or Connect
AppleInsider › Forums › Mobile › iPhone › Apple leverages iTunes account data to create targeted iAds
New Posts  All Forums:Forum Nav:

Apple leverages iTunes account data to create targeted iAds

post #1 of 22
Thread Starter 
Apple's iAds for its iOS mobile operating system could have an advantage over competing advertising networks in creating targeted ads, due to extensive data found in users' iTunes, App Store and iBooks purchases.

Apple collects "standard targeting options" from customers through its digital storefronts, with 150 million active iTunes accounts collecting a history of downloaded applications, movies, songs, TV shows and more. That data could help Apple create more appealing and effective advertisements, giving the company a leg up on the competition, according to a new report from Bloomberg.

Author Adam Satariano wrote that Apple doesn't share information on individuals, but it does allow companies to advertise in "buckets" of applications that meet a targeted demographic, based on the tracked characteristics of its users.

The report used the Dove Men+Care soap campaign as an example. One of the first iAds to appear when the service launched last week, it has been targeted toward married men in their late 30s who have children.

"Relying on the music, videos and apps that customers are downloading from its iTunes, App Store and iBooks helps Apple sketch a behavioral profile that can be paired with appropriate promotional messages," the report said.

iAds aim to provide richly interactive ad experiences inside developers' apps, providing them a 60 percent cut of the advertising revenue. The hope is the advertisements -- noted by the iAd logo in the corner -- will be more compelling to users, because they don't have to leave their app and launch a browser to view them.

Advertisements act more like full-blown applications, complete with features like videos, interactive games, and the ability to find information such as local stores or product availability.

An Apple spokesperson told Bloomberg that the company is just getting started, and partners are expected to ramp up campaigns as the year goes on. Advertisers are expected to jump on board with seasonal marketing campaigns including back to school and the holidays.

"We're just taking our first few steps," spokeswoman Trudy Miller said. "We'll work our way up to walking and running as this year progresses."

Apple has said that it expects its iAd service to represent half of the mobile advertising market by the end of 2010. Before it was launched, Apple had secured commitments for more than $60 million in advertisements over a six month span, with partners including AT&T, Best Buy, JCPenney, Nissan, Sears, Target, and Walt Disney Studios.

While demographics and data from iTunes accounts will be a major selling point for iAds, Apple also allows users to opt out of data collection as well. Users can visit oo.apple.com on any device running iOS 4 and Apple will allow the user to opt out of data collection for iAds. Those who visit will receive the message "You have successfully opted out."

Apple plans to use iAd as a program to incentivize App Store development, and does not expect to turn a great profit from its new advertising business, made possible due to the purchase of Quattro Wireless for $275 million.
post #2 of 22
Yay iAds!


I'm first!!!!


p.s. all ads suck balls.
post #3 of 22
Apples spat with google will turn our beloved computer company into Clear Channel.
2011 13" 2.3 MBP, 2006 15" 2.16 MBP, iPhone 4, iPod Shuffle, AEBS, AppleTV2 with XBMC.
Reply
2011 13" 2.3 MBP, 2006 15" 2.16 MBP, iPhone 4, iPod Shuffle, AEBS, AppleTV2 with XBMC.
Reply
post #4 of 22
That's probably true, but it won't beat targeted ads based on search.

For example, I'm in the market for a DSLR camera at the moment. There is no way you could tell that from my iTunes activity (well OK, I do own a track by Aztec Camera!) but from my Google history, it's absolutely obvious.
post #5 of 22
The title doesn't seem to match the content of the article. "Apple leverages," it says, yet the body of the article is couched in terms of, "Apple could do this," or, "Apple could do that." So, do they or don't they? Will they or won't they? Obviously, according to the article, it's speculated that they might, contradicting the title's assertion that they do or will.
post #6 of 22
Quote:
Originally Posted by anonymouse View Post

The title doesn't seem to match the content of the article. "Apple leverages," it says, yet the body of the article is couched in terms of, "Apple could do this," or, "Apple could do that." So, do they or don't they? Will they or won't they? Obviously, according to the article, it's speculated that they might, contradicting the title's assertion that they do or will.

Welcome to AppleInsider
post #7 of 22
Quote:
Originally Posted by nvidia2008 View Post

Welcome to AppleInsider

Well, usually it isn't that blatant, plus, they changed the title of the article at some point before I had a chance to read it. I can't recall exactly what it was, but I believe it was a bit more appropriate before the change.
post #8 of 22
Tried out the new iAd in the Loopt app. Eh... I guess they're less invasive than the old ads - at least you stay in the app. I just don't care much for ads, I guess.
post #9 of 22
"The report used the Dove Men+Care soap campaign as an example. One of the first iAds to appear when the service launched last week, it has been targeted toward married men in their late 30s who have children.

"Relying on the music, videos and apps that customers are downloading from its iTunes, App Store and iBooks helps Apple sketch a behavioral profile that can be paired with appropriate promotional messages," the report said."

Well, to be fair to AppleInsider, if the Dove campaign really did go ahead, and did use targeted iAds, then Apple could be said to be leveraging iTunes account data.

Edit: The report is apparently from Bloomberg, and this AppleInsider article says that the Bloomberg report says that Apple is doing this now.
post #10 of 22
Quote:
Originally Posted by nvidia2008 View Post

Quote:
Originally Posted by anonymouse

The title doesn't seem to match the content of the article.

Welcome to AppleInsider

Dick Applebaum on whether the iPad is a personal computer: "BTW, I am posting this from my iPad pc while sitting on the throne... personal enough for you?"
Reply
Dick Applebaum on whether the iPad is a personal computer: "BTW, I am posting this from my iPad pc while sitting on the throne... personal enough for you?"
Reply
post #11 of 22
Quote:
Originally Posted by success View Post

Yay iAds!


I'm first!!!!


p.s. all ads suck balls.

I'll have two ads please.
post #12 of 22
Is anybody surprised by this? Google leverages your every online click when you use gmail, google apps, google maps, buzz, google voice, google search, google analytics, youtube, picassa, etc etc. (oops, did I not mention Android?). Amazon leverages every product you look at in the Amazon store to suggest new products to you. So, ok, Apple does it too...
post #13 of 22
There's no shortage of people who "hate ads." It's a matter of relevancy which most non-targeted ads suffer from. You've had to endure most of them because you just weren't interested.

Well, like this new smartphone era which Apple ushered in with its iPhone, Apple is now ushering in iAds which will be both uniquely better targeted to each iTunes account, as well as maintain that individual's choice of participation as well as maintain his or her relative privacy.

High-ticket advertisers stand to benefit better from the dollars they spend because the ads will be more effective because they'll be more RELEVANT to individuals. They'll be more informative and entertaining and thereby elicit more desire to BUY the product or service.

I've appreciated it when a friend who knew my likes and dislikes thought of me to recommend a particular product or service or event. I think iAds will take on more of that kind of quality of communication.

Daniel Swanson

Reply

Daniel Swanson

Reply
post #14 of 22
Quote:
Originally Posted by DanielSW View Post

There's no shortage of people who "hate ads." It's a matter of relevancy which most non-targeted ads suffer from. You've had to endure most of them because you just weren't interested.

Well, like this new smartphone era which Apple ushered in with its iPhone, Apple is now ushering in iAds which will be both uniquely better targeted to each iTunes account, as well as maintain that individual's choice of participation as well as maintain his or her relative privacy.

High-ticket advertisers stand to benefit better from the dollars they spend because the ads will be more effective because they'll be more RELEVANT to individuals. They'll be more informative and entertaining and thereby elicit more desire to BUY the product or service.

I've appreciated it when a friend who knew my likes and dislikes thought of me to recommend a particular product or service or event. I think iAds will take on more of that kind of quality of communication.

I completely agree and I also hope this is going to be the case.
post #15 of 22
Quote:
Originally Posted by PaulMJohnson View Post

That's probably true, but it won't beat targeted ads based on search.

For example, I'm in the market for a DSLR camera at the moment. There is no way you could tell that from my iTunes activity (well OK, I do own a track by Aztec Camera!) but from my Google history, it's absolutely obvious.

Google is getting really smart about ads. Here is an example I had never seen before. I was searching for something particular completely unrelated to Apple or computers. I searched 50-100 different keyword combinations in my effort.

I then returned to AI, where i went to a forum thread that had a lot of varied responses but lacked any common theme as far as Google was concerned, so instead of posting the classic Almond Apple Pie ad, it posted ads concerning the intense search I had just finished at Google. I was really blown away that it considered my recent searches more relevant than the content on the page I was viewing.

Life is too short to drink bad coffee.

Reply

Life is too short to drink bad coffee.

Reply
post #16 of 22
Quote:
Originally Posted by DanielSW View Post

Well, like this new smartphone era which Apple ushered in with its iPhone, Apple is now ushering in iAds which will be both uniquely better targeted to each iTunes account, as well as maintain that individual's choice of participation as well as maintain his or her relative privacy

At a million bucks a campaign are they really going to have enough varied content to target a wide demographic? As Steve said they had 20 or so advertisers, all big time fortune 500 types. I have MLB on my iPhone so I guess I'm going to be seeing mostly Albert Puhols pitching Dove for Men.

Life is too short to drink bad coffee.

Reply

Life is too short to drink bad coffee.

Reply
post #17 of 22
I know it sounds all evil and everything, but if I choose to be a consumer of ad-supported apps, music, TV shows and what-have-you, I'd love it if I could better match things that I might remotely be interested in compared with the shotgun approach we are exposed to today. I don't need boner pills, my post-menopausal wife doesn't need sanitary napkins or tampons, and neither of us need dog food, just to name a few items.
post #18 of 22
Quote:
Originally Posted by mstone View Post

Google is getting really smart about ads. Here is an example I had never seen before. I was searching for something particular completely unrelated to Apple or computers. I searched 50-100 different keyword combinations in my effort.

I then returned to AI, where i went to a forum thread that had a lot of varied responses but lacked any common theme as far as Google was concerned, so instead of posting the classic Almond Apple Pie ad, it posted ads concerning the intense search I had just finished at Google. I was really blown away that it considered my recent searches more relevant than the content on the page I was viewing.

That's really clever. I have to say, I don't mind seeing adverts that are relevant to me, but I feel they are intruding when they are completely pointless.
post #19 of 22
Quote:
Originally Posted by mstone View Post

Google is getting really smart about ads. Here is an example I had never seen before. I was searching for something particular completely unrelated to Apple or computers. I searched 50-100 different keyword combinations in my effort.

I then returned to AI, where i went to a forum thread that had a lot of varied responses but lacked any common theme as far as Google was concerned, so instead of posting the classic Almond Apple Pie ad, it posted ads concerning the intense search I had just finished at Google. I was really blown away that it considered my recent searches more relevant than the content on the page I was viewing.

I've had the same experience, in fact, anyone who has a Google account and doesn't log out is tracked mercilessly and served ads related to their online activity. In a way its handy, no point being pestered by ads you're not interested in. On the other hand, even though this info is meant to be independent of any personal data, one wonders what kind of miracles evil people will be able to dig up on you about your political habits, smoking preferences, sexual interests, etc. and revealed to the world on that day that maybe you do decide to run for president...
post #20 of 22
So wheres all the people saying Google's and evil, evil company? Where are you guys??

At least be consistent! I don't think Apple is being evil here, and I never though Google was ever evil. But so many people on here are gung-ho about Googe's privacy issues. But none of that when Apple does it... Plus Apple's giving themselves a huge advantage over other mobile advertisers here by using your personal data. But I guess is ok because people trust Apple more?
post #21 of 22
Quote:
Originally Posted by Balsak View Post

So wheres all the people saying Google's and evil, evil company? Where are you guys?

Is your name really "Ball Sack"?
post #22 of 22
If Apple are going to do this they should offer some incentive not to opt-out.

Like a discount on iTunes app purchases or a third option for some applications "Free to customers with iAd enabled".

At the moment I think one would be crazy not to opt-out. Actually... I might put that in my signature
New Posts  All Forums:Forum Nav:
  Return Home
  Back to Forum: iPhone
AppleInsider › Forums › Mobile › iPhone › Apple leverages iTunes account data to create targeted iAds