|Apple Plans To Place More Dollars in Streaming and Advertising
|Apple's stock may be low, but making its mark in advertising and streaming may help get it back up.
Apple OG Eddy Cue is having conversations about revamping the company's 76 billion dollar services business to make a more considerable shift towards streaming and advertising. Apple already has its hands on a vast amount of first-party data through the AppStore, ApplePay, iCloud, and Apple Music, amongst other ventures. This transition towards streaming and advertising will be smooth for Apple and work out in their best interest.
The home of the iPhone is working towards gaining some sports broadcasting rights, including NFL's Sunday Ticket and the NBA when it is time for their renewal. According to Ed Desser, president of sports TV consultancy at Desser Sports Media, Apple can make a killing off of sports rights in three key ways:
?? Through new subscribers
?? An add-on sports package to produce additional subscriber revenue
?? Advertising revenue overall
|Two years ago, we sussed out that Apple's privacy play was the foundation for building out their own ad network.
They're also making just the right shifts in the executive suite to attain great successes. Todd Teresi, a VP responsible for Apple's ad business for over a decade, is known for getting things poppin' and will now directly report to Peter Stern.
However, back in 2010, when Teresi led the launch of Apple's iAd mobile advertising network, it shut down six years later after failing to capture anything over a single-digit share of the mobile ad market. But this time around, with ATT, the odds are definitely better.
On the flip side, Apple's ad business has been booming lately. Its most significant advertising source happens to be search ads, which grew 238% to $37 billion in 2021 versus 2020, according to Matthew Bailey, a principal research analyst at Omdia.
If you remember the Apple VS Facebook saga, Apple's wins have meant a lot of losses for Facebook. But Meta is likely working on their own ad targeting systems to combat those losses.
|GDPR Gives a Bunch of Google Play Apps the Boot
|"We know GDPR for its annoying cookie pop overs," says Matthew Yglesias of SlowBoring.com. But now GDPR is also blocking app innovation in the EU.
According to a recent report, GDPR has increased the barriers to entry for both existing and new apps. Using data on 4.1 million apps at the Google Play Store from 2016 to 2019, the report documents that GDPR induced the exit of about a third of available apps; and in the quarters following implementation, entry of new apps fell by 50%. "Whatever the privacy benefits of GDPR, they come at substantial costs in foregone innovation," the report says.
While we know a number of apps are BS, consumers still suffered more consequences from the decline.
EU experts predict a structural model of demand and entry in the supply field. Research points out that GDPR caused consumer surplus to drop by 32% and aggregate app usage to drop by 26%.
So yeah, GDPR may act as the guard dog to the consumer, but its restrictions are more than costly for pubs.
Privacy Matters argues, "The law is not to blame here but an exploitative business model. As for the GDPR itself, I'd argue it has sparked innovation in more privacy respectful and protecting products and services," said Pat Walshe, DPO at Brave.
He also pointed out that the apps that exited the store were data vampires, so they actually do consumers more damage than good.
But there's still no denying that GDPR makes it harder for legit app publishers to earn revenue. While we know this is not the intention of the EU regulation camp, the ever-changing restrictions are keeping pubs on their toes. Each newly implemented legislation has advertisers and publishers shifting gears right and left.
— 99% of the replies to this paper - @BrianCAlbrecht
|Introducing Adjust CTV AdVision
|Publishers used to be scared to invest in CTV, but now they know it's where it's at.
Research shows that over 90% of consumers watch CTV while on their cell, and these numbers are only increasing. Cord-cutting has been on the rise since the pandemic but really, over the last three years. Currently, 82% of households have access to CTV, and spend in this channel is expected to rise above $21 billion this year as more marketers figure this out and get the most ROI from this emerging platform.
But visibility is key to a successful campaign, and Adjust just made it simpler for publishers to prove their ROI with CTV AdVision. This is the first comprehensive solution offering CTV tracking, visualizations, and impact.
"What sets CTV AdVision apart is that it gives marketers the ability to analyze the assisting power of CTV, shedding light on the extent to which CTV is helping other channels to convert and improve ROI," said Gijsbert Pols, Ph.D., Director of CTV and New Channels at Adjust.
"For example, a client can see how many users have seen a particular CTV ad before coming to their app via social media. These insights then help clients figure out to what extent CTV enables them to find premium audiences, both directly and indirectly."
|This new asset may be more beneficial to publishers than they may think. For one, it allows marketers to measure, analyze and optimize CTV campaigns and see CTV metrics compared to other outlets. AdVision also gives publishers easy access to additional KPIs needed to track the performance of CTV campaigns properly.
Things pubs can do with CTV AdVision:
|Around the Water Cooler
|Here's what else we've been talking about this week...
Netflix Ad-supported Model Coming This Year?
A couple of weeks ago we reported that Netflix was considering an ad-based subscription. Now, it looks like this may come sooner than later. Over at Techcrunch, Lauren Forristal reports that "Netflix told employees that the streaming giant was looking to bring the ad-supported tier to the platform by the end of the year."
Pubs are Optimizing UX Without Sacrificing Revenue
Seems like this is always a debate, UX vs ad revenue. But mega pubs like Dotdash Meredith have proven that taking ads off the page, speeds up the page and increases engagement. A recent story in Digiday, says that AI could be the game-changer for balancing UX and ad revenue.