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Advertisers, developers say Apple's iAd blows away competing ads

post #1 of 40
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Users who viewed Nissan's Leaf electric car Apple iAd spent 90 seconds with the interactive advertisement -- ten times longer than customers will spend with a traditional ad.

Based on those figures, Nissan has been very happy with the initial performance of Apple's iAd network, launched in July. The car maker spoke with the Los Angeles Times and revealed that people are five times more likely to click their interactive advertisement than they are a traditional online display ad.

"We feel pretty strongly that this is the way to capitalize on where the mobile Web is heading," Chad Jacoby, senior manager of Nissan's media operations, reportedly said. "What iAd promises is the most aggressive thing I've seen to date."

Unilever, maker of Dove shower products, said its initial advertisement proved to be successful, with 20 percent of viewers checking the ad multiple times, and a percentage in the double digits seeking further information about the product. Unilever now plans to launch a second iAd for another product line it owns, Klondike.

Following the success of initial advertisers, more companies are set to join the fray, with Campbell Soup, DirecTV, General Electric and Sears said to be working on their own iAds. Those companies will help Apple to take up more than half of the mobile advertising market in 2010, as the company has secured more than $60 million over the next six months.

Developers, too, have found success with the new iAd platform. Dictionary.com told the Times that the amount it charges for ad space in its mobile advertisement increased 177 percent since Apple launched iAds. In addition, CBS Mobile has seen up to $25 CPM (an advertising term that means cost per thousand) in its applications for CBS Sports, CNet and GameSpot.



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.

iAd 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.

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 40
I dislike ads in general, but I understand that they underpin/subsidize many kinds of media content. So long as they are not intrusive and help developers make a living writing apps (for cheap), then this is good news.
post #3 of 40
Actually when Ads are properly targetted to me then I really don't mind them. It's only like my being signed up to see items from my favourite sellers on ebay, getting a regular update of offers from the online electronics shops I've used before by email or following certain companies on Twitter.

As a price to pay for 'free' websites/iApps it's fine by me. But I'd always want to see a paid/no ad option too.
post #4 of 40
Are iAds still a novelty? Perhaps once they're ubiquitous, nobody will click on them anymore.
post #5 of 40
So far, I've only seen Nissan and Dove, do they even have anyone else?
post #6 of 40
Quote:
Originally Posted by Curmudgeon View Post

Are iAds still a novelty? Perhaps once they're ubiquitous, nobody will click on them anymore.

If they're as entertaining as the Nissan ad, then they will. People continued to enjoy Mac vs PC ads long aftereveryone got the point.

I don't mind ads but the ones that have been on the Internet have been less than stellar.
post #7 of 40
Now if we can just get all those Geico commercials off my TV then maybe I'll get in the mood to watch some other ad. Really, I can't get to the mute button fast enough when I see one coming. I used to be a Geico customer but their ads actually drove me AWAY from their company.

Kinda off-topic I know, but the subject is still ads.
post #8 of 40
Quote:
Originally Posted by Wings View Post

Now if we can just get all those Geico commercials off my TV then maybe I'll get in the mood to watch some other ad. Really, I can't get to the mute button fast enough when I see one coming. I used to be a Geico customer but their ads actually drove me AWAY from their company.

Kinda off-topic I know, but the subject is still ads.

I know what you mean. Back when I lived in the UK, the "celebrity" chef Jamie Oliver started advertising for the supermarket Sainsbury's, and I started shopping elsehwere since I hate him so much.

Advertising is a difficult game!
post #9 of 40
Google, RIM, HP and Microsoft are now hard at work trying to copy all this as per usual.
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post #10 of 40
Any online store will tell you that chances of people using a Mac browsing your site and eventually buying something is much higher than people on windows.

In fact conversion rate on the iPad is even higher.

If there is an iAds equivalent on Android or anywhere else probably won't work as well.
post #11 of 40
Quote:
Originally Posted by Wings View Post

Now if we can just get all those Geico commercials off my TV then maybe I'll get in the mood to watch some other ad. Really, I can't get to the mute button fast enough when I see one coming. I used to be a Geico customer but their ads actually drove me AWAY from their company.

Kinda off-topic I know, but the subject is still ads.

Amen. I think out of the gazillion GEICO ads, I've seen one that I enjoyed. The gecko talking about free pie and chips. I flat out want to kill the cave man. And that stupid guy that tries not to look at the camera. "Is Too Tall Jones, too tall"? Smack him around the head and shoulders.
post #12 of 40
Quote:
Originally Posted by Curmudgeon View Post

Amen. I think out of the gazillion GEICO ads, I've seen one that I enjoyed. The gecko talking about free pie and chips. I flat out want to kill the cave man. And that stupid guy that tries not to look at the camera. "Is Too Tall Jones, too tall"? Smack him around the head and shoulders.

Geico must be loving the fact they made sufficient impact to annoy or entertain you guys, it's a win win for them that you are even mentioning them.
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post #13 of 40
Google, eat your heart out! This is sure the future. Everyone dislikes pop-up ads, especially one that takes you out your page or app.

Apple will again redefine mobile ads. And that is a good thing.
post #14 of 40
I think iAds are cool, but Apple says that iAds keep the user inside the app.... well most of the AdMob ads when clicked just slide up a new browser window which can be closed at any time, with your app right behind it. So its not any different than the iAd structuure, just better looking- I'm just saying.
post #15 of 40
Quote:
Originally Posted by turboredmr2 View Post

I think iAds are cool, but Apple says that iAds keep the user inside the app.... well most of the AdMob ads when clicked just slide up a new browser window which can be closed at any time, with your app right behind it. So its not any different than the iAd structuure, just better looking- I'm just saying.

Which AdMob ads? All the ones I've clicked on (90% of them accidentally) have taken me completely out of the app and to the browser, which then opens up a rather primitive text ad with a picture thrown in for good measure. Maybe AdMob is changing, tough, and I just haven't noticed yet since I try not to click on most ads.
post #16 of 40
I still yet to see one iAD in th UK. Given the story above, can only think of two in the state as well. Has it started yet? Or maybe I'm just not fit to their targeted market all I see in my app are ads from AdMob and one other I can't remember the name.
post #17 of 40
iAds are created with html5 so I'd assume any platform that uses webkit (eg Android, WebOS and Blackberry OS 6) or has a fully compliant browser should also be able to display them. I suspect the cool app-like-adverts will soon be seen on all platforms and all ad systems, not just iOS and iAd. AdMob might take you out of the app into a browser but the adverts should still display fine.
post #18 of 40
Quote:
Originally Posted by digitalclips View Post

Google, RIM, HP and Microsoft are now hard at work trying to copy all this as per usual.

+1

(5 chars)
post #19 of 40
Quote:
Originally Posted by Curmudgeon View Post

Are iAds still a novelty? Perhaps once they're ubiquitous, nobody will click on them anymore.

You're joking right? iAds are barely out of the starting bloc so yeah...they are still a novelty
post #20 of 40
Quote:
Originally Posted by Wings View Post

Now if we can just get all those Geico commercials off my TV then maybe I'll get in the mood to watch some other ad. Really, I can't get to the mute button fast enough when I see one coming. I used to be a Geico customer but their ads actually drove me AWAY from their company.

Kinda off-topic I know, but the subject is still ads.

You let a company's ADS drive you away? WOW! What the hell kind of person does that? Personally I think NORMAL people would judge a company by it's service and NOT some stupid TV ad...
post #21 of 40
Looks cool! I can't wait for Google to pee all over it by releasing an almost-exact copy and have their fans claim it was Google's idea first!
post #22 of 40
Quote:
Originally Posted by coolcat View Post

You let a company's ADS drive you away? WOW! What the hell kind of person does that? Personally I think NORMAL people would judge a company by it's service and NOT some stupid TV ad...

People let ads sway them to purchase a given product, so why couldn't an ad actually dissuade someone from buying a product?
post #23 of 40
Quote:
Originally Posted by guch20 View Post

Looks cool! I can't wait for Google to pee all over it by releasing an almost-exact copy and have their fans claim it was Google's idea first!

They already have had their copy since a month after iAds was first shown by Jobs through the acquisition of AdMob. As you can imagine it looks cheap in comparison (and it was only a demo!)
post #24 of 40
I think Google has the advantage of scale. IAds are really expensive and because there are so few advertisers it is difficult to target the market. Google has so many advertisers and the price is really inexpensive so with search results it is much easier to correctly target the user.

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post #25 of 40
Quote:
Originally Posted by coolcat View Post

You let a company's ADS drive you away? WOW! What the hell kind of person does that? Personally I think NORMAL people would judge a company by it's service and NOT some stupid TV ad...

Count me in with the abnormal, then. If an ad campaign is sufficiently obnoxious and ubiquitous, it inevitably causes me to have negatives feelings about the thing advertised (which actually seems like a pretty reasonable response).
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post #26 of 40
Quote:
Originally Posted by ihxo View Post

Any online store will tell you that chances of people using a Mac browsing your site and eventually buying something is much higher than people on windows.

In fact conversion rate on the iPad is even higher.

If there is an iAds equivalent on Android or anywhere else probably won't work as well.

I'm genuinely interested if you have data you can share. That is very interesting.
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post #27 of 40
Quote:
Originally Posted by mstone View Post

I think Google has the advantage of scale. IAds are really expensive and because there are so few advertisers it is difficult to target the market. Google has so many advertisers and the price is really inexpensive so with search results it is much easier to correctly target the user.

These are not search driven ads. You cannot have these kinds of ads in a browser, yet. These are ads that sweeten the app platform.
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post #28 of 40
Quote:
Users who viewed Nissan's Leaf electric car Apple iAd spent 90 seconds with the interactive advertisement -- ten times longer than customers will spend with a traditional ad.

Not surprising, since iAds take ten times longer to load than traditional ads.
post #29 of 40
Quote:
Originally Posted by mr_cazorp View Post

Not surprising, since iAds take ten times longer to load than traditional ads.

It must be your device or connection. I've viewed the Nissan iAd and it didn't take long to load at all (maybe 3-4 seconds). Also when you click on an iAd a window slides up from the bottom of the screen with a X in the upper left corner which you can press anytime to close it.

The iAds started July 1. I have seen a lot lately, especially starting the first of this month but you are more likely to see them on free apps that are updated frequently. For instance if you play We Rule or We Farm you will see plenty of them. Interesting to note I have seen lots of iAds for App Store apps (the window slides up to show the app details and description). They are different and for me at least, I think I would be more willing to open an iAd as opposed to a text (browser based) ad.
post #30 of 40
Quote:
Originally Posted by mobility View Post

These are not search driven ads. You cannot have these kinds of ads in a browser, yet. These are ads that sweeten the app platform.

Yes I know. As a user of App 'whatever' I am targeted with either Dove hygiene products or a Nissan and that is it. Not very relevant to my interests and I'm not likely to click. Where as with search or web page advertising you get spot on targeting.

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post #31 of 40
Quote:
Originally Posted by Curmudgeon View Post

Are iAds still a novelty? Perhaps once they're ubiquitous, nobody will click on them anymore.


I love watching iAds. It is just one more way of helping Steve to give me a better life.
post #32 of 40
Quote:
Originally Posted by SendMe View Post

I love watching iAds. It is just one more way of helping Steve to give me a better life.

And while you're watching your iAds, AT&T is charging you for data usage and time. You're paying for the privilege of watching some company's advertisement. This is even worse than commercial television. How stupid they must think all of us are.

Wonder what the poor sucker, er, iPhone user in this video was working on before iAds consumed his entire screen & appropriated his iPhone? This is why I'm still on 3.1.3.

All of this plus we get to be tracked by Location whether we try to OPT OUT or not? Does it get any better?

This is a huge pain in the iAss.
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post #33 of 40
Quote:
Originally Posted by Splash-reverse View Post

I still yet to see one iAD in th UK. Given the story above, can only think of two in the state as well. Has it started yet? Or maybe I'm just not fit to their targeted market all I see in my app are ads from AdMob and one other I can't remember the name.

I saw two last night in an App I tried called 101 Cheats. Both iAds just brought App Store style interfaces and were advertising Apps.
post #34 of 40
Quote:
Originally Posted by mrtotes View Post

I saw two last night in an App I tried called 101 Cheats. Both iAds just brought App Store style interfaces and were advertising Apps.

Apps advertising apps. Isn't that like TV commentators interviewing other TV commentators?

Of course, it's not as dramatic or educational as when sports personalities interview other sports personalities. Now that's some kind of entertainment value!
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post #35 of 40
I saw the Dove ad shortly after iAds came out, clicked it, and couldn't tell what the heck was going on. It was like one of those bad CD-ROMs from the 90's where you couldn't tell what the navigation was. I stumbled around for about a minute, then closed it and haven't opened an iAd since then. But I guess if I see one of those Leaf ads, I'll try to win the free car!
post #36 of 40
Quote:
Originally Posted by matt_s View Post

And while you're watching your iAds, AT&T is charging you for data usage and time. You're paying for the privilege of watching some company's advertisement. This is even worse than commercial television. How stupid they must think all of us are.

Wonder what the poor sucker, er, iPhone user in this video was working on before iAds consumed his entire screen & appropriated his iPhone? This is why I'm still on 3.1.3.

All of this plus we get to be tracked by Location whether we try to OPT OUT or not? Does it get any better?

This is a huge pain in the iAss.

Of course you are paying for the privilege of watching some company's advertisement, should you decide to click it. It is up to the user. Plus the whole idea of the ads is to offer a free version of a particular app to generate revenue. Don't you know how advertising works?

You are depriving yourself of all the new features and are paying a premium bill just so you can avoid iAds? Multi-tasking is overrated right? Speedier camera? So are the folders and all the other upgrades that came with iOS4.

Thats like choosing to take the country dirt road to work as opposed to the highways because you don't want to have to look at billboards during your commute.

Believe it or not, the more data advertisers have on us, the better they can target unique and appealing offers to its potential customers. It is a win win for both sides.
post #37 of 40
I don't mind well done advertising that's relevant to me. After all, it's a great way to discover new stuff (the point of advertising!).

Ads that suck, or aren't relevant but numerous is what people generally despise.

Quote:
Originally Posted by Wings View Post

Now if we can just get all those Geico commercials off my TV then maybe I'll get in the mood to watch some other ad. Really, I can't get to the mute button fast enough when I see one coming. I used to be a Geico customer but their ads actually drove me AWAY from their company.

I dunno, not all of their ads are bad. The new series with Piggy, Honest Abe, Bird in hand or my absolute favorite Therapist Sarge are classic! R. Lee Emery rocks

They all make me laugh. The Bird in Hand one is funny as hell with the way they parody Antiques Roadshow down to the reaction of the owner. Honest Abe - any guy with a girlfriend or wife can relate to that one. The facial expressions and timings in that ad are perfect! And Piggy - from the sideways glance from the other kid in the back seat to the pigs name, to the unexpected teenage voice - again, well done!

I'm still not using them for insurance as I have a better deal, but I do find those ads eminently entertaining and enjoy them. The caveman ads - ugh!
post #38 of 40
Honestly, this ad format is at best a fad and will die. Their biggest problem is the cost for the advertisers. The costs just to develop the advert are huge, compared to Google's solution which is as good as zero. Add to that the extra amount that Apple is charging over Google, and you're left with only a few customers that can really pay.

The genius of the Google way is that they can deliver ads that people are actually interested in. How much targeting is going on with the Nissan and Dove ads? Close to nothing. People are clicking on them now, cause they are cool and they want to see something new, but once the novelty wears off, no one is going to want to click on them anymore, so even the small base of potential advertisers won't be interested.

Apple should stick to things it knows how to do well, and leave online advertising to people like Google.
post #39 of 40
I invite everyone to take a look at Hutcho's posting history, consider his unbroken track record of sour bitterness regarding all things Apple, and contemplate what compels such a person to post on site such as this. I vote for "he's a complete loser."
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post #40 of 40
I am the voice of objective reason. I'm not against Apple, I own almost every device in the Apple range, I think they make great products. I'm generally only driven to post here when I hear some fan boy sprouting a load of nonsense.

In addition to that, I rarely post anything positive because there are enough fanatics here to do it for me.

So instead of looking at my posting history, how about telling my why I'm wrong in regards to Apple's approach to advertising?
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