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Glossary

Advertiser: (also called Merchant, Retailer, E-retailer, or Online Retailer) Any Web site that sells a product or service, accepts payments, and fulfills orders. An advertiser places ads and links to their products and services on other Web sites (affiliates) and pays those publishers a commission for leads or sales that result from their site.

Affiliate Marketing Program: (also called Pay-for-Performance, Advertising, Performance Marketing, Partner Marketing, CPA, or Associate Program) Any type of revenue sharing program where a publisher Web site receives a commission for generating a lead or sale for that advertiser.

ASP: (Application Service Provider) An online network that is accessible through the Internet instead of through the installation of software. It is quickly integrated with other Web sites and the services are easily implemented and scalable.

Click-through: (also called click) Refers to the action a consumer takes when they are referred from one Web site through a link or advertisement and are taken to another Web site.

Commission: An amount of income received by a publisher for some quantifiable action such as selling an advertiser's product and/or service on the publisher's Web site.

CPA: (Cost Per Action) A metric for online advertising where a rate is set for every action that is taken by a user.

CPM: (Cost Per Thousand) A metric for online advertising where a rate is set for every thousand impressions.

CTR: (Click Through Rate or Ratio) The percentage of clicks for the number of advertising
impressions displayed.

E-Commerce: (Electronic Commerce) Business that takes place over electronic platforms, such as the Internet.

Impression: The viewing of an advertising banner, link, or product on the Internet.

Link: A link is a form of advertising on a Web site, or in an email or online newsletter, which, when clicked on, refers the user to the advertiser's Web site or a specific area within their Web site.

Pay-For-Performance Advertising: Paying for actions taken by a Web site visitor as they occur on the Internet rather than paying upfront for advertising space on Web sites.

Pay-per-lead: The commission structure where the advertiser pays the publisher a flat fee for each qualified lead (customer) that is referred to the advertiser's Web site.

Pay-per-sale: The commission structure where the advertiser pays a percentage or flat fee to the publisher based on the revenue generated by the sale of a product or service to a visitor who came from a publisher's site.

Publisher: (also referred to as an Affiliate, Associate, Partner, Reseller or Content Site) An independent party, or Web site, that promotes the products or services of an advertiser in exchange for a commission.

Real-time: No delay in the processing of requests for information, other than the time necessary for the data to travel over the Internet.

Sale: When a user makes a purchase from an online advertiser.

Web-based: Requiring no software to access an online service or function, other than a Web browser and access to the Internet.


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