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The ultimate guide to advertising and marketing acronyms

bigstock-People-Hands-With-Symbols-Of-L-472769329Marketing and advertising thrives on acronyms and industry jargon, making it confusing for someone who is new to the sector. However, understanding these terms is essential for effective communication and successful campaigns.

 What are marketing and advertising acronyms? 

Marketing and advertising acronyms are a shorthand way of referring to concepts, metrics, and techniques that are commonly used across the industry. These acronyms help professionals communicate quickly and efficiently, but they can be overwhelming for beginners. Here’s 18 of the most commonly used terms in paid media…

CTA: Call to Action

A CTA is a message or button that encourages users to take a specific action, such as buying a product, signing up for a newsletter, or filling out a form. CTAs are essential for converting website visitors into customers.

CTR: Click-Through Rate

CTR measures the percentage of people who click on a link or ad compared to the number of people who saw it. A high CTR indicates that your ad or link is relevant and compelling to your audience.

AOV: Average Order Value

AOV is the average amount of money spent by customers on each order. A high AOV means that customers are spending more money per transaction.

CPA: Cost per Acquisition / CAC: Customer Acquisition Cost

CPA is the cost of acquiring a new customer through a specific campaign or channel. It is calculated by dividing the total cost of the campaign by the number of new customers acquired. Lowering your CPA is essential for improving your ROI but it’s important to consider how all your channels are working together.

MMM: Marketing Mix Modelling

MMM is a statistical analysis that helps businesses understand the impact of their marketing and advertising campaigns on sales. It considers multiple variables, such as media spend, promotions, and seasonality, to provide actionable insights.

ROAS: Return on Ad Spend

ROAS measures the revenue generated by a specific ad campaign compared to the amount spent on it. A high ROAS means that your campaign is generating a positive return on investment but beware last click attribution.

CLV: Customer Lifetime Value

CLV is the total amount of money that a customer is expected to spend on your products or services over their lifetime. Understanding CLV is essential for developing effective retention strategies. Are new customers only signing up for a promo or will they stick with you?

PPC: Pay-Per-Click

PPC is a type of online advertising where advertisers pay each time a user clicks on their ad. This model is typically used by search engines and social media platforms.

CRM: Customer Relationship Management

CRM is a strategy and software that helps businesses manage interactions with their customers, from lead generation to customer support. A good CRM system can also give you an entire view of potential customers and where they are in the funnel.


ROI: Return on Investment

ROI measures the profit generated by a specific investment compared to the cost of that investment. A positive ROI means that the investment is profitable.

ATL: Above the Line

ATL refers to traditional advertising channels, such as television, radio, and billboards. These channels are all about reaching a wider audience.

BTL: Below the Line

BTL refers to non-traditional advertising channels, such as direct mail, email marketing, and event sponsorship. These channels are typically more targeted than ATL channels, but more recently branding has also moved online due to audience shifting to devices.

UX: User Experience

UX refers to the overall online experience that a user has with a product or service, including how easy it is to buy from you.

CPL: Cost per Lead

CPL is the cost of generating a new lead through a specific campaign or channel. It is calculated by dividing the total cost of the campaign by the number of new leads acquired.

CRO: Conversion Rate Optimisation

CRO is the process of improving the percentage of website visitors who take a desired action, such as making a purchase or filling out a form. It involves analysing user behaviour and testing different strategies to improve conversion rates. This could include moving a button or changing a line of text on your website.

CPC: Cost per Click

CPC is the cost of each click on an ad or link. It is typically used in pay-per-click advertising models, such as Google Ads or Facebook Ads.

CLTV: Customer Lifetime Value

CLTV is the total value of a customer over their entire lifetime of doing business with your company. It includes all of their purchases, subscriptions, and repeat business. Understanding your CLTV helps you make better decisions about marketing and customer acquisition.

LCA: Last Click Attribution

LCA is a type of attribution model that assigns credit for a conversion to the last touchpoint a customer interacted with before making a purchase or taking a desired action. This model is often used in digital marketing to measure the effectiveness of specific channels or campaigns but has many issues when multiple channels are being used simultaneously.

Implementing your paid media strategy

With a full knowledge of all the key marketing acronyms in paid media, you can now confidently put together a strong strategy. If you’re looking to understand more about how long-form branded content campaigns can help fill your funnel, get in touch today