The Definitive App Marketing Glossary

Ever felt lost in a sea of jargon? In this industry, acronyms are often thrown around, creating a sense that there's a steep learning curve when starting with advertising. But fear not! We've crafted this glossary to be your one-stop resource, breaking down all the essential terms you need to navigate the world of app marketing with ease.

Here are the key terms and definitions to unlock the world of app marketing:

AOV - Average Order Value

AOV stands for Average Order Value. This metric reflects the typical amount spent by a cus bvvvvvvvvtomer for each order they make on a website or mobile application. To figure out your business's AOV, divide the overall revenue by the total count of orders.

API - Application Programming Interface

API stands for application programming interface. It acts as a bridge allowing two different software programs to interact and exchange information. Through the API, separate applications can seamlessly transmit data back and forth.

ARPDAU - Average Revenue Per Daily Active User

ARPDAU stands for average revenue per daily active user, a crucial metric in understanding how much money is earned from each active user daily. It serves as a significant indicator for tracking the financial effectiveness of app modifications over time. Utilizing ARPDAU helps developers and marketers pinpoint how alterations within the app affect its monetization potential.

ARPPU - Average Revenue Per Paying User

ARPPU stands for Average Revenue Per Paying User. It's a metric used by app marketers to calculate the average income produced from users or players who make purchases within a given timeframe. This helps in understanding the value generated from active paying customers.

 ARPU - Average Revenue Per User

ARPU stands for Average Revenue Per User, a key performance indicator in mobile marketing. ARPU helps in evaluating the worth generated from individual users or specific user segments. This metric is essential for understanding the financial contribution of users to the business.

ASA – App Store Advertising

ASA stands for Apple Search Ads, a program enabling app creators to advertise their applications in the Apple App Store. By utilizing this paid service, developers can ensure their app surfaces first in search outcomes, aligning with specific keywords or terms used by browsing users. This feature is crucial for enhancing app visibility and driving user downloads.

ASO - App Store Optimization

ASO stands for App Store Optimization, a strategy aimed at enhancing the discoverability of an application within an app store. The ranking of each application is determined by several criteria set by the app stores.

ATT - App Tracking Transparency

ATT stands for App Tracking Transparency, a privacy protocol introduced by Apple. This framework mandates that iOS applications seek consent from users before they can access the Identifier for Advertisers (IDFA) and monitor their behavior or device. This permission is requested through a pop-up message.

AVOD - Advertising-Based Video On Demand

This revenue model is employed by platforms offering video content on demand. It allows viewers to access videos for free, provided they view advertisements. The income from these ads helps cover the expenses related to content creation and platform maintenance.

BI Tools - Business Intelligence Tools

BI tools, or Business Intelligence tools, are software applications used in app marketing to analyze data related to user behavior, revenue, and app performance. They help marketers make informed decisions by providing insights into trends and patterns. These tools are essential for optimizing marketing strategies and improving overall app success.

BVOD - Broadcaster Video on Demand

BVOD stands for Broadcaster Video on Demand, encompassing professional, high-quality content provided online by traditional broadcasting channels. This content is available whenever users choose to view it, offering a flexible, on-demand viewing experience.

CAC: Customer Acquisition Cost

CAC stands for Customer Acquisition Cost, a crucial metric for app businesses gauging the expense involved in acquiring a new customer. It represents the aggregate of sales and marketing expenses over a defined period necessary to attract a customer. Grasping this figure aids companies in formulating budget plans for new customer acquisition.

CDN: Content Delivery Network

CDN stands for Content Delivery Network, which is a network of servers spread out over various locations to store content closer to users. This setup speeds up the delivery of online content such as web pages, scripts, stylesheets, and media files, ensuring faster access and improved user experience.

CLV/CV: Customer Lifetime Value

Customer Lifetime Value (CLV) is a crucial metric within a customer experience strategy. It represents the total value a customer brings to your business over the entirety of their relationship, rather than evaluating them transaction by transaction.

CPA - Cost Per Action

This pricing model means marketers compensate ad networks or media sources only when a specific action, like a purchase or signup, is performed within an app following an ad interaction. To find the CPA, divide the total cost of the advertising by the total number of completed actions.

CPC - Cost Per Click

This term refers to a pricing method used in pay-per-click advertising where advertisers are charged a predetermined fee each time their advertisement is clicked. The model prioritizes measurable user engagement, ensuring advertisers invest in ads that attract attention. Essentially, with CPC, payment is made for tangible actions, not just for ad displays.

CPCV - Cost Per Completed View

This advertising payment model charges advertisers solely when a video ad is viewed in full by a user. It ensures that advertisers incur costs only for ads watched entirely, reducing their risk while focusing on acquiring high-quality viewers.

CPE - Cost Per Engagement

This refers to a pricing model used in advertising where the cost is determined by the specific actions users take within an app. In the context of mobile advertising, in-app engagement means any user activity following the download. Advertisers are charged based on these interactions.

CPI - Cost Per Install

CPI stands for Cost per Install, a pricing model utilized in user acquisition (UA) strategies. This model involves advertisers paying a predetermined fee to advertising networks each time their app is installed. Primarily applied in the mobile app sector, CPI helps marketers manage and evaluate their advertising expenditures effectively.

CPM - Cost Per Mille (Thousand Impressions)

CPM stands for "cost per mille," where "mille" is derived from the Latin and old French terms for "thousand." Hence, it's frequently referred to as cost-per-thousand. Essentially, CPM is the price a marketer incurs for every thousand views or impressions of an online advertisement.

CPO - Cost Per Order

CPO stands for Cost Per Order, which represents the average amount spent on marketing to secure any purchase, encompassing both new and repeat customers. It's important to differentiate this from Cost Per Acquisition (CPA), which exclusively measures the expense involved in attracting new customers to your store.

CPS: Cost Per Sale

Cost Per Sale (CPS), alternatively known as Pay Per Sale, is a measure utilized by marketing departments to ascertain the expenditure incurred for each sale produced through a particular ad.

CPV - Cost per View

This advertising model charges advertisers when a user views an ad for a predetermined time. To determine the CPV, divide the total expense of the video advertisement by the total view count.

CRO: Conversion Rate Optimization

CRO stands for Conversion Rate Optimization. It's a strategy focused on improving the rate at which visitors to your website complete a specific action, also known as 'conversion'. This approach aims at enhancing the effectiveness of your site to boost user engagement and actions.

CTIT - Click to Install Time

This metric measures the time period between a user clicking on an advertisement and the subsequent opening of the app. It's particularly useful for identifying and mitigating mobile advertising fraud, where malicious entities attempt to manipulate the attribution of the last click.

CTR - Click-Through Rate

CTR stands for Click-Through Rate, which is a measure used in mobile advertising to assess how often an ad is clicked compared to how many times it is shown (impressions). To calculate CTR, you divide the total clicks by the total impressions and convert this number into a percentage. This metric is crucial for understanding the effectiveness of advertising campaigns.

CTV Advertising - Advertising on Connected TV 

CTV advertising stands for advertising on connected TV devices, including smart TVs and mobile devices, enabling brands to engage with streaming viewers. Begin leveraging Amazon Ads to showcase your products and develop advertising campaigns.

CVR/CR - Conversion Rate

CVR stands for conversion rate, a metric used in in-app advertising. It represents the ratio of users who have viewed an ad for app installation, engaged with it by clicking, and then completed a specific desired action. This measure helps app advertisers understand the effectiveness of their ads in converting users.

DAU - Daily Active Users

DAU represents the total distinct users interacting with an app over a one-day period. It's commonly employed by companies in industries like gaming, where daily user engagement is anticipated.

DMP - Data Management Platform

A Data Management Platform (DMP) gathers, arranges, and utilizes audience data from different sources, including online, offline, and mobile platforms. This data, which may come from first, second, or third-party origins, is then used to create comprehensive customer profiles. These profiles are instrumental in guiding targeted marketing and customization efforts.

DP - Differential Privacy

Differential Privacy (DP) is a method used to maintain privacy when disclosing information about a group. It aims to reveal the group's overall trends without exposing details about any individual member.

DSP - Demand-Side Platform

A Demand-Side Platform (DSP) is software that enables advertisers to purchase ads automatically. DSPs provide mobile advertisers the ability to acquire large amounts of quality traffic efficiently, making them a potent tool for marketing automation.

eCPC - Enhanced Cost Per Click

eCPC stands for effective cost per click, indicating the hypothetical cost per click if the advertiser had opted for clicks instead of impressions or conversions.

eCPI - Effective Cost Per Install

eCPI stands for "effective Cost Per Install," highlighting the actual cost involved in acquiring a new user installation for an app. It is akin to CPI, or cost per install, but eCPI considers the natural fluctuations in mobile marketing, factoring in the organic and viral aspects that come with acquiring a new app user.

eCPM - Effective Cost Per Mille

eCPM, or effective cost per mille (thousand), represents the amount a publisher (such as an app developer) earns for every thousand advertisements shown within their app. This metric helps publishers evaluate the effectiveness of advertising campaigns and optimize the revenue potential of their ad inventory.

GAID - Google Advertising ID

Google Advertising ID, commonly referred to as GAID or Android Advertising ID (AAID), serves as a distinctive identifier for devices. It allows app developers and marketers to track campaign effectiveness and analyze user actions across various media channels while maintaining user anonymity.

IAP – In-App Purchase

In-app purchases (IAPs) enable users to acquire consumables, non-consumables, and subscriptions directly inside an application. These transactions are processed via the corresponding app store or alternative payment systems, utilizing actual currency instead of in-app tokens or awards.

IDFA - Identifier for Advertisers

The IDFA, or Identifier for Advertisers, is a unique code that Apple assigns to a user's device anonymously. It allows a mobile application that's been installed to monitor the user's actions across different apps, websites, or offline settings owned by other businesses.

IMA - Interactive Mobile Ads

Interactive Media Ads (IMA) consists of a collection of SDKs designed to seamlessly incorporate multimedia advertisements into your websites and applications. The IMA SDKs enable the fetching of ads from any ad server compliant with VAST and handle the ads' display within your applications.

IPM - Installs Per Mille

IPM represents Installs per Thousand Impressions. This metric measures the total installs an app receives for every thousand times an advertisement is shown. Commonly utilized in mobile marketing and user acquisition efforts, it helps in assessing the effectiveness of ad campaigns in attracting new app users.

KPI - Key Performance Indicator

Key performance indicators (KPIs) for mobile apps track the ongoing success of an app from its initial development and marketing phases through to the income produced by the end product.

LAT - Limit Ad Tracking

Limit Ad Tracking (LAT) is a setting enabling users of iOS devices to opt out from sharing or using the Identifier for Advertisers (IDFA). It's important to note that LAT is now primarily applicable only to devices operating on iOS versions earlier than 14.

LTV - Lifetime Value

Lifetime Value (LTV) represents the projected income a customer will bring to a business over the course of their relationship. This value assists in guiding decisions on marketing expenditure, resource allocation, profitability, and future planning.

MAU - Monthly Active Users

Monthly Active Users (MAU) serves as a crucial metric or main performance indicator, quantifying the distinct users engaging with your app or game within a monthly or 30-day span. It ensures that each user is counted only once during this timeframe, without considering the frequency of usage.

MMM - Marketing Mix Modeling

MMM, also referred to as marketing mix modeling, enables marketers to assess a broad array of changes, encompassing both digital and traditional channels. It considers external factors such as promotions, seasonal trends, media attention, and others in its analysis.

MMP - Mobile Measurement Partner

MMP, or Mobile Measurement Partner, tracks and analyzes how users interact with mobile apps. Companies like AppsFlyer, Adjust, and Kochava serve as MMPs, providing insights into user acquisition, engagement, and conversion. They help marketers optimize their campaigns and measure their success across different channels and platforms.

MRAID - Mobile Rich Media Ad Interface Definitions

MRAID, also known as Mobile Rich Media Ad Interface Definitions, serves as a standard API for executing rich media advertisements within mobile applications.

MRR - Monthly Recurring Revenue

MRR represents the consistent income a company anticipates on a monthly basis. It's a standardized figure reflecting expected monthly earnings. For instance, if there are 10 clients each contributing $50 every month, the MRR would amount to $500.

MTD - Month To Date

MTD, short for month to date, represents the time frame from the start of the current month until the present moment, excluding today's date since the day may not yet be concluded. This term is commonly used to track the progress, outcomes, or metrics of specific activities or campaigns during the specified period.

MVPD - Multichannel Video Programming Distributors

MVPD stands for multichannel video programming distributors. These entities provide multiple television channels and services to consumers, encompassing both traditional cable and satellite providers as well as newer digital streaming platforms.

NOI - Non-Organic Install

A non-organic install (NOI) is when an app is downloaded due to marketing efforts, such as through a paid advertisement or an owned media campaign.

OTT - Over-The-Top (content delivered via internet)

OTT represents the term 'over-the-top' and denotes technologies (OTT services or platforms) that stream content through devices connected to the internet. In the realm of mobile marketing, OTT primarily pertains to video content delivered directly to viewers over the web.

Paid Search

Paid search refers to the strategy of using ads to appear prominently in search results on platforms like Google App Campaigns and Apple Search Ads. By bidding on specific keywords, marketers can drive visibility and downloads for their mobile apps. This approach helps in targeting users actively searching for similar apps.

Paid Social

Paid social refers to the use of sponsored content on platforms like Meta Ads and TikTok to promote mobile applications. This strategy involves paying these social networks to display ads, reaching targeted audiences to boost user acquisition and engagement. It's an effective way to enhance visibility and drive downloads.

PCA - Privacy Cloud Application

A Privacy Cloud Application (PCA) allows companies and their affiliates to exchange and examine data through a protected platform.

pLTV - Predicted Lifetime Value

The estimated value of a customer, merging historical insights with present metrics, enabling marketers to design and refine campaigns based on anticipated consumer behaviors.

PMP - Private Marketplace

A private marketplace (PMP) is a bidding environment reserved for a select group of advertisers chosen by the publisher. These marketplaces provide enhanced control over where ads are placed, often ensuring top-notch positioning.

PPC - Pay Per Click

PPC represents a digital marketing model known as pay-per-click. In this approach, advertisers are charged whenever someone clicks on their advertisements.

PPI - Pay Per Install

PPI (Pay Per Install) represents a payment structure where advertisers are charged for each installation publishers secure for their apps, as opposed to paying for impressions, clicks, or different types of interaction.

PPTs - Privacy Preserving Technologies 

PPTs (Privacy Preserving Technologies) are designed to safeguard individual privacy while allowing data to be used for analysis and decision-making. These technologies enable the collection and processing of data in a manner that minimizes the risk of personal information being exposed or misused.

PSI - Private Set Intersection

PSI is a privacy-preserving technique that allows for two parties to compare their sets of data points and compute the intersection of their data, without giving up on their individual data privacy.

PVOD - Premium Video On Demand

Premium video-on-demand (PVOD) refers to a monetization approach where OTT services offer viewers the opportunity to pay an additional fee for early access to exclusive video content. While it resembles the standard video-on-demand (VOD) model, the key distinction lies in providing access to content sooner than usual, albeit at a higher cost.

ROI - Return on Investment

ROI, short for return on investment, is crucial for app developers to measure the effectiveness of their projects. This calculation helps them gauge the overall achievement of their initiatives.

ROAS - Return on Ad Spend

ROAS (Return on Ad Spend) serves as a crucial metric in digital and mobile advertising. It measures the revenue generated for each dollar invested in a marketing initiative.

RTB - Real-Time Bidding

Real-time bidding (RTB) refers to an instant process of buying and selling online ad impressions through automated auctions. As users visit a website or mobile application, a live bid takes place where various advertisers contest for the available ad space.

SDK - Software Development Kit

A mobile SDK (Software Development Kit) is a code library that enables mobile applications to link with external services and platforms. By implementing a mobile SDK, developers gain access to various functionalities such as analytics or user re-engagement tools, or they can link with advertising networks to display ads within the app.

SEM - Search Engine Marketing

Search engine marketing (SEM) is a strategy used to increase a company's content visibility in search engine results. Similar to search engine optimization (SEO), SEM aids businesses in enhancing their content's positioning on search engines.

SEO - Search Engine Optimization

SEO, short for Search Engine Optimization, involves enhancing a website's setup, content significance, and the number of external links leading to it. This ensures the site becomes more discoverable, relevant, and authoritative in response to user searches, leading to higher rankings by search engines.

SERP - Search Engine Results Page

A SERP, or search engine results page, is crucial for enhancing your website's online presence. These pages display the outcomes a user encounters when they perform a search using engines such as Google, Bing, or Yahoo.

SMM - Social Media Marketing

Social media marketing (SMM) leverages social media networks to engage with consumers, enhance brand presence, boost sales, and generate web traffic.

SOV - Share of Voice

Share of Voice (SOV) represents the portion of a brand's advertising presence or mentions compared to the total in a given market or sector.

SPO - Supply Path Optimization

Supply Path Optimization (SPO) is a method where purchasers aim to eliminate unnecessary intermediaries and simplify their supply access. Agencies and advertisers pay close attention to supply paths for several reasons. The primary three are: to lower infrastructure expenses, to enhance performance, and to streamline operations.

SSP - Supply-Side Platform

A sell-side platform (SSP), also known as a supply-side platform, is a technological tool used for organizing and administering the sale and distribution of advertising spaces. SSPs assist owners of digital media and publishers in monetizing their websites by managing ad inventories.

SVOD - Subscription Video On Demand

SVOD stands for subscription video on demand, a common revenue model for OTT video services. In this arrangement, users pay a set fee monthly or annually for unrestricted access to a vast collection of video content without advertisements. This concept is similar to a SaaS subscription, but specifically for video content.

TTR – Tap Through Rate

Tap Through Rate (TTR) serves as a crucial metric for mobile marketers to gauge the success of their Apple Search Ads campaigns. It calculates the frequency at which users click on your app's search results or Search tab advertisements within the App Store, relative to the overall number of views received.

TVOD - Transactional Video on Demand

Transactional Video on Demand (TVOD) refers to a revenue model in which users pay for each piece of content they wish to watch or rent on their internet-connected TV devices. This can be either a single purchase or a rental fee.

UA - User Acquisition

User acquisition, commonly abbreviated as UA, involves attracting new users to an app, platform, or service. In the mobile context, this strategy focuses on increasing app installations through various advertising campaigns and special deals.

UCR - User Churn Rate

This metric indicates the percentage of users who stop using an app within a certain timeframe. It measures customer retention and is critical for understanding app engagement and user satisfaction levels.

UV - Unique Visitor

A unique visitor refers to an individual who visits a website at least once during a specific reporting period. Even if this individual makes multiple visits, they are only counted as one visitor for that timeframe.

vMVPD - Virtual Multichannel Programming Distributor

vMVPD represents a virtual multichannel video programming distributor, offering a mix of streaming and traditional broadcast content in digital form. These platforms provide an alternative to traditional MVPDs by offering "skinny bundles," which are streamlined versions of conventional TV packages available at reduced prices.

VTA - View Through Attribution

View-through attribution, also known as VTA or impression tracking, is a method for assigning installs, interactions, and repeat engagements back to ad views. VTA provides marketers with a comprehensive overview of campaign effectiveness.

VTC - View-Through Conversion

A view-through conversion tracks the number of users who were exposed to your ad on the Google Display Network but did not interact with it by clicking.

VTR - View-Through Rate

VTR (View Through Rate) represents the ratio of ads watched in full to the initial number of times the ad appeared. It's calculated by dividing the total number of non-skipped views by the total impressions, which means how often the ad was displayed.

WOM - Word Of Mouth

Word-of-mouth marketing emphasizes encouraging customers to share their positive product or service experiences with others. This traditional and highly successful marketing method significantly impacts buying choices by leveraging personal recommendations.

WUR - Weekly User Retention

The Weekly Retention Rate metric indicates the proportion of users who come back to engage with a product or service one week following their first use.

YTD - Year To Date

Year to date (YTD) denotes the time span from the beginning of the current calendar or fiscal year to the present day. This data is valuable for examining trends in business over time or for comparing performance metrics against those of competitors or similar entities within the industry.