Understanding AdSense Terminology

AdSense account holder must know the AdSense terminology. Here I am annotating some popular AdSense terms for your ready reference.


Page Impressions: Page impressions are the actual number of times a particular site or blog has been viewed by a user. It works like a hit counter for sites; informing publishers how many times their sites were visited. Page impressions are also referred to as hits. In AdSense, page impressions mean how many times the page or pages containing the AdSense advertisement were shown to visitors
Clicks -- The number of times users actually clicked on advertisement.
Cost-Per-Click or CPC: CPC is the cost the advertiser pays to the site publisher each time a user clicks on the advertiser's ad. Google Adwords adopted CPC pricing system. Google AdWords is nothing but your own words by which you can create your own ads. You have to pay only when someone clicks on your ads.

Cost-per-thousand-impressions or CPM: CPM or cost per thousand impressions (M=mil, Latin) is the amount equal to an advertiser pays for every 1,000 page views or impressions.

eCPM or Effective-cost-per-thousand-impressions: It is the effective way to know what ads or ad unit is most precious. For this you have to use channels. eCPM can be calculated by dividing total earning by the number of impressions in thousands. Suppose you have earned $10 from 10,000 impressions. Your CPM will be (10/10,000)X1000 or $1. Some publishers asked I have certain amount of eCPM but my total earning is $0.00, why? For them I would like to state that eCPM is a reporting feature only that does not represent the actual amount paid to a publisher.
CTR or click thru rate: CTR or Click-through rate is equal to the number of clicks that an ad receives divided by the number of times the ad, ad unit or page is shown. Suppose 400 visitors view an ad unit and 20 of them click on the ad. The click thru rate will be 20/400X100= 5%.
Earning : Earning will be reflected for valid clicks or valid impressions only.
AdSense TOS: AdSense Terms of Service.
PSA or Public Servic Ad: When targeted ads are not available or when Google is not able to gather content from the page or when a publisher violate the AdSense TOS Google serves PSA or Public Service Ads. PSA ads are based on non-profit organization and publishers do not earn for clicks made on Public Service Ads.
AdSense PIN: PIN number means Personal Identification Number. It is a 4.5X6 inch white post card containing a four digit numbers. All publishers are required to enter the PIN number in order to receive payment. It is sent through ordinary post when the earning accumulated to $10.
CPA or Cost-per-action: CPA is the amount paid by the advertisers for completing certain action by a user. Suppose a user click on a product ad and purchase it. Advertisers pay on cost per action basis in the case.
Crawler
A crawler is nothing but a software used by Google to process and index the content of web pages. It is also called a ‘spider’ or a ‘bot’. The AdSense crawler visits a site to determine its content in order to provide relevant ads.

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