As retailers compete for growth and tap into the exciting potential of next-gen retail media, two things are clear: programmatic is key, and the right tech and workflows are essential.
For many retail teams stepping into and expanding from trade budgets and initiatives into programmatic retail media there is a learning curve. With any new tech or change, comes new things to catch up on. Here we’ve broken down key terms to help you navigate this new frontier with ease.
- What is programmatic?
Programmatic advertising is buying and selling ads automatically using technology rather than negotiating deals manually. It is like an ad marketplace where computers buy and sell ads in real-time to show the right ad to the right person.
- What is a DSP?
A Demand-Side Platform (DSP) is a tool advertisers use to buy ads automatically. It helps them find and bid on suitable spaces to show their ads to their target audience, all through one platform.
- What is an SSP?
A Supply-Side Platform (SSP)is the opposite of a DSP. It’s used by publishers (such as websites or apps) to sell their ad spaces to advertisers, helping them get the best price for their inventory.
- What is a retail media network?
A Retail Media Network is when a retailer (like a big store) creates its advertising platform. Brands pay the retailer to show ads on the retailer’s website, app, or other channels to reach customers already shopping there.
- What do you mean by inventory in Retail media?
In Retail Media (RM), inventory refers to all the places where ads can appear, like on product pages, category pages, or search results on the retailer’s site or app.
We have gathered everything a retailer needs to know to step up from trade budgets to setting up a retail media network.
- What is an impression?
An impression is when an ad is shown to someone, even if they don’t click it. It’s simply the act of the ad being displayed.
- How are pageviews different from sessions?
Pageviews: Count the number of times a website’s pages load.
Sessions: Measure a person’s time on a website in one visit, regardless of how many pages they view.
So, one session can have multiple page views.
- What is CPM?
CPM (cost per mille) is the cost to show an ad 1,000 times. For example, if an advertiser pays $5 CPM, they pay $5 for every 1,000 ad impressions.
- What is CPC?
CPC (Cost Per Click) means the advertiser only pays when someone clicks on their ad. For example, if the CPC is $1, the advertiser pays $1 for each click.
- What is incremental effect, and why does it matter?
You measure the incremental value for a campaign using control groups to ensure your ad campaign delivers value you would not otherwise have received.
- What is a sponsored product ad?
A sponsored product ad highlights a specific product on a retailer’s site. It’s usually placed in search results or on product pages to help boost the visibility and sales of that product.
- What is an onsite banner ad?
An onsite banner ad is a large ad displayed on a retailer’s website or app. These ads usually promote a brand or product and are designed to catch the shopper’s attention.
- What is then an offsite ad?
An offsite ad is shown outside the retailer’s website, such as on other websites, apps, or social media platforms. These ads drive traffic to the retailer’s site or promote its products elsewhere.
- What is DOOH?
DOOH (Digital Out-of-Home) refers to digital ads on public screens, such as billboards, bus stops, or shopping malls. These are modern, dynamic versions of traditional out-of-home ads.
Want to learn more?
If you are curious about retail media, we explore the topic in a series of short video episodes. Sign up to get notified when new episodes drop.
