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DPM Terminology FAQ

Important terminologies and KPIs for DPM products

Important terminologies for DPM products

  • Impressions

    • This refers to the number of times your ad has been displayed. It measures the visibility of your ads to your target audience.

  • Clicks

    • Representing the number of times a user has �clicked� on your ad. This measures the level of engagement, as users take the next step to learn more or visit your website.

  • CPC (Cost Per Click)

    • This calculates the cost for each click on your ad. To understand the efficiency and cost-effectiveness of your campaigns.

  • CTR (Click-Through Rate)

    • A percentage that shows you ratio of clicks to impressions. Understand the effectiveness of how engaging your campaigns are.

  • CPM (Cost Per Thousand)

    • Understand the cost of reaching a thousand potential customers.

  • Spend

    • The total amount spent on your campaigns across all platforms.

  • Conversions

    • Measuring the desired action of your campaigns eg. Purchases or Contacts

  • Conversion rate

    • The percentage of users who complete a desired action (a conversion) out of the total number of users who were exposed to a marketing message or ad.

What KPIs should my client be using to track success?

The performance metrics you track in a Google Ads campaign should align with your specific objectives. Here are recommended metrics for various common objectives:

1. Objective: Increase Website Traffic

  • Clicks: Number of times users click on your ads.
  • Impressions: How often your ads are shown.
  • Click-Through Rate (CTR): Percentage of impressions that result in clicks (Clicks � Impressions).
  • Cost Per Click (CPC): Average cost of each click on your ad.

2. Objective: Generate Leads

  • Conversions: Number of completed actions defined as valuable (e.g., form submissions, sign-ups).
  • Conversion Rate: Percentage of clicks that result in conversions (Conversions � Clicks).
  • Cost Per Conversion (CPA): Average cost to acquire a conversion (Total Cost � Conversions).
  • Lead Quality: Assess the quality of leads generated through follow-up (subjective but crucial).

3. Objective: Increase Sales

  • Conversions: Number of sales transactions.
  • Conversion Value: Total revenue generated from conversions.
  • Return on Ad Spend (ROAS): Revenue generated for every dollar spent on ads (Conversion Value � Ad Spend).
  • Cost Per Acquisition (CPA): Average cost to acquire a sale (Total Cost � Number of Sales).

4. Objective: Brand Awareness

  • Impressions: Total number of times your ads are shown.
  • Reach: Number of unique users who see your ads.
  • Ad Recall Lift: Estimated number of people who remember your brand after seeing your ads (measured through surveys and studies).
  • Engagement: Interactions with your ad (likes, shares, comments for display or video ads).

5. Objective: Increase App Downloads

  • App Installs: Number of times your app is downloaded.
  • Cost Per Install (CPI): Average cost to acquire an app install (Total Cost � App Installs).
  • In-App Actions: User activities within the app post-download (e.g., registrations, in-app purchases).
  • Retention Rate: Percentage of users who continue using the app over time.

6. Objective: Promote a Video

  • Views: Number of times your video is watched.
  • View Rate: Percentage of people who view your video after seeing the ad (Views � Impressions).
  • Cost Per View (CPV): Average cost for each video view.
  • Watch Time: Total time spent watching your video.
  • Engagement: Interactions with the video (likes, shares, comments).

7. Objective: Drive Store Visits

  • Store Visits: Number of people who visit your physical store after interacting with your ad (measured via location data).
  • Clicks on Directions: Number of clicks on the directions link in your ad.
  • Call Clicks: Number of clicks on the call button in your ad.
  • Conversion Rate: Percentage of ad interactions that result in store visits (Store Visits � Clicks).

Summary Table

| Objective               | Primary Metrics                                      |
|-------------------------|------------------------------------------------------|
| Increase Website Traffic| Clicks, Impressions, CTR, CPC                        |
| Generate Leads          | Conversions, Conversion Rate, CPA, Lead Quality      |
| Increase Sales          | Conversions, Conversion Value, ROAS, CPA             |
| Brand Awareness         | Impressions, Reach, Ad Recall Lift, Engagement       |
| Increase App Downloads  | App Installs, CPI, In-App Actions, Retention Rate    |
| Promote a Video         | Views, View Rate, CPV, Watch Time, Engagement        |
| Drive Store Visits      | Store Visits, Clicks on Directions, Call Clicks, Conversion Rate |