Impression

AAA

DEFINITION of 'Impression'

A metric used to quantify the display of an advertisement on a web page. Impressions are used in banner advertising, which often pays on a per impression basis. Frequently, these are measured by Cost Per Mille (CPM), where mille refers to 1,000 impressions.

INVESTOPEDIA EXPLAINS 'Impression'

For example, a banner ad might have a CPM (cost per thousand) of $5, meaning that the website owner receives $5 every time an ad on his website is displayed 1,000 times.

The owner of a website may be paid for each ad impression. Other advertising arrangements may only pay the website owner when a visitor clicks on the ad, or clicks on the ad and makes a purchase. Typically, advertisers pay less for an ad campaign based solely on impressions and more for campaigns based on click-throughs and conversions. The reason for this difference in pay rates is that an ad that causes its viewer to take action resulting in a sale, is more valuable to the advertiser than one that does not.

RELATED TERMS
  1. Tailored Advertising

    Marketing and advertising campaigns that place emphasis on the ...
  2. Advertising Budget

    An estimation of a company's promotional expenditures over a ...
  3. Marketing Campaign

    Specific activities designed to promote a product, service or ...
  4. Media Buy

    The purchase of advertising from a media company such as a television ...
  5. Cost Per Click - CPC

    A website that uses CPCs would bill by the number of times a ...
  6. Cost Per Thousand - CPM

    The price of 1,000 advertisement impressions on one webpage. ...
RELATED FAQS
  1. Why does an investor need to understand the click-through rate in the Internet sector?

    An investor needs to understand the click-through rate in the Internet sector because it directly affects the success of ... Read Full Answer >>
  2. How do people make money on the videos they upload to YouTube?

    The most common ways that people make money on videos uploaded to YouTube is through advertising and paid product placement. The ... Read Full Answer >>
  3. What is a "linear" exposure in Value at Risk (VaR) calculation?

    A linear exposure in the value-at-risk, or VaR, calculation is represented by positions in stocks, bonds, commodities or ... Read Full Answer >>
  4. What is the criteria for a simple random sample?

    Simple random sampling is the most basic form of sampling and can be a component of more precise, more complex sampling methods. ... Read Full Answer >>
  5. What should be included in a restaurant business model?

    The most important elements of a restaurant business model include the restaurant's unique value proposition, menu choices, ... Read Full Answer >>
  6. What do you need to know to create a business model?

    A business model lays out the idea for a business, along with the step-by-step plan for making the business profitable. To ... Read Full Answer >>
Related Articles
  1. Home & Auto

    Don't Be Misled By Investment Advertising

    Investment companies and brokers want to sell. Unfortunately, this can result in promotional material that is not entirely frank, or far worse, truly misleading.
  2. Investing Basics

    Stock Market Simulators: Play Your Way To Profits

    Online stock simulators make learning about stocks as fun and easy as playing a game.
  3. Professionals

    Advertising, Crocodiles And Moats

    Memorable advertising is a brick in the fortress that keeps competitors at bay.
  4. Professionals

    How To Target Ideal Customers

    Expand your definition of a lucrative client and uncover a new realm of possibilities.
  5. Professionals

    The Lucrative World Of Third-Party Marketing

    Hedge funds don't sell themselves. Marketing experts reel in the big fish.
  6. Forex Education

    10 Tips For Choosing An Online Broker

    Investing online is cheaper, safer and easier than ever before. Find out how to choose the broker that will help you get the most for your money.
  7. Personal Finance

    How Youtube Makes Money Off Videos

    YouTube's revenue is growing even if the profits aren’t, and some growth is better than nothing.
  8. Personal Finance

    How To Calculate ROI Of A Marketing Campaign

    To make the most of your marketing spend, you need to know how to measure its results.
  9. Fundamental Analysis

    What is a Representative Sample?

    In statistics, a representative sample accurately represents the make-up of various subgroups in an entire data pool.
  10. Fundamental Analysis

    How to Calculate a Turnover Ratio

    A turnover ratio measures a mutual fund’s level of trading activity in a given time period, usually a year.

You May Also Like

Hot Definitions
  1. Fracking

    A slang term for hydraulic fracturing. Fracking refers to the procedure of creating fractures in rocks and rock formations ...
  2. Mixed Economic System

    An economic system that features characteristics of both capitalism and socialism.
  3. Net Worth

    The amount by which assets exceed liabilities. Net worth is a concept applicable to individuals and businesses as a key measure ...
  4. Stop-Loss Order

    An order placed with a broker to sell a security when it reaches a certain price. A stop-loss order is designed to limit ...
  5. Covered Call

    An options strategy whereby an investor holds a long position in an asset and writes (sells) call options on that same asset ...
  6. Butterfly Spread

    A neutral option strategy combining bull and bear spreads. Butterfly spreads use four option contracts with the same expiration ...
Trading Center