Since I was writing everywhere, I thought I’ll start writing my personal experiences on my portfolio/blog just so that it doesn’t look empty. There are many advertising enthusiasts out there willing to earn from Adsense and other advertising giants. I have lots to share about my experience till now but why write just the bad?

CPM: Stands for Cost Per Thousand Impressions. That is, the amount the advertiser is willing to pay for 1000 of its ad being shown to users. So when an advertiser inserts a CPM of 2$, he is willing to pay 2$ for 1000 times his ads are shown to the user.

CPC: Cost Per Click. It is the amount an advertiser pays for when a user clicks on his/her Ad.

PPC: Pay Per Click. It is similar to CPC where advertisers can display ads for their goods or services when users – people searching for things online – enter relevant queries into search engines. Advertisers are only charged when a user actually clicks on their ad, hence the name “pay-per-click.”

RPM: Revenue for 1000 Impressions. This term is used for an advertising publisher who is showing ads on his/her site. Since there are many different ads shown on the site, all advertising income are combined and shown as RPM. (I think it is only an Adsense term)

CPE: Cost Per Engagement. It is when a user interacts with the ad in some way (Not just clicking on it). Sometimes ads are shown as small games or so and when a user plays the game for a while, we can term it as interaction or engagement.

CPA: Cost Per Action. Amount an advertiser is willing to pay for each action a user takes on an Ad.

Active View CPM: It is when an advertiser pays only for when his/her ad is shown to users. (Or when at least 50% of the ad is shown to a user for 1 second) But different advertisers show & decide different metrics for it.

CTR: Click Though rate. It means the number of times an advertisement is clicked divided by the number of times advertisement is viewed. CTR = Number of clicks / Number of impressions. So if 20 out of 100 people click on your ads, CTR is 20%.

GDN: Google Display Network. GDN is a DSP – A demand-side platform which has inventory from one exchange/SSP (AdSense).

ATF: Above the Fold. Above the fold or the top fold of the page, refer to the portion of the page a user can see without scrolling down & similar is BTF which stands for Below the Fold.

GRP: Gross Rating Point. It is a math equation used by advertisers to determine how many people within an intended audience might have seen their ads.

For all those who are confused what is the difference between Google Adwords & Google Adsense..

Google Adwords is an advertiser based platform. Where suppose you want to show your company’s ads on other sites and search results, you use AdWords.

Google Adsense is a publisher based platform. Where if you have a site and you want to show other’s ads on your site and earn some bucks, you use Adsense.