App Tracking Transparency causing 15% to 20% revenue drop for advertisers
Apple's App Tracking Transparency feature is causing a 15% to 20% drop in revenue for iOS advertisers, according to a mobile marketing executive.
Credit: Apple
In an interview with GamesBeat, Consumer Acquisition's Brian Bowman says that Apple's change to Identifier for Advertisers (IDFA) tracking has had a devastating impact on iOS advertising revenue.
"Certain clients are down 30% to 40% percent in revenue. Others are feeling less of an impact. It's a mess," Bowman said.
In addition to seeing advertising revenue plummet, iOS advertisers have also started noticing an inflation in unattributed organic traffic. That means advertisers aren't as able to tailor ad placement to specific audiences.
Bowman noted that the full impact of ATT has yet to be felt. Advertisers will begin to feel the full effects of the feature about 30 days after iOS 14.6 adoption reaches 80%, Bowman said.
Larger companies are not expected to feel the brunt of ATT as their app catalogs generate a considerable amount of first-party data, but Small- to medium-sized businesses that rely on ad revenue will need to adapt.
"At the very high end, the companies that are amassing a walled garden of IDFVs are on a path to do better," Bowman said. "Small to medium-sized developers just don't have the financial ability to move into in-app purchases. You need an awful lot of money to do that."
Consumer Acquisition is a noted critic of ATT and has in the past been vocal about Apple's moves to nix IDFA tracking.
Apple's ATT feature, released earlier in 2021, restricts tracking of consumer data unless users opt in. Back in May, it appeared that only 4% of iOS users were opting-in to ad tracking. As of July, that number appears to have risen to about 20%, according to GamesBeat.
Keep up with everything Apple in the weekly AppleInsider Podcast -- and get a fast news update from AppleInsider Daily. Just say, "Hey, Siri," to your HomePod mini and ask for these podcasts, and our latest HomeKit Insider episode too.If you want an ad-free main AppleInsider Podcast experience, you can support the AppleInsider podcast by subscribing for $5 per month through Apple's Podcasts app, or via Patreon if you prefer any other podcast player.
Credit: Apple
In an interview with GamesBeat, Consumer Acquisition's Brian Bowman says that Apple's change to Identifier for Advertisers (IDFA) tracking has had a devastating impact on iOS advertising revenue.
"Certain clients are down 30% to 40% percent in revenue. Others are feeling less of an impact. It's a mess," Bowman said.
In addition to seeing advertising revenue plummet, iOS advertisers have also started noticing an inflation in unattributed organic traffic. That means advertisers aren't as able to tailor ad placement to specific audiences.
Bowman noted that the full impact of ATT has yet to be felt. Advertisers will begin to feel the full effects of the feature about 30 days after iOS 14.6 adoption reaches 80%, Bowman said.
Larger companies are not expected to feel the brunt of ATT as their app catalogs generate a considerable amount of first-party data, but Small- to medium-sized businesses that rely on ad revenue will need to adapt.
"At the very high end, the companies that are amassing a walled garden of IDFVs are on a path to do better," Bowman said. "Small to medium-sized developers just don't have the financial ability to move into in-app purchases. You need an awful lot of money to do that."
Consumer Acquisition is a noted critic of ATT and has in the past been vocal about Apple's moves to nix IDFA tracking.
Apple's ATT feature, released earlier in 2021, restricts tracking of consumer data unless users opt in. Back in May, it appeared that only 4% of iOS users were opting-in to ad tracking. As of July, that number appears to have risen to about 20%, according to GamesBeat.
Keep up with everything Apple in the weekly AppleInsider Podcast -- and get a fast news update from AppleInsider Daily. Just say, "Hey, Siri," to your HomePod mini and ask for these podcasts, and our latest HomeKit Insider episode too.If you want an ad-free main AppleInsider Podcast experience, you can support the AppleInsider podcast by subscribing for $5 per month through Apple's Podcasts app, or via Patreon if you prefer any other podcast player.
Comments
that they know better than me, about what I like or what I need.
Plus, given the constant whining of those who are "suffering," this means their "new" advertising probably isn't as effective. What this means is that we consumers aren't being manipulated to spend on things we neither need nor want which equates to Joe Consumer being richer. But obviously that's not important, what's important is big business not being able to take as much money from consumers and when something blocks that process, life is sad.
Cry me a fucking river.
If I like an app that much, I pay for the ad-free version. They get the money they need, and I don't have to navigate around ads.
rob53 is now my new best friend. My thoughts for years exactly! In fact I'm a bit more extreme, and often wondered why snailMail mail exists in the first place.
* there are the advertising networks that place the ads.
Also, if they’re suffering at all, they’re suffering from self-inflicted wounds. Advertisers have created a culture where they are hated by non-advertisers, and for good reason.
Most of the bandwidth/data usage of the Internet is probably garbage no one asked for, and only corporations, exploitative businesses, and scammers want there.
It’s also funny how much shit Apple can stir up having less than 50% of a market. Seems their bite is much larger than their bark. Turns out their ‘cog’ in the giant tech wheel machine is crucial to its functioning.