MadTech Glossary – September ’23
The MadTech (Marketing and Advertising Tech) world is ever-booming. With every second gone, millions are using its applications, and thousands are being introduced to it. To understand this world, one needs to be aware of the various terminologies, and since Oxford hasn’t stepped up, we have taken it upon ourselves.
The MadTech Glossary is comprised of the vocabulary to know better the many wheels of marketing and advertising tech. Read and learn about ten terms every month to pioneer a deep understanding of essential MadTech concepts.
Launched in February 2011 by the American Association of Advertising Agencies, the Association of National Advertisers, and the Interactive Advertising Bureau in the United States, 3MS or Making Measurement Make Sense is a vital initiative in the advertising industry aimed to enhance the measurement of interactive advertising’s value in the digital realm.
The core objective is to render digital media measurement directly comparable to traditional media, ensuring consistency. In essence, it seeks to standardize digital media measurement, making it more hospitable to brands while preserving the distinctive value of interactivity, thus fostering a more effective and reliable digital advertising landscape.
2. Ad Exchange
An ad exchange is an online marketplace that facilitates the buying and selling of digital advertising inventory. It connects advertisers looking to display their ads with publishers who have available ad space on their websites or apps. Advertisers bid on this inventory in real-time auctions, with the highest bidder’s ad being displayed to the target audience, allowing for efficient and data-driven advertising campaigns.
3. Behavioral Targeting
Behavioral targeting is an advertising strategy that uses consumer online behavior, such as browsing habits and previous interactions, to tailor personalized ads. This approach aims to deliver relevant content to individuals, increasing the likelihood of engagement and conversions by matching ads with users’ interests and preferences.
4. Channel Partner
A channel partner is a business or individual that collaborates with a manufacturer or service provider to distribute and sell their products or services. These partners play a crucial role in extending a company’s reach and market presence by leveraging their expertise, resources, and customer relationships.
5. App Remarketing
App Remarketing is a digital marketing strategy aimed at re-engaging users who have previously interacted with a mobile app but didn’t complete desired actions, like making a purchase. Through targeted ads and personalized content, it encourages users to return to the app, boosting conversions and user retention.
6. Click Fraud
Click fraud is a deceptive online practice where individuals or automated bots repeatedly click on online advertisements without genuine interest, artificially inflating ad engagement metrics. It aims to waste advertising budgets, skew data, and compromise the integrity of pay-per-click advertising campaigns, ultimately harming advertisers and platforms.
Offerwalls are online advertising platforms where users can engage with various sponsored offers, surveys, or tasks in exchange for virtual rewards, such as in-game currency, gift cards, or discounts. Advertisers use offerwalls to reach a targeted audience, while users benefit from earning rewards for their participation in these promotional activities.
8. Contextual Targeting
Contextual targeting is an advertising strategy that delivers relevant ads to users based on the content they are currently engaging with online. It matches ads to the context of web pages, ensuring that the advertisements are aligned with the content’s subject matter, thereby increasing the likelihood of engagement and conversions.
9. Demand Path Optimization
Demand Path Optimization (DPO) is a digital advertising strategy aimed at improving the efficiency and transparency of programmatic advertising. It involves assessing and optimizing the various paths through which ad inventory is purchased to enhance ad campaign performance, reduce costs, and ensure higher-quality placements for advertisers.
10. House Ad
A house ad is a promotional advertisement created by a media outlet or publisher to showcase its own products, services, or content. These ads are typically used to cross-promote within the same media platform and engage the audience with relevant offerings, encouraging further interaction or consumption.