Glossary
Paid Social Glossary
Definition pages built for SEO, internal linking, and cleaner reader understanding across the rest of the Smoke Signal library.
Return On Ad Spend (ROAS)
ROAS measures revenue divided by ad spend. It is useful for campaign efficiency, but only meaningful relative to margin, payback, and measurement quality.
ROAS measures revenue divided by ad spend. It is useful for campaign efficiency, but only meaningful relative to margin, payback, and measurement quality.
Marketing Efficiency Ratio (MER)
MER is a blended efficiency metric used to evaluate the overall performance of paid marketing spend against total revenue.
Customer Acquisition Cost (CAC)
CAC measures ad spend divided by new customers acquired. It is essential for judging acquisition efficiency and payback reality.
Creative Fatigue
Creative fatigue happens when an ad loses its ability to attract attention or convert because the audience has seen it too often.
Cost Per Acquisition (CPA)
CPA measures spend divided by acquisitions. It is used to evaluate conversion efficiency, but needs economic context to be useful.
Cost Per Mille (CPM)
CPM measures the cost of buying reach or attention and is useful for understanding auction pressure and distribution cost.
Cost Per Click (CPC)
CPC measures traffic acquisition cost and is often paired with CTR and conversion rate to evaluate attention and click efficiency.
Break-Even ROAS
Break-even ROAS is an economic threshold derived from contribution margin and is essential for interpreting efficiency correctly.
Contribution Margin
Contribution margin gives performance metrics economic meaning by showing how much revenue is available to cover acquisition and growth costs.
Payback Period
Payback period helps operators understand how quickly acquisition cost is recovered and whether growth remains sustainable.
Hook Rate
Hook rate is used to evaluate whether an ad opening is strong enough to stop scrolling and earn early attention.
Landing Page View
Landing page views are often more useful than clicks because they reflect traffic that successfully reached the page.
View-Through Attribution
View-through attribution is used to measure ad influence beyond clicks, especially in discovery-heavy environments like paid social.
Click-Through Attribution
Click-through attribution is a stricter model that emphasizes clicked interactions instead of non-click exposure.
Blended ROAS
Blended ROAS helps operators understand overall marketing efficiency when platform-specific reporting is noisy or incomplete.
Blended CAC
Blended CAC helps operators understand overall acquisition efficiency beyond any single platform view.