Apple planning locally targeted ads for iTunes Radio, iAd promotion of iTunes - report

Posted:
in iPod + iTunes + AppleTV edited June 2014
Apple's mobile advertising efforts are expected to increase this year, when the company is reportedly planning to have locally targeted ads air on iTunes Radio, and will also begin promoting iTunes content through its own iAd network.

radio


The iPhone maker's apparent plans were revealed on Friday by The Information, which said that the changes are expected to strike "at the heart of Pandora's advertising business." Pandora is the market leader in streaming music and offers a service very similar to Apple's fledgling iTunes Radio.

Friday's report also revealed that Apple has reached out to broadcasters such as Cumulus Media in an effort to bring non-music content to iTunes Radio. Apple has already signaled its interest in talk content with the debut of National Public Radio on its streaming service earlier this year.

Apple's apparent moves are expected to come as Amazon is rumored to be launching its own free streaming service that will be included with the retailer's Prime subscriptions. Amazon's strategy will apparently employ a unique approach in that the most recent songs released within the last six months will not be available to stream.

iAds on iTunes Radio


And Apple made a huge splash in the streaming space this week when it was confirmed that it will buy Beats, including with its Beats Music service, for $3 billion. Though Beats is best known for its headphones, Apple has made it clear that the Beats Music service was the deciding factor in its acquisition of the company.

Beats Music is a subscription-based cross-platform service available on Google's Android and Microsoft's Windows Phone, in addition to Apple's iOS. It will remain that way and allow Apple to counter Spotify, which also offers on-demand listening for individual tracks.

Apple's rumored expansion for its iAd platform on iTunes Radio and the purchase of Beats come as sales of traditional music through the iTunes Store have been declining, with one recent estimate claiming that sales were down 24 percent year over year in the first quarter. The company is believed to be looking to offset that lost revenue with new ways to monetize its music licenses in a rapidly evolving industry.

Comments

  • Reply 1 of 8
    paxmanpaxman Posts: 4,670member
    And I will pay to avoid all ads.
  • Reply 2 of 8
    constable odoconstable odo Posts: 1,041member

    I can't say much about one streaming company "killing" another but I'm sure if any company can monetize streaming music and make it profitable, Apple probably can.  It doesn't mean that Apple's streaming format or UI will be a lot better or suit everyone but iTunes along with Beats Music talent, should be able to work out some decent music play format.  I mainly like Spotify because it runs on many devices, I'm comfortable with the user interface and I can listen to whole albums on-demand.  However, I'm happy using it with ads which makes the experience still a lot better than over-the-air radio.  iTunes Radio doesn't even run on Snow Leopard but runs on Windows XP.  That's crazy.  You can force iTunes Radio to play all of an artists songs but only randomly.

     

    I really wish these people would stop the nonsense about one company's service "destroying" another company's service.  Why should that always happen?  If Pandora is struggling with making money, that's their fault.  I don't see why Apple entering the subscription music business should do any more harm to Pandora.  Pandora was never profitable but investors kept throwing money at the company just the same.  There are users who like Pandora and they'll probably stick with it.  These analysts always talk as though there's only room for one company to thrive at any one time.

  • Reply 3 of 8
    tbelltbell Posts: 3,146member
    Quote:
    Originally Posted by paxman View Post



    And I will pay to avoid all ads.

     

     

    I feel your sentiment. However, iTunes Radio is pretty enjoyable. It plays ads far less than Pandora, and often times I go hours without hearing an ad. To the extent you hear or see an ad, they are pretty well done. 

  • Reply 4 of 8
    crowleycrowley Posts: 8,745member
    I wonder if Apple will use WWDC as the platform to announce expansion of iTunes Radio to other countries. One year after its announcement, that'd be nice.
  • Reply 5 of 8
    alinuxalinux Posts: 1member
  • Reply 6 of 8
    crowley wrote: »
    I wonder if Apple will use WWDC as the platform to announce expansion of iTunes Radio to other countries. One year after its announcement, that'd be nice.

    I share your sentiment.
  • Reply 7 of 8
    tokyojimutokyojimu Posts: 487member
    If Amazon's Prime music streaming is like their Prime video streaming, it will not include any song released in the past three years, or any song that ever charted.
  • Reply 8 of 8
    gatorguygatorguy Posts: 23,171member
    tokyojimu wrote: »
    If Amazon's Prime music streaming is like their Prime video streaming, it will not include any song released in the past three years, or any song that ever charted.

    You might be close. Rumor has it that current chart-toppers won't be included in the streaming. That brings up a question tho. Are there songs at the top of the charts streaming on iRadio or Pandora? I don't know. Anyone?
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