Imagine their surprise when because they were first on board when iAd launches, they end up with millions and millions of clicks from people wanting to see the iAd magic and have no intention of buying.
The companies that buy in for the launch are totally aware of that and won't be surprised. Not all advertising is created to make people go and spend money directly. For the BIG brands it is all about lifestyle, association and "brand awareness". They spend their money on creating an image their users associate with. By being part of, or being associated with that "lifestyle" or "experience" for lack of better words, their products become the natural choice in a given situation. It's more complicated than that, of course but the point being that no one is above the influence of ads and these advertisers will capitalize on millions of upwardly mobile, well educated, technologically advanced (comparatively), young people perusing their ads by their own volition.
The companies that buy in for the launch are totally aware of that and won't be surprised. Not all advertising is created to make people go and spend money directly. For the BIG brands it is all about lifestyle, association and "brand awareness". They spend their money on creating an image their users associate with. By being part of, or being associated with that "lifestyle" or "experience" for lack of better words, their products become the natural choice in a given situation. It's more complicated than that, of course but the point being that no one is above the influence of ads and these advertisers will capitalize on millions of upwardly mobile, well educated, technologically advanced (comparatively), young people perusing their ads by their own volition.
Lifestyle and experience are very apt words.
I was being facetious. I would hope that any company willing to pony up that kind of cash for a campaign would be going in eyes open. Anyone selling ads, especially at iAd launch is going knowing it will be a campaign for brand awareness and association with Apple. You are right, Apple is definitely selling access to their experience.
Why are people assuming it is going to work that way?
There is no cookie tossing that can be done. iBlock app that is being bandied around wouldn't ever work as it would require iBlock to reach into other applications (something impossible under the SDK).
iAds is an "Application Advertisement Framework", not in anyway comparable to the browser-based "Google Adwords".
Stop comparing the two, they couldn't be any further apart if they tried.
I saw something on television a couple years ago, where they said that Nike pays Michael Jordon more money per year than they pay their entire group of factory workers their sweatshop wages. Things are definitely out of whack!
What's out of whack? Do people buy the shoes for their quality or because Michael Jordan wears them?
What people are forgetting is that what made Google the king of online advertising, and what keeps them extremely profitable today, is not that they have nice flashy ads from big advertisers, it's that they have an incredibly huge database of possible ads and they target these ads towards consumers very well.
I think this whole article is a load of crap frankly, because any idiot knows that exclusivity when it comes to online ads is not going to make money. All you'll be doing is showing annoying, untargeted ads to people that aren't interested. No one is going to buy into that, no matter how slick the ad is.
If this is really what Apple is going for, they will fail bigtime.
I guess most of you have an iPhone (or maybe an BB/Android...) so I'm very interested in your experience. I'm conducting a research on mobile ads as part of a Master in marketing.
Advertising business is a Billion dollar business for the big businesses.
Big Businesses. That's the issue. I have no doubt a company like M$ or Dell or Electronic Arts would spend the cash. But what about small/midsize software and peripheral makers? I just don't see it.
But whatever, this is Apple's business. If the number is $10m, I assume they know what they're doing.
Comments
Imagine their surprise when because they were first on board when iAd launches, they end up with millions and millions of clicks from people wanting to see the iAd magic and have no intention of buying.
The companies that buy in for the launch are totally aware of that and won't be surprised. Not all advertising is created to make people go and spend money directly. For the BIG brands it is all about lifestyle, association and "brand awareness". They spend their money on creating an image their users associate with. By being part of, or being associated with that "lifestyle" or "experience" for lack of better words, their products become the natural choice in a given situation. It's more complicated than that, of course but the point being that no one is above the influence of ads and these advertisers will capitalize on millions of upwardly mobile, well educated, technologically advanced (comparatively), young people perusing their ads by their own volition.
That is why I have never purchased a Nike shoe. I don't need $200.00 Air Jordan shoes, thank you very much.
Which is why I never have to worry about stopping to click a Nike ad link.
I got a great pair of Nike+ Air Pegasus 25 running shoes to use with my Nike+iPod kit for $45.
You don't have to buy the most expensive shoes, you know.
The companies that buy in for the launch are totally aware of that and won't be surprised. Not all advertising is created to make people go and spend money directly. For the BIG brands it is all about lifestyle, association and "brand awareness". They spend their money on creating an image their users associate with. By being part of, or being associated with that "lifestyle" or "experience" for lack of better words, their products become the natural choice in a given situation. It's more complicated than that, of course but the point being that no one is above the influence of ads and these advertisers will capitalize on millions of upwardly mobile, well educated, technologically advanced (comparatively), young people perusing their ads by their own volition.
Lifestyle and experience are very apt words.
I was being facetious. I would hope that any company willing to pony up that kind of cash for a campaign would be going in eyes open. Anyone selling ads, especially at iAd launch is going knowing it will be a campaign for brand awareness and association with Apple. You are right, Apple is definitely selling access to their experience.
There is no cookie tossing that can be done. iBlock app that is being bandied around wouldn't ever work as it would require iBlock to reach into other applications (something impossible under the SDK).
iAds is an "Application Advertisement Framework", not in anyway comparable to the browser-based "Google Adwords".
Stop comparing the two, they couldn't be any further apart if they tried.
I saw something on television a couple years ago, where they said that Nike pays Michael Jordon more money per year than they pay their entire group of factory workers their sweatshop wages. Things are definitely out of whack!
What's out of whack? Do people buy the shoes for their quality or because Michael Jordan wears them?
I think this whole article is a load of crap frankly, because any idiot knows that exclusivity when it comes to online ads is not going to make money. All you'll be doing is showing annoying, untargeted ads to people that aren't interested. No one is going to buy into that, no matter how slick the ad is.
If this is really what Apple is going for, they will fail bigtime.
Participate here: http://bit.ly/a0NFvM (Google Docs questionnaire).
There are only 12 basic questions, and a nice summary of the responses!
Thanks for your time!
You forgot to list that Apple's advertising budget was $486M is 2008:
http://blogs.zdnet.com/Apple/?p=2545
Here's there 2009 Budget, along with MS's, Dell, and RIM's:
http://tech.fortune.cnn.com/2009/10/...alf-a-billion/
You want to eat your words yet.
Advertising business is a Billion dollar business for the big businesses.
Big Businesses. That's the issue. I have no doubt a company like M$ or Dell or Electronic Arts would spend the cash. But what about small/midsize software and peripheral makers? I just don't see it.
But whatever, this is Apple's business. If the number is $10m, I assume they know what they're doing.