A/B test is a common user research methodology for developers. A/B test usually compares two versions (A&B) of one single variable to test which is more effective.
On an ad exchange (ADX) platform, advertisers from a demand-side platform (DSP) engage in real-time bidding (RTB) for the ad inventory made available by publishers on the supply-side platform (SSP).
Ad Format & Ad Creative
Ad formats refer to the type of ads that are displayed in the apps. The common ad formats are banner ads, native ads, interstitial ads, and rewarded ads. Ad creatives are ads served on apps, which determines how ads look like. Ad creatives can be text, images, videos and other formats.
Ad placement is a location where ads can be shown. Publishers can set the entire screen as an ad placement, or set the ad placement only in a specific location of the screen.
The ad network connects app developers and advertisers, acting as an intermediary between publishers and advertisers. For advertisers, they can submit their ads here to promote products or services. For app developers, ad network helps them get revenue from displaying ads to their users.
Ad inventory is a term to measuring the number of ad space a publisher can offer to sell to advertisers.
Ad revenue is the money app developers can get from in-app advertising. The ad revenue formula is: Ad revenue equals ad impressions * eCPM/1000.
AEO refers to app event optimization. Unlike optimization of events such as installation and application activation, AEO enables ads to be delivered to users who are more likely to complete such in-app events that advertisers define valuable to their business. For example, if advertisers want to acquire users who may make purchase, ads will be delivered to users who are likely to complete purchase.
ARPU refers to average revenue per user, measuring the average revenue each user generates from in-app advertising and in-app purchases. It can also be calculated as the total revenue divided by the total users.
Attribution is an indispensable part of precise ad targeting. Advertisers use attribution to understand their successfully converted users, including their conversion journey, resulting behaviors, and implicit value.
ARPDAU (refers to average revenue per daily active user) is a key performance metric (KPI) for app monetization strategies. It tells how much daily revenue your active users generate from your app or game.