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Advertising terms
Updated over 3 months ago

💡 Here's a quick explanation of the ad terms in the VCAT dashboard.

1. Impressions

  • Indicates the number of times an ad was shown to a user.

  • Impressions are the number of times the ad appeared on the user's screen

2. Reach

  • Indicates the number of times an ad was shown to a unique user.

  • Reach refers to how many times an ad was shown to different users.

3. Clicks

  • Represents the total number of users who clicked on the ad.

  • A click is the number of times a user clicked on an ad and went to that link

4. CTR(Click-Through Rate)

  • CTR stands for “click-through rate” and refers to the percentage of users who clicked on your ad.

  • In the ad market, a number that typically indicates good performance is in the 1% to 2% range.

  • It is usually expressed as a percentage (%).

  • How to calculate: CTR = (Clicks / Impressions) × 100

5. CPM (Cost Per Mille)

  • CPM stands for “cost per thousand.

  • It is the cost an advertiser pays when an ad is shown 1,000 times.

  • A good performance threshold is around 1,000 won per 1,000 impressions.

  • Calculation method: Total ad spend / number of ad impressions (in thousands)

6. CPC (Cost Per Click)

  • CPC stands for “cost per click.

  • It is the cost an advertiser pays for each user who clicks on an ad.

  • A CPC of 1,000 won or less is considered a good performance.

  • How to calculate: Total Ad Cost / Number of Clicks

7. Video Views

  • The number of times a video ad is played to a user.

8. VTR (View Through Rate)

  • VTR stands for “view through rate”.

  • It refers to the percentage of users who are exposed to a video ad and actually watch it.

  • A VTR of 20% or more is considered a good performance.

  • How to calculate: (Video views / Video impressions) × 100

9. CPV (Cost Per View)

  • CPV stands for “cost per video view”.

  • It's the cost an advertiser pays per user who watches a video.

  • A good performance is said to be when the CPV is 100 cents or less.

  • Calculation method: Total ad cost / Video views

10. Sign-up

  • The number of users who signed up for the service through an ad.

11. Purchase

  • The number of users who purchased a product or service through an ad.

12. Purchase Amount

  • Indicates the total purchase amount generated by the ad.

13. ROAS (Return on Advertising Spend)

  • ROAS stands for “return on advertising spend”.

  • It's a metric that shows how much revenue your ads generate for the money you spend on them.

  • A ROAS of 200% or more is considered a good performance.

  • How to calculate: (Purchase amount / Ad spend) × 100


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