Understanding Key PPC Metrics & Concepts
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Real-Time Bidding (RTB)
Definition
Buying and selling online ad impressions through real-time auctions, occurring as a webpage loads.
Return on Investment (ROI)
Definition
A performance measure evaluating investment efficiency.
Formula
ROI = (Current Value of Investment - Cost of Investment) / Cost of Investment
Quality Score
Definition
Google's rating of keyword and ad quality/relevance, impacting cost-per-click (CPC) and ad rank.
Negative Keywords
Definition
Keywords preventing ad display for specific searches.
Impressions
Definition
The number of times your content is displayed.
Call-to-Action (CTA)
Definition
A statement prompting an immediate response, guiding potential customers.
Conversion
Definition
A valuable website action beyond a simple visit, specific to industry and company.
Homepage
Definition
A website's main page, often named index.html, containing links to other pages.