms. Understand ROAS, MER, attribution, and campaign optimization.

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Why This Category Matters

The metrics that decide whether your brand scales.

Terms covering paid advertising across Meta, Google, TikTok, and emerging platforms. Understand ROAS, MER, attribution, and campaign optimization.

Understanding marketing & paid advertising terms is essential for any DTC operator looking to measure and improve their ecommerce performance.

Use the terms below as reference when analyzing your campaigns, reviewing reports, or communicating with your team.

All Terms in This Category

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First-Touch Attribution

A single-touch attribution model that gives 100% credit to the first marketing touchpoint.

Last-Touch Attribution

Credits 100% of a conversion to the final marketing touchpoint before purchase.

Multi-Touch Attribution

MTA

Distributes credit for conversions across multiple touchpoints in the customer journey.

Linear Attribution

A multi-touch model that distributes credit equally across all touchpoints.

Time-Decay Attribution

A multi-touch model giving more credit to touchpoints closer to the conversion.

Position-Based Attribution

Assigns 40% credit to first touch, 40% to last touch, and 20% among middle touchpoints.

Data-Driven Attribution

Uses machine learning to assign credit based on actual observed impact of each touchpoint.

View-Through Conversion

A conversion that occurs after a user views an ad but doesn't click on it.

Click-Through Conversion

A conversion occurring after a user clicks on an ad.

Attribution Window

The time period during which a conversion can be credited to an ad interaction.

Incrementality

The true lift in conversions directly caused by a marketing activity.

Holdout Test

A testing methodology where a portion of the audience is excluded from seeing ads.

Media Mix Modeling

MMM

A statistical analysis technique measuring the impact of various marketing channels on sales.

Lookalike Audience

LAL

A targeting feature reaching new people who share characteristics similar to your existing customers.

Seed Audience

The foundational group of people used to create a Lookalike Audience.

Custom Audience

A targeting option reaching people who have already interacted with your business.

Retargeting

Showing ads to people who have previously visited your website or engaged with your content.

Prospecting

Targeting new potential customers who haven't yet interacted with your brand.

Broad Targeting

Running ads with minimal audience restrictions, relying on platform algorithms.

Interest-Based Targeting

Targeting users based on their stated interests, behaviors, and page likes.

Behavioral Targeting

Reaching users based on their online behaviors, purchase history, and browsing patterns.

Campaign Budget Optimization

CBO

A Meta campaign setting where budget is managed at the campaign level by the algorithm.

Ad Set Budget Optimization

ABO

The traditional method where advertisers manually allocate budgets to each ad set.

Advantage+ Shopping Campaigns

ASC

Meta's AI-powered campaign type designed specifically for ecommerce.

Advantage+ Catalog Ads

Automatically show personalized product recommendations based on browsing history.

Meta Pixel

JavaScript code installed on your website that tracks visitor actions and conversions.

Conversions API

CAPI

Meta's server-side tracking solution that sends conversion data directly from your server.

Event Match Quality

EMQ

A Meta metric (scored 1-10) measuring how well your conversion data matches Facebook users.

Performance Max

PMAX

Google's fully automated, AI-driven campaign type running across all Google properties.

Quality Score

A Google Ads diagnostic metric (1-10) evaluating keyword relevance and landing page quality.

Impression Share

The percentage of impressions your ads received compared to total eligible impressions.

Smart Bidding

Google's automated bid strategies using machine learning to optimize for conversions.

Google Merchant Center

The platform where retailers upload product data feeds for Shopping ads and free listings.

Product Feed

A structured data file containing all product information for shopping platforms.

Spark Ads

TikTok's native ad format that boosts organic posts as paid advertisements.

In-Feed Ads

TikTok ads appearing in the For You feed between organic content.

TikTok Shop

TikTok's native commerce feature allowing users to purchase products within the app.

User-Generated Content

UGC

Content created by customers, creators, or fans rather than the brand itself.

Creative Fatigue

The decline in ad performance when audiences see the same creative too frequently.

Hook Rate

How well video ads capture attention in the first 1-3 seconds.

Thumb-Stop Ratio

The percentage of video viewers who stop scrolling to watch your ad.

Hold Rate

The percentage of viewers who continue watching after the initial hook.

Dynamic Creative

Meta feature that automatically tests different combinations of ad elements.

Carousel Ad

An ad format featuring multiple swipeable images or videos, each with its own link.

Collection Ad

A mobile ad format combining a cover image/video with product images below.

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