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. Click-Through Rate (CTR)

    The percentage of individuals viewing a web page who click on ...
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 assumptions are made when conducting a t-test?

    The common assumptions made when doing a t-test include those regarding the scale of measurement, random sampling, normality ... Read Full Answer >>
  4. What are some of the more common types of regressions investors can use?

    The most common types of regression an investor can use are linear regressions and multiple linear regressions. Regressions ... Read Full Answer >>
  5. What types of assets produce negative portfolio variance?

    Assets that have a negative correlation with each other produce negative portfolio variance. Variance is one measure of the ... Read Full Answer >>
  6. How does a long tail become profitable?

    A long tail becomes profitable because the costs to produce, market and distribute a product or service in a niche are low, ... 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. Economics

    Understanding the Product Life Cycle

    Product life cycle is the period of time during which a product is conceived and developed, brought to market and eventually removed from the market.
  8. Professionals

    Advisors: Get Those Referrals! (Here's How)

    If you're not talking to your clients about referring you to friends, you should be.
  9. Stock Analysis

    Where Does Yahoo (YHOO) Go From Here?

    Yahoo operates in a competitive environment, but if it makes the right deals there's no reason why it can't thrive.
  10. Professionals

    How Top Advisors Innovate to Stay Ahead

    Successful advisors are innovative, reaching out to a new generation of clients by embracing new technology.

You May Also Like

Hot Definitions
  1. Hedging Transaction

    A type of transaction that limits investment risk with the use of derivatives, such as options and futures contracts. Hedging ...
  2. Bogey

    A buzzword that refers to a benchmark used to evaluate a fund's performance. The benchmark is an index that reflects the ...
  3. Xetra

    An all-electronic trading system based in Frankfurt, Germany. Launched in 1997 and operated by the Deutsche Börse, the Xetra ...
  4. Nuncupative Will

    A verbal will that must have two witnesses and can only deal with the distribution of personal property. A nuncupative will ...
  5. OsMA

    An abbreviation for Oscillator - Moving Average. OsMA is used in technical analysis to represent the variance between an ...
  6. Investopedia

    One of the best-known sources of financial information on the internet. Investopedia is a resource for investors, consumers ...
Trading Center
×

You are using adblocking software

Want access to all of Investopedia? Add us to your “whitelist”
so you'll never miss a feature!