Apple's take on new Advertising.

[Pokerface]

Saw this video yesterday, being in advertising I thought this was pretty cool.



iAd: http://www.brandchannel.com/home/post/2010/07/06/Apples-iAds-Take-Off.aspx

[HeartsOfFire]

You know what would be cooler?

Paying $5 more for each app to eliminate all potential ads.

[Russic]

Originally Posted by HeartsOfFire

You know what would be cooler?

Paying $5 more for each app to eliminate all potential ads.

I'm sure many developers will do this as there are tons of users like you that would be willing to pay a slight premium to do away with the ads completely. Should be interesting to see how much revenue developers could get using this.

[Pokerface]

Well you had to know Ads on your phone were coming soon. Tons of money to be made there, and on the flip side tons of money to be made blocking them.

I liked how it wasn't abrasive and you actually had to want to experience the Ad instead of it being in your face.

[FanIn80]

60% going to the developers. Pretty good deal, considering all they have to do is agree to enable some code in their app. Apple does all the other stuff. Making the adds, filtering the target audience, bringing in the advertisers, etc etc.

I'm curious what the actual revenue will be though. Like, 60% is great... but 60% of what?

[HeartsOfFire]

I would assume sales of the app from the iTunes store?

[mykalberta]

Apples?

Ahh you mean Apple's.

[FanIn80]

Originally Posted by HeartsOfFire

I would assume sales of the app from the iTunes store?

But I don't think every ad is going to culminate in an app store purchase. Most ads are going to be for things out in the real world.

Unless you mean sales of their own app (the one that houses the ad)? That wouldn't make sense either, since developers already get 70% of that revenue.

[HeartsOfFire]

Ahh. Then my assumption was incorrect.

Forgive me, I'm not very iPhone/iPod Touch/iPad savvy. As much as I would love to have a gadget like that, I can't justify spending the money on one. Yet.

My 5th gen iPod classic needs a new battery though. I'm going to run it into the ground until it bricks. Right now it practically needs a constant AC source in order to function.

[amorak]

With a thread title like this, I thought I was coming in here to hear a Granny Smith's take on viral marketing.

[FanIn80]

I'm trying to remember how much Google pays for clicks. It's been so long since I did any of that stuff. All I remember was there was some kind of ridiculously confusing bidding system or something.

There's got to be something like that at play here, too. 60% is just way too vague. How are they going to measure this stuff? You can't really do a click thing, since these aren't stationary ads... do you treat an ad with a kind of funnel system like Google Analytics uses? Is there a destination action that, once someone clicks that, the action gets flagged as a successful clickthrough, and then someone gets paid? Something like a final "click here to visit our website" action?

Or... is it easier than all of that, and they just literally take 60% of all iAd revenue for the month, and divide it by the number of developers in the program? That won't really work either, since one app will obviously generate more ad activity than another... and then there's geographical factors too. Own This World might not get a lot of iAd action on the overall scale, but it will probably beat out quite a few of the major apps within Calgary (Alberta, even?)...

Yeesh. Need more input.


Edit: I'm not implying Own This World is going to enter into the iAd arena, btw. KT's app is just the perfect example of geographical stuff I was talking about.

[FanIn80]

Whoa...

Developer Earns Nearly $1,400 in One Day With iAds

App Store developer Jason Ting has released data on iAd revenue from the first day of sales for a "utility app" that was released just yesterday, clocking in nearly $1,400 in revenue on an astounding "eCPM" of nearly $150. The data appears to be from Ting's LED Light for iPhone 4 Free, which was part of a series of apps approved by Apple yesterday that can control the iPhone 4's LED camera flash on the rear of the device for use as a flashlight. Ting's application is available in both a paid version and the iAd-supported version for which he has provided data.

Those are some pretty crazy numbers. I'm pretty sure what I'm trying to figure out is in that article somewhere, but... I'm not big on the marketing jargon.

Edit: Ok, so CPM = cost per thousand, and the iAd platform is a base CPM of $10 with an additional $2 per clickthrough. What constitutes a clickthrough, though... Is it a funnel-system, or is there just one big designated endpoint? There's no way that just simply bringing up the add will count, because there would be way too many accidental clicks and ensuing closures...

(Also, as pointed out in the article, there's no way devs can expect to make that much coin. This was just a an app that people wanted to play with (LED Flashlight) and a brand new ad platform that people are curious about.)

[kermitology]

Could developers finally be able to make money off of the app store?

[FanIn80]

Hopefully.

This guy has two versions of his app: one that costs $$ and one that is free, but iAd supported. I'm hoping this guy is nice enough to release some month-end stats on both. Would be a pretty cool comparison to see which one makes him more money.

[KTrain]

Keep in mind these numbers are for a new product (iAd). People are curious about how they work. I was clicking all sorts of ads in magazines on the iPad when I first got it. It was a novelty. The click-through rates will drop drastically when people start seeing past them.

[Yeah_Baby]

Great, now this Apple garbage is spilling out of the Tech Forum. What's next a thread in FoI on Marcus Naslund?