1.) Impressions: An impression is defined as the total number of views or ad views. Depending on the keyword you’re bidding on, a term may have hundreds of thousands impressions in a day, or none at all.
2.) Clicks: A click is when a user searches a keyword you’re bidding on, engages in the ad and clicks through to your landing page.
3.) Click-Through-Rate (“CTR”): Click-Through-Rate is the percentage of users searching your keywords and clicking through to your landing page. In my experience, a solid CTR average is between 1.5% – 2.0%. In a further section, ways of improving your CTR will be discussed.
CTR = Clicks/Impressions
4.) Cost-Per Click (“CPC”): Cost-Per-Click is defined simply as it sounds. It’s taking the total spend on a given keyword and dividing by the number of clicks that term received.
CPC = Cost/Clicks
5.) Action/Conversion: An action or conversion is when a user completes a form or a purchase to receive your product or service.
6.) Conversion Rate (“CVR”): A Conversion Rate is defined as the percentage of clicks (visitors) that actually convert into an action.
CVR = Action/Clicks
7.) Cost-Per-Action (“CPA”): Cost-Per-Action is easily defined as CPA = Cost/Actions. This explains how much you’re paying for a user to convert.
8.) Landing Page: A Landing Page is the webpage the user is sent to after clicking an ad
9.) Web Analytics: Web Analytics is a software program which tracks usage data from a website such as, actions, visitor metrics, heat mapping ect.
10.) Ad Copy: Ad Copy is the persuasive language chosen to display on an Pay Per Click Ad.
