Apple has sliced rates for its iAd mobile advertising platform by as much as 70 per cent as big name clients depart for rival ad platforms, according to a report citing two people with knowledge of the matter. Bloomberg reports that the likes of Citigroup and JC Penney – which paid $1m or more to run campaigns on iAd when the …
If they can charge 30% now, they could have charged 30% then. So clearly their old rates were excessive.
This nothing at all to do whatsoever with demand and supply. No Sir!
Re: Demand & supply
Isn't that the excuse for hacking and deleting messages from Milly Dowler's voicemail and entrapping people with fake sheiks?
Tsk, tsk, tsk...
Demand and Supply 2
As with all advertising, Demand and supply goes thus:
Demand: From a user perspective...Zero
Supply: From a users perspective...there's way, way too much supply...
Re: Demand and Supply 2
I think he meant demand from developers and supply from advertisers. It is known that developers tend to depend less on the ad-supported model in the iOS App Store than in other platforms. Therefore, it stands to reason that there may be less ad impressions on iOS than the advertisers would want, and thus they are cutting back on their campaigns or reassessing their focus.
I thought developing for iOS devices was much more profitable for developers, as the owners are more likely to spend cash than Android owners.
But for advertisers it seems that iOS owners alone aren't worth chasing when an ad can run across multiple OS.
I guess the extra cost for developing software across multiple OSs outweighs the benefit from reaching the extra people, but ads are pretty simple and run on everything with little change.
Wonder when the tipping point will come and Android numbers make up for the lack of spend per device for developers too?
I can see the future
"So, Apple is not just cutting prices. It's offering advertisers perks that even developers can't get."
No, i don't really want to play this lousy game, i'm waiting for the terrific ads!
iAds isn't the only game in town for iOS developers.
iOS developers can use Google owned AdMob which runs on just about everything.
If iOS developers can make money with AdMob, Apple is way more open with what they allow on their products than I thought...
Time saving I expect.
"Apple did not respond to a request for comment. But that's because we didn't send one."
How long did you used to wait before the obligatory "Apple did not respond to a request for comment" statement? (in the olden days before you gave up even talking to them)
Lower the prices, it is not that hard.
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