Here we explain the terms from marketplace business, retail media and tracking, each with a definition and an example.
POAS (Profit on Ad Spend) measures actual profit after product costs against advertising spend, unlike ROAS, which only considers revenue.
TACoS (Total Advertising Cost of Sales) measures total advertising spend against a product's total revenue, including organic revenue.
ACOS measures advertising spend against the revenue generated directly by advertising, unlike TACoS, which looks at total revenue.
Sponsored Products are Amazon's cost-per-click ads, based on keyword or product targeting, that make individual products visible directly in search results and on product pages.
Sponsored Brands are Amazon ads featuring a brand logo, a custom tagline and multiple products, placed above the search results.
The Buy Box, which Amazon calls the featured offer, is the highlighted offer on an Amazon product page with the Add to Cart and Buy Now buttons.
Amazon A+ Content is enhanced, visual product content on the Amazon detail page, available to professional sellers with a Brand Registry role, for generic products and to vendors.
Amazon Brand Registry is a free programme that lets trademark owners enrol their brand with Amazon and unlock tools for brand building and brand protection.
Amazon Seller Central is the portal through which third-party sellers sell in the Amazon store: offers, prices, inventory, orders, advertising and reports.
Amazon Vendor Central is the management tool for vendors who sell their goods directly to Amazon, which then resells them itself.
Affiliate marketing is a compensation model in which partners (affiliates) are paid on a performance basis for referred sales or leads.
A data feed is a structured file containing product information that is automatically transmitted to marketplaces, price comparison portals or Google Shopping.
A session ID is a unique identifier that identifies a single visit (session) on a website.
A pageview is a visitor calling up a single web page.
Formulas as in our KPI glossary. Only POAS shows whether advertising earns money after cost of goods.
| KPI | Formula | shows | good for |
|---|---|---|---|
| ROAS | Revenue ÷ ad spend | Revenue per ad euro | Comparing campaigns |
| ACOS | Ad spend ÷ ad revenue × 100 | Ad cost share of ad revenue | Campaigns on Amazon, inverse of ROAS |
| TACoS | Ad spend ÷ total revenue × 100 | Ad cost share of a product’s total revenue | Effect on organic sales |
| POAS | Profit after cost of goods ÷ ad spend | Profit per ad euro | Whether advertising earns money |
We're continuously expanding the glossary. Ask us in an initial call, or check out the Journal articles.
