In the advertising business it is our job to position products and services so that consumers believe they must have them. In doing so we often create clever sounding names and words to attract attention. Sometimes, we are so clever that we confuse. That is especially true in digital advertising where new products and services come online almost daily. The following are 10 digital terms and acronyms you must know.
Account Based Marketing
Account Based Marketing (ABM) – this is a focused growth strategy where the marketing and sales teams work together to identify high value prospects and create custom advertising experiences to convert those accounts.
Ad Exchange
Ad Exchange – A virtual marketplace where online publishers and advertisers can sell and buy digital advertising inventory in a real-time auction. Instead of negotiating with a single publisher, buyers bid on inventory throughout the internet that puts them in front of their pre-determined target audience. An ad exchange sits in between a DSP and SSP.
Demand Side Platform
Demand Side Platform (DSP) – A system that allows advertisers to bid for and purchase inventory from multiple ad exchanges, through one single interface.
Supply Side Platform
Supply Side Platform (SSP) – The other side of an ad exchange that allows publishers to manage their advertising inventory. The SSP is what sends an ad to the ad exchange for auction.
Programmatic Advertising
Programmatic Advertising – An automated method of buying media that ensures that advertisers are reaching the right person, at the right time, in the right place. The ads are bought based on a set of parameters pre-defined by the company placing the ads. Programmatic advertising uses data to make decisions about which ads to buy in real-time, which improves efficiencies and increases the effectiveness of the ads.
Over-the-Top TV
Over-the-Top TV (OTT) – Is a streaming video service that uses the internet to deliver programming to the consumer without cable, satellite etc. This is video on demand through a subscription service such as Netfilx, Hulu etc. OTT can be watched on a TV, computer, laptop or smart phone.
Connected TV
Connected TV (CTV) – This refers to OTT that is specifically viewed on a smart TV.
Linear TV
Linear TV – The classic system when a viewer watches a scheduled TV program at the time it airs and on its original channel. This includes DVR recordings. The viewer typically watches content through regular programming or by paying for a cable or satellite subscription. Everyone watching sees the same content at the same time.
Streaming Media
Streaming Media – The continuous delivery of audio or video files over the internet from a server to a client. It is a way of viewing video or listening to audio without downloading a file.
First Party Data
First Party Data – First party data is the information a company collects directly from their audience or customers. In can include data from behaviors, actions or interests seen across their website or apps, subscription data or social data. I can also include offline information such as completed surveys, customer feedback and other customer information the company has collected.
Third Party Data
Third Party Data – Third party data is data you purchase from an outside source who did not collect the data themselves. These data vendors aggregate information from other sources. Third party data vendors purchase the first party data from others, combine the data, segment it and then resell it.
Digital Terms and Acronyms You Must Know
Because our digital world is constantly evolving there are new terms and definitions appearing regularly. These new terms are not designed to confuse but they often do. Hopefully, learning these 10 digital terms and acronyms will help you better understand the world of digital advertising.
