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Glossary of terms used on this site
There are 56 entries in this glossary.All
| Term | Definition |
|---|---|
| Advertising |
A term traditionally used to describe a promotional message for which air time or print space is purchased by the advertiser or agency. The advertiser pays to control the message and the timing of the advertisement. See also Marketing and Public Relations.
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| Advertorial |
As might be guessed, this combination of the words advertisement and editorial describes an advertising message designed to look like an editorial. This type of advertising is used most often to communicate opinion about social, economic, political, or legislative issues. By law, an advertorial must be labeled as a paid advertisement so as not to be confused with actual editorial content.
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| Affidavit |
Sworn statement from a television or radio station that is sent to the advertiser or advertising agency as proof that an ad was run as ordered. Generally, an affidavit is sent with the invoices for the advertisement, as many advertisers will not pay their bill without evidence that the ad ran as ordered.
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| Agency Commission |
A commission given to advertising agencies by some media outlets (broadcast and print) for purchases of time or space made on behalf of clients. The media allows the agency a 15% discount off the Gross Rate shown on a rate card. (Marketing Partners passes all commissions directly back to clients.)
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| B2B / Business-to-Business |
Term used to describe a Target Market consisting of business customers versus individuals or consumers.
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| Base Rate |
One-time rate charged by an advertising medium before any discounts are offered; also called open rate.
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| BDI / Brand Development Index |
Percentage of a brand’s sales in an area in relation to the population in that area as compared to the sales throughout the entire U.S. in relation to the total U.S. population.
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| Bounce Rate |
Bounce Rate is the percentage of single-page visits (i.e., visits in which
the person left your site from the entrance page). Bounce Rate is a measure of visit
quality and a high Bounce Rate generally indicates that site entrance (landing) pages
aren't relevant to your visitors.
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| Broadcast Order |
Instructions to a radio or television station detailing the scheduling of spots for broadcast advertising. The broadcast order is issued by the advertiser or advertising agency and will specify the length of the advertisement, the daypart or time of day it is to be run, the quoted price, and the date (or dates) on which the ad is to run. See also Insertion Order.
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| Broadsheet |
The standard newspaper size (in contrast to Tabloid). Approximate page dimensions are 22" deep by 12" to 14" wide, with six or seven columns each 2-1/4" wide. A standard-size newspaper is sold folded in half.
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| Cause marketing |
Cause marketing or cause-related marketing refers to a type of marketing involving the cooperative efforts of a for-profit business and a non-profit organization for mutual benefit. The non-profit receives donations and visibility, while the for-profit business improves its image with the hope of increasing sales.
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| CDI / Category Development Index |
Percentage of sales for a specific category of products or services (e.g., lip balm or goat cheese) in an area in relation to the population in that area as compared to the sales throughout the entire U.S. in relation to the total U.S. population. The U.S. average sales per person becomes the base index of 100 for the category.
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| Circulation |
Number of copies of a newspaper or magazine that are sold or distributed
to the general public.
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| Classified Advertising |
Advertising appearing in newspapers and some magazines that is arranged according to specific categories or classifications. The text of the advertisements is set in the same size and style of type and the ads are usually without illustration.
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| Click-through rate or CTR |
is a way of measuring the success of an online advertising campaign. A CTR is obtained by dividing the number of users who clicked on an ad on a web page by the number of times the ad was delivered (impressions). For example, if a banner ad was delivered 100 times (impressions delivered) and one person clicked on it (clicks recorded), then the resulting CTR would be 1 percent.
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| Collateral Material |
Term used to describe pieces used for marketing/sales support of a product or service. Such materials were traditionally printed, but in addition to brochures and hangtags, collateral materials now commonly include video, CD-ROM, and other multi-media formats.
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| Column Inch |
Unit of measure in a publication by which advertising space is sold. Magazines and newspapers are divided into so many columns wide and so many inches deep (depth = height). If the advertiser's message fits into space that measures 4 columns wide by 5 inches deep, the advertiser needs 20 column inches (4 x 5 = 20).
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| Commissionable |
Advertising time or space that is purchased by an advertising agency on behalf of a client and for which the agency receives a commission from the media. (Marketing Partners passes all commissions directly back to clients.)
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| Cooperative Advertising |
Individual advertisement sponsored by two or more manufacturers or retailers where the sponsors cooperate in the copy as well as the budget.
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| CPC (Cost per Click) |
Cost per click (CPC) is the amount of money an advertiser pays search engines and
other Internet publishers for a single click on its advertisement that brings one visitor to
its website.
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| CPM / Cost Per Thousand |
Cost of reaching an audience on a per thousand basis. The CPM is computed by multiplying the advertising cost times 1000 and dividing by the total audience.
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| Cumulative Audience |
Audience accumulation for a medium over a specified period of time. Individuals or
households count only once in this measurement, no matter how many times they may
have been exposed to the medium. Cumulative audience represents the unduplicated
audience (the number of people who will be reached at least once) for a schedule over
a specific time period.
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| Demographics |
Population statistics with regard to socioeconomic factors such as age, income, sex, occupation, education, family size, and the like. Advertisers often define their Target Market in terms of demographics; thus, demographics are a very important aspect of media planning in matching the media with the market.
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| Display Advertising |
Print advertising that is located throughout a publication and that uses size, color, illustrations, photographs, and various decorations and typography to attract the reader's attention. Display advertising is found among the editorial sections of a publication and is not grouped according to classification (as classified advertisements are). It further differs from Classified Advertising in that it uses illustrations and varying type sizes and bases its rate structure on Column Inches, or fractions of a page.
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| Frequency |
Average number of times a commercial or advertisement has been viewed per person (or per household) during a specific time period. Frequency, along with Reach, is an important concept in the planning of an advertising media schedule. Frequency is calculated by dividing the total possible audience by the audience that has been exposed at lease once (Reach or Cumulative Audience) to the particular time segment (in broadcast) or publication in which the advertising message appears.
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| Gross Rate |
A media outlet's published rate before any agency commisions or discounts. See also Net Rate.
|
| GRP / Gross Rating Point |
GRP represents the percentage of the target audience reached by an advertisement. If the ad appears more than once, the GRP figure represents the sum of each individual GRP. Total GRPs, or the sum of all rating points for an advertising schedule, are usually stated on a weekly basis. For example, in the case of a TV advertisement aired 5 times a week reaching 50% of the target audience, it would have 250 GRPs = 5 x 50% -- i.e., GRPs = frequency x % reach. In principle, 100 GRPs could mean either that 100 percent of targeted households are reached once per week, or 1 percent of them are reached 100 times in the week, or any combination thereof.
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| Hit |
This is a public relations term used to describe a "media hit", i.e., the appearance of a client's name and message in a newspaper, on television, the radio, or any other media outlet.
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| HUT / Households Using Television |
A. C. Nielsen Company term representing the percentage of households in a specific
area and in a particular time period that have their television sets turned on as
compared to the total number of television households in that area. If, for example,
there are 1000 television households in a particular survey area and 500 of those
televisions are turned on in a given time period, the HUT level for that area in that time
period is 50.
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| Impressions |
Number of homes or individuals exposed to an advertisement or group
of advertisements. In Internet, the total number of times an online advertising banner
has been served to the websites visitors. To be counted as an impression, the banner
has to successfully load on the user's browser.
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| IO / Insertion Order |
Instructions to a publisher detailing the placement of material for print advertising. The insertion order is issued by the advertiser or advertising agency and will specify the size of the advertisement, the position, the quoted price, and the date (or dates) on which the ad is to appear.
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| Life-style |
Individual pattern of living as reflected by interests, opinions, spending habits, and
activities.
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| Lorem ipsum |
Sample text used for layouts created from "de Finibus Bonorum et Malorum" (The Extremes of Good and Evil) written by Cicero in 45 BC. It has become the standard text used for layouts where copy is not finalized or has not been given to the designer, but comps for a layout need sample text.
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| Marketing |
There are many definitions out there, but the term marketing is generally used to describe any and all activities designed to motivate a specific purchase or behavior. Marketing is the umbrella term that includes the 5 Ps of the marketing mix (positioning, product, price, place, promotion) as well as the subdisciplines of advertising, public relations, sales, promotions, packaging, etc.
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| Media Reach |
Size of audience exposed (See Exposure) to an advertisement through a particular Medium.
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| Net Rate |
A media outlet's published rate after any agency commissions or discounts. For example, with a commissionable gross rate of $100 for a particular ad, the standard net rate after a 15% agency commission is $85.
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| Open Rate |
See Base Rate
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| POP or POS / Point-of-Purchase or Point- |
A term used for in-store promotional materials, such as display racks, header cards, shelf-hangers, and signage.
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| Preempt |
Local broadcasting time subject to change to accommodate Network Broadcasting. If a
local advertiser purchases broadcast time that falls under the network preemption
clause, the local advertiser may have to give up this period to a national advertiser, if
the national advertiser elects to buy that time for its network broadcast.
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| Production |
Process of physically preparing advertising in its completed form. Production entails the specification of typography, procuring paper for print jobs, securing printing, typography, and film/digital estimates from suppliers. In addition, production involves checking a publication's mechanical requirements and closing dates to assure that scheduling deadlines are met.
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| PSA / Public Service Advertising |
Advertising with a central focus on the public welfare. Public service advertising is generally sponsored by a nonprofit institution, civic group, religious organization, trade association, or political group. Typically, it is directed at some humanitarian cause, philosophical ideal, political concept, or religious viewpoint.
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| Psychographics |
Criteria for segmenting consumers by lifestyle, attitudes, beliefs, values, personality, buying motives, and/or extent of product usage. Psycholographic analyses are used like geographic (place or residence or work) and demographic (age, income, occupation) criteria to describe and identify customers and prospective customers and to aid in developing promotion strategies designed to appear to specific psychographic segments of the Market for a product.
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| Public Relations |
Public relations (PR) refers to publicity that is secured through free media such as newspaper articles, mentions on television newscasts, or blog posts.
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| Rate Card |
Pamphlet, brochure, or single sheet that tells the costs for advertising on or in a
communications medium. The rate card is usually designed to give the advertiser all the
pertinent information about advertising with the medium.
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| Rating |
Broadcast: size of an actual listening or viewing audience for a particular program or
commercial as compared to the size of the potential audience. The potential audience
consists of all households in a geographic area that have broadcast receivers (radios
and televisions), whether or not these broadcast receivers are tuned on. A program with
a high rating will deliver a large audience to advertisers of their commercial.
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| Reach |
See Cumulative Audience
|
| Reach and Frequency |
Components used to figure out the Gross Rating Points obtained by a broadcast
media schedule. Reach tells how many households will be exposed to the schedule,
and Frequency tells how often each household will be exposed. The two numbers
multiplied together will indicate, by percentage, the total potential audience exposure in
a give market. Some measure of reach and frequency must be determined in planning a
broadcast media advertising campaign, and the Media Planner must decide upon the
balance between the two.
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| Share of Audience |
Portion of the group of people who might receive an advertising message, or who are of
interest to the advertiser, and who actually do receive the message.
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| Social media marketing |
Social media marketing refers to marketing, advertising or public relations campaigns that use social media networks -- such as Twitter, Facebook, LinkedIn, RSS feeds or blogs -- to achieve their objectives.
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| SWOT Analysis |
An analysis of a company or product's Strengths, Weaknesses, Opportunities, and Threats in relation to its competitors in a particular market at a particular time.
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