For agencies that grow D2C brands
What do D2C marketing and AI search terms actually mean?
This glossary defines 45 terms that agencies use to grow D2C brands, across paid ads, analytics, SEO and AI search, and agency reporting. Each term gives a plain definition, a formula where one exists and why it matters to an agency, with its own link to share, such as ai-dm.ai/glossary#roas.
45 terms · 4 topics · one link for every termai-dm glossary · updated 19 October 2026
No plan to pick. Billed in USD and INR. Nothing changes in a brand's accounts without your approval.
Why does an agency need one shared set of marketing terms?
Monday's question from a brand. "Why did ROAS fall?" Meta shows one number, Google Ads another and GA4 a third, and three people on the team explain it three different ways. Each time a term means something different to each person in the room, the brand trusts the report a little less.
One definition, one link. Every term below says what it means, how it's worked out where there's a formula, and why it matters to an agency. When a number moves, ai-dm shows why the numbers moved against the brand's own baseline, and lines up GA4, Meta and Google Ads so the gap between them has a reason.
AI search added a new vocabulary. AI Overviews, GEO and AI share of voice are newer to most agency reports than ROAS or CTR. Track whether answer engines name a brand with AI search visibility, report it under your own name with white-label reports, and see these terms at work on a real brand in the Moolwan case study.
Which marketing term do you need defined?
Search, filter or jump by letter. Each term has its own link, so you can send a brand or a new hire straight to it, such as ai-dm.ai/glossary#roas.
Try a shorter word or another topic. Can't find the term you need? Ask us on WhatsApp.
Advantage+Meta
Meta's set of automated campaign options, such as Advantage+ shopping campaigns, where Meta's system chooses audiences, placements and creative combinations within the budget, goal and assets the advertiser sets.
Why it matters to an agency. Automation hides which audience or placement produced a result, so when performance moves, the team needs other evidence to explain it to the brand.
See it in ai-dm: Meta ads audit →AEOanswer engine optimisation
Writing and structuring content so it answers a specific question directly, in a form search features and AI assistants can lift as the answer. It overlaps heavily with GEO; the term is older and grew out of featured snippets and voice search.
Why it matters to an agency. Buyers increasingly read the answer rather than the list of results, so content that answers the question in its first lines is the content that gets used.
See it in ai-dm: SEO articles and schema →AI OverviewsGoogle
AI-generated summaries that Google shows at the top of some search results, with links to the pages they draw on. Google Search Console includes their impressions and clicks in its search performance data.
Why it matters to an agency. A brand can lose clicks while its rank holds, because the answer is read before the links, so the team needs to know whether the brand's pages are the ones cited.
See it in ai-dm: AI search visibility →AI share of voice
The share of AI answers, across a fixed set of buying questions, that name a brand, usually compared with the same share for its rivals.
AI share of voice = answers naming the brand ÷ answers tracked × 100
Why it matters to an agency. It turns AI visibility into a rate an agency can track month to month and report, instead of one screenshot of one answer.
See it in ai-dm: AI search visibility →Anomaly detectionalso called change detection
Automatically flagging a metric that moves outside its normal range, judged against its own baseline, instead of waiting for someone to spot the change in a report.
Why it matters to an agency. The agency hears about a drop the morning it happens, before the brand does, while moves inside the normal range stay silent.
See it in ai-dm: Change alerts →AOVaverage order value
The average revenue per order over a period.
AOV = revenue ÷ number of orders
Why it matters to an agency. AOV sets how much a brand can pay to win an order, so a falling AOV can make a steady CPA unprofitable.
Attribution model
The rule that decides how credit for a conversion is shared across the ads and channels a buyer touched before converting, such as last click, first click, linear, position-based or data-driven. ai-dm does not do attribution modelling; it shows each platform's own numbers side by side.
Why it matters to an agency. Changing the model changes which channel looks best without any change in sales, so the team should say which model a number uses before comparing channels.
See it in ai-dm: GA4, Meta and Google Ads reconciliation →Attribution window
The period after someone clicks or views an ad during which a conversion can be credited to that ad. Meta's default, for example, is 7-day click and 1-day view.
Why it matters to an agency. The same sale can be counted by two platforms with different windows, so ROAS from Meta and Google Ads can't be compared until the windows are known.
See it in ai-dm: GA4, Meta and Google Ads reconciliation →Baseline
The expected value of a metric for a period, worked out from its own recent history, often for the same weekday or season, and used as the reference for judging whether a change is real.
Why it matters to an agency. Without a baseline, every daily wobble looks like news and real drops get missed. A baseline frozen before a change is also how you check whether that change worked.
See it in ai-dm: Why numbers moved →Brand portal
A login space where a brand sees its own live numbers, what changed and what its agency did about it, instead of waiting for a monthly report.
Why it matters to an agency. Brands that can see the work between reports ask fewer “what are you doing for us” questions, and the portal carries the agency's name.
See it in ai-dm: Brand portal →Brand thesis
A short, versioned statement of who a brand serves, the promise it makes, the proof behind that promise and what it never says, used as the reference for every ad, post and article.
Why it matters to an agency. It keeps a brand sounding the same whoever on the team writes, and gives reviewers one document to check every draft against.
See it in ai-dm: Brand thesis →CACcustomer acquisition cost
What it costs to win one new customer over a period: acquisition spend divided by new customers. Blended CAC uses all marketing spend and all new customers; ai-dm does not calculate blended CAC.
CAC = acquisition spend ÷ new customers
Why it matters to an agency. CAC against LTV shows whether a brand's growth pays for itself. A platform's CPA is not the same number, because it counts only that platform's conversions.
Citationin AI answers
A link or source reference that an AI answer shows for what it says. A brand can be cited without being named in the answer, and named without being cited.
Why it matters to an agency. Citations show which of a brand's pages AI systems rely on, which tells the team which pages to strengthen and which questions the brand is missing.
See it in ai-dm: AI search visibility →Core Web Vitals
Google's three page experience metrics, measured on real visits: largest contentful paint (LCP) for loading, interaction to next paint (INP) for responsiveness, and cumulative layout shift (CLS) for visual stability.
Good: LCP ≤ 2.5 s · INP ≤ 200 ms · CLS ≤ 0.1 (Google's thresholds)
Why it matters to an agency. Slow mobile product pages cost conversions from paid traffic as well as organic, so a speed problem is an ads problem too.
See it in ai-dm: SEO audit →CPAcost per acquisition
Ad spend divided by the number of conversions it produced, where the conversion is whatever the campaign is set to win: a purchase, a lead or a sign-up.
CPA = ad spend ÷ conversions
Why it matters to an agency. A rising CPA can come from creative fatigue, a pricier auction, a site problem or a broken pixel, and each needs a different fix.
See it in ai-dm: Why numbers moved →CPCcost per click
The average amount paid for each click on an ad.
CPC = ad spend ÷ clicks
Why it matters to an agency. It separates traffic getting more expensive from traffic converting worse after the click, which are different conversations with the brand.
See it in ai-dm: Google Ads audit →CPMcost per thousand impressions
The cost of showing an ad 1,000 times. The M stands for mille, Latin for a thousand.
CPM = ad spend ÷ impressions × 1,000
Why it matters to an agency. CPM moves with auction competition and the season, so it helps tell market pressure apart from a creative problem.
See it in ai-dm: Meta ads audit →Creative fatigue
The drop in an ad's results as the same people see it again and again: frequency climbs, CTR falls and CPA rises.
Why it matters to an agency. Spotting it early lets the team refresh the creative before budget is spent on an ad people have stopped noticing.
See it in ai-dm: Ad copy and creatives →CTRclick-through rate
The share of ad impressions that led to a click.
CTR = clicks ÷ impressions × 100
Why it matters to an agency. A falling CTR on the same audience usually points at the creative or the offer, not the budget.
See it in ai-dm: Meta ads audit →CVRconversion rate
The share of clicks or sessions that end in the goal action, such as a purchase. Ad platforms usually divide by clicks; GA4 usually divides by sessions or users.
CVR = conversions ÷ clicks (or sessions) × 100
Why it matters to an agency. When CTR holds but CVR falls, the problem is usually after the click: the landing page, price, stock or checkout.
See it in ai-dm: Why numbers moved →Decision ledger
A dated record of each marketing decision for a brand: what was changed and why, the metric it was expected to move, that metric's baseline before the change, who approved it and what happened.
Why it matters to an agency. It shows the brand what worked, and it keeps the reasoning when someone on the team leaves.
See it in ai-dm: Decision ledger →E-E-A-Texperience, expertise, authoritativeness and trustworthiness
The qualities Google's search quality rater guidelines use to judge whether content is helpful and reliable, with trust treated as the most important. It is a framework for human raters, not a single ranking score.
Why it matters to an agency. Named authors, first-hand detail and clear sources make a brand's articles believable to buyers, to Google and to the AI systems that cite them.
See it in ai-dm: SEO articles and schema →Entity
A distinct, identifiable thing, such as a brand, person, product or place, that search engines and AI systems recognise and link to facts about it, rather than treating it as a string of keywords.
Why it matters to an agency. When a brand is a clear entity, with consistent names, details and markup across the web, AI answers are more likely to describe it correctly.
See it in ai-dm: AI search visibility →Evidence trail
The chain from a reported number back to the raw record it came from: the platform, the account, the date range and how the metric was counted.
Why it matters to an agency. It turns “trust us” into “check it”, and it shows why two platforms disagree when they do.
See it in ai-dm: Evidence trail →Frequency
The average number of times each person saw an ad over a period.
Frequency = impressions ÷ reach
Why it matters to an agency. Rising frequency with falling CTR is a common early sign of creative fatigue, especially for a brand with a small audience.
See it in ai-dm: Meta ads audit →GA4Google Analytics 4
Google's analytics platform for websites and apps. It records events such as page views, add to carts and purchases, groups them into sessions and users, and applies its own attribution settings.
Why it matters to an agency. GA4 is often the referee between Meta and Google Ads, yet it disagrees with both, so the team needs to know how each one counts before quoting any of them.
See it in ai-dm: GA4, Meta and Google Ads reconciliation →GEOgenerative engine optimisation
Work that makes a brand's content more likely to be used, named and cited in answers from generative AI systems such as ChatGPT, Perplexity, Gemini and Google's AI Overviews.
Why it matters to an agency. Buyers ask AI assistants which brand to choose. If a brand is never named, it isn't on the shortlist, however well it ranks in search.
See it in ai-dm: AI search visibility →Geo-grid rank
A brand's map ranking for one keyword, checked from many points on a grid laid over its area, because local results change with where the searcher is.
Why it matters to an agency. A single rank check from the office hides the streets where the brand drops out of the map results.
See it in ai-dm: Local rank tracking →Google Business ProfileGBP
Google's free business listing shown in Search and Maps, with the address, opening hours, photos, posts, products and reviews.
Why it matters to an agency. For a brand with a store, showroom or service area, the profile drives calls and direction requests, and an outdated one quietly loses them.
See it in ai-dm: Google Business Profile management →Google Search Console
Google's free tool that shows how a site performs in Google Search: the queries it appears for, impressions, clicks, average position, indexing, and reports on rich results and Core Web Vitals.
Why it matters to an agency. It is the only first-party record of what people searched before they reached a brand's site.
See it in ai-dm: Keyword and content gaps →Incrementality
The results a campaign caused that would not have happened without it, measured by comparing a group that saw the ads with a similar group held out from them, as in a lift test or a geo holdout.
Why it matters to an agency. Platform-reported conversions include people who would have bought anyway, so incrementality is how a brand learns what its spend actually added.
llms.txt
A proposed convention, first published in 2024, for a Markdown file at a site's root (/llms.txt) that gives large language models a short guide to the site's most useful pages. It is not an official standard, and the major AI search providers have not said they rely on it.
Why it matters to an agency. It is cheap to add, but it should be offered to a brand as housekeeping, not as a way to rank in AI answers.
Local pack
The block of map listings, usually three, that Google shows for searches with local intent, such as “furniture store near me”, above or among the regular results.
Why it matters to an agency. For local searches the pack takes the clicks first, so a brand outside it is often not seen at all.
See it in ai-dm: Local rank tracking →LTVcustomer lifetime value
The total revenue, or better the gross margin, a customer brings across all their purchases over a set period. Simple versions multiply AOV by the number of purchases per customer.
LTV = AOV × purchases per customer (over the period)
Why it matters to an agency. LTV sets how much CAC a brand can afford, and a brand with strong repeat buying can bid harder for a first order.
MERmarketing efficiency ratio
A brand's total revenue divided by its total marketing spend across every channel for the same period, sometimes called blended ROAS. ai-dm does not calculate MER; it shows each platform's own ROAS side by side.
MER = total revenue ÷ total marketing spend
Why it matters to an agency. Because it ignores which platform claims the sale, MER checks the whole budget in a way no single platform's attribution can inflate.
Merchant listings
Google's product results where a shopper can buy, shown in Search, the Shopping tab and Images with price, availability and shipping. They draw on product structured data on the page or a Google Merchant Center feed.
Why it matters to an agency. Product markup errors can drop a brand's products out of these listings without any warning in its ad accounts.
See it in ai-dm: SEO audit →Performance MaxGoogle
A Google Ads campaign type that runs one campaign across Search, Shopping, YouTube, Display, Discover, Gmail and Maps, with Google's automation choosing where ads show from the assets, budget and goal provided.
Why it matters to an agency. It reports less detail by channel, so the team has to dig to see whether it is taking budget from the brand's own Search campaigns.
See it in ai-dm: Google Ads audit →Quality scoreGoogle Ads
A 1 to 10 rating Google Ads gives each keyword, based on expected CTR, ad relevance and landing page experience. Google describes it as a diagnostic tool, not an input to the auction.
Why it matters to an agency. A low score tells the team which of the three parts to fix, which often lowers what the brand pays per click.
See it in ai-dm: Google Ads audit →Rich results
Search results with more than a title and a link, such as star ratings, price, availability or images. Pages usually qualify through structured data, but Google decides when to show them.
Why it matters to an agency. Rich results take more space and attention on the results page, and broken markup removes them without warning.
See it in ai-dm: SEO articles and schema →ROASreturn on ad spend
Revenue credited to ads divided by the ad spend that produced it, usually as reported by each ad platform under its own attribution settings.
ROAS = revenue ÷ ad spend
Illustrative example30,000 in credited revenue on 10,000 of ad spend is a ROAS of 3, often written 3×.
Why it matters to an agency. It is the number most brands ask about first, and each platform works it out its own way, so the team should always say whose ROAS it is quoting.
See it in ai-dm: Meta ads audit →Schema markupstructured data
Code added to a page, usually JSON-LD using the schema.org vocabulary, that describes what the page is about, such as a product, its price and reviews, an article's author or the organisation, in a form machines can read.
Why it matters to an agency. It is how a brand's product details reach rich results and merchant listings, and it helps AI systems read the page correctly.
See it in ai-dm: SEO articles and schema →Search impression shareGoogle Ads
In Google Ads, the impressions an ad received divided by the impressions it was eligible for. The share it missed is reported as lost to budget or lost to rank.
Search impression share = impressions ÷ eligible impressions × 100
Why it matters to an agency. It tells the team whether a brand is missing searches because of budget or because of ad rank, which lead to different recommendations.
See it in ai-dm: Google Ads audit →Server-side trackingand Conversions API
Sending conversion events to analytics and ad platforms from a website's server, rather than only from the visitor's browser. Meta's Conversions API is one example; it usually runs alongside the browser pixel, with an event ID so the same conversion isn't counted twice.
Why it matters to an agency. Browser restrictions and ad blockers drop some events, so platforms see fewer conversions and optimise on less data. Knowing how a brand sends its events explains part of the gap between platforms.
UTM parameters
Tags added to the end of a link, such as utm_source, utm_medium and utm_campaign, that tell analytics tools where a visit came from.
Illustrative example?utm_source=meta&utm_medium=paid_social&utm_campaign=summer_sale
Why it matters to an agency. Inconsistent or missing UTMs are a common reason GA4 can't match the numbers in a brand's ad accounts.
See it in ai-dm: GA4, Meta and Google Ads reconciliation →White-label report
A report an agency sends under its own logo, colours and domain, with no mention of the software that produced it.
Why it matters to an agency. The brand sees the agency's work and name, not a tool it could sign up for itself.
See it in ai-dm: White-label reports →Which of these numbers does ai-dm not calculate?
Know the scope before you connect a brand. A glossary that defines a number is not a promise that ai-dm works it out. These are the terms above that ai-dm leaves alone today.
- Attribution modelsai-dm doesn't split credit by first click, last click, multi-touch or media mix. It shows each platform's own numbers side by side, with the source and date range of each.
- Blended CAC and MERIt doesn't combine spend and revenue from every channel into one ratio. Each platform's ROAS and CPA are shown as that platform reports them.
- Shopify revenue, order or customer dataai-dm reads none of it. Revenue figures come from what Meta, Google Ads and GA4 report.
- Changes on its ownai-dm drafts and recommends. It publishes an ad, post or reply only after your team approves it.
What it does do. It watches every brand you manage, finds what changed against each brand's own baseline, explains the likely causes with the records behind them, and drafts the next move for your team to approve.
No plan to pick. Billed in USD and INR. Per-brand plans or pay as you go.
Related pages
Questions agencies ask about these terms
What is the difference between ROAS and MER?
ROAS divides the revenue one ad platform credits to its own ads by that platform's spend. MER divides a brand's total revenue by its total marketing spend across every channel. ai-dm shows each platform's own ROAS side by side; it does not calculate MER or blended CAC.
What is the difference between SEO, GEO and AEO?
SEO works on ranking a brand's pages in search results. GEO works on getting a brand named and cited in answers from AI systems such as ChatGPT, Perplexity and Google's AI Overviews. AEO structures content to answer one question directly so search features and assistants can use it. Clear, well-sourced pages with structured data help all three.
Why do Meta, Google Ads and GA4 show different conversions for the same brand?
Each uses its own attribution window and model. Meta counts views and clicks within its window, Google Ads dates conversions to the click, and GA4 shares credit across channels by its own rules. A steady gap is normal; a sudden change in the gap usually means a tracking problem.
Does ai-dm do attribution modelling?
No. ai-dm doesn't build first-click, last-click, multi-touch or media-mix models, and it doesn't calculate blended CAC or MER. It shows each platform's own numbers side by side, with the source and date range of every figure.
Can we send a brand or a new hire a link to one term?
Yes. Every term has its own address, such as ai-dm.ai/glossary#roas. Use the copy link button on any term, then paste the link into a report, a brief or a message.
How can our agency see these numbers for one of our brands?
Sign up and enter the brand's domain. The first report is built from the domain alone, and each account connects with one secure sign-in. Billed in USD and INR. Per-brand plans or pay as you go. Nothing changes in a brand's accounts without your team's approval.
No plan to pick. Billed in USD and INR. A brand's data is deletable on request.
