Google and Apple Losing Mobile Advertising Market to Publishers

iad_gallery_iconResearch firm IDC today announced the release of a new report covering the mobile advertising market, noting that ad networks such as those from Google and Apple are losing traction to publishers able to use their size to drive their own advertising sales.

Where in past years, ad networks such as Google, Millennial Media, and Apple received most of the spending on mobile display ads, now publishers control the segment, thanks to very strong sales growth in the past year. Facebook, Pandora, Twitter, and The Weather Channel all registered strong sales in 2012 and all (with the exception of Pandora) popped onto the scene from zero sales in 2011. As a result, publishers controlled 52% of U.S. mobile display ad spending in 2012, compared to the 39% they received in 2011.

IDC notes that, despite slowing growth, the mobile advertising market continues to boom in the United States, growing 88% in 2012 to reach $4.5 billion to provide a massive opportunity for ad networks and publishers alike. The report notes that mobile advertising now accounts for 11% of all digital advertising, illustrating the strong momentum of mobile.

Apple has long faced an uphill battle to gain momentum with its iAd service, repeatedly slashing buy-in fees in order to lure and keep customers unwilling to commit to expensive advertising campaigns limited to Apple devices. The popularity of Apple's devices did allow Apple to rise to the number two spot behind Google in mobile display advertising, but IDC notes that Apple ($125 million gross revenue) lost that spot to Millennial Media ($151 million gross revenue) last year.

Apple's iAd program grew out of its 2010 acquisition of ad firm Quattro Wireless. Quattro founder and CEO Andy Miller left Apple in mid-2011, and since that time iAd has been overseen by senior vice president Eddy Cue as part of Apple's umbrella of Internet Software and Services.

Top Rated Comments

No Pain No Gain Avatar
126 months ago
Looks like Macrumors needs more advertising revenue so that it can post complete articles. :D

In-Thread purchase
Score: 10 Votes (Like | Disagree)
nepalisherpa Avatar
126 months ago
[url=https://cdn.macrumors.com/im/macrumorsthreadlogodarkd.png]Image (https://www.macrumors.com/2013/04/09/google-and-apple-losing-mobile-advertising-market-to-publishers/)[/url]


Image (https://cdn.macrumors.com/article-new/2013/04/iad_gallery_icon.jpg)Research firm IDC today announced (http://www.idc.com/getdoc.jsp?containerId=prUS24063113) the release of a new report covering the mobile advertising market, noting that ad networks such as those from Google and Apple are losing traction to publishers able to use their size to drive their own advertising sales.IDC notes that, despite slowing growth, the mobile advertising market continues to boom in the United States, growing 88% in 2012 to reach $4.5 billion to provide a massive opportunity for ad networks and publishers alike. The report notes that mobile advertising now accounts for 11% of all digital advertising, illustrating the strong momentum of mobile.

Apple has long faced an uphill battle to gain momentum with its iAd service, repeatedly slashing buy-in fees (https://www.macrumors.com/2012/02/14/apple-slashes-iad-buy-in-fee-yet-again/) in order to lure and keep customers unwilling to commit to expensive advertising campaigns limited to Apple devices. The popularity of Apple's devices did allow Apple to rise to the number two spot behind Google in mobile display advertising, but IDC notes that Apple ($125 million gross revenue) lost that spot to Millennial Media ($151 million gross revenue) last year.

Apple's iAd program grew out of its

Article Link: Google and Apple Losing Mobile Advertising Market to Publishers (https://www.macrumors.com/2013/04/09/google-and-apple-losing-mobile-advertising-market-to-publishers/)

Looks like Macrumors needs more advertising revenue so that it can post complete articles. :D
Score: 8 Votes (Like | Disagree)
jav6454 Avatar
126 months ago
At this rate, iAd will soon be like Ping.
Score: 5 Votes (Like | Disagree)
rmwebs Avatar
126 months ago
Advertising: the death of all media.

I find it grotesque that entities like Facebook are referred to as publishers.

Facebook is a universe of its own. It provides advertising that Adblock cannot block: "sponsored" postings.

The real question is: how long until the next service comes along that people move to because it's not slow, bloated, broken, and filled with advertising? Then, once that new one gets a mass following, it too turns on the obscene marketing. Cycle repeats.

Look at theatres, radio and tv. Each were a haven for media types, only to eventually require new subscription services that claimed no advertising. Only to have the subscription system also polluted with advertising that we pay to see, with further exclusive variations to subscribe to that offer ad free experiences, which also succumb to "special sponsored" content that is just a euphemism for advertising.

And st the end of it all, we are bathing in unwanted overstimulation from every commercial entity, 24/7, in every space possible. It's no wonder "mental healthcare" has made massive profits on psych drugs. Noise, light, densely packed spaces filled with people and stimuli... Every second of every day is a product to be sold and marketed.

Here's the issue.

Without those annoying adverts, the internet would only consist of e-commerce and TV wouldnt exist.
Score: 3 Votes (Like | Disagree)
sessamoid Avatar
126 months ago
At this rate, iAd will soon be like Ping.
iAd is actually generated over $100 million in revenue last year, and I would assume they're not losing money on that. It's almost certainly still a growing business for Apple, so I don't think it's in any danger of being killed.

Ping was obviously a dog from its introduction. Whomever was in charge of that needs/needed to be fired.
Score: 2 Votes (Like | Disagree)
dysamoria Avatar
126 months ago
Advertising: the death of all media.

I find it grotesque that entities like Facebook are referred to as publishers.

Facebook is a universe of its own. It provides advertising that Adblock cannot block: "sponsored" postings.

The real question is: how long until the next service comes along that people move to because it's not slow, bloated, broken, and filled with advertising? Then, once that new one gets a mass following, it too turns on the obscene marketing. Cycle repeats.

Look at theatres, radio and tv. Each were a haven for media types, only to eventually require new subscription services that claimed no advertising. Only to have the subscription system also polluted with advertising that we pay to see, with further exclusive variations to subscribe to that offer ad free experiences, which also succumb to "special sponsored" content that is just a euphemism for advertising.

And st the end of it all, we are bathing in unwanted overstimulation from every commercial entity, 24/7, in every space possible. It's no wonder "mental healthcare" has made massive profits on psych drugs. Noise, light, densely packed spaces filled with people and stimuli... Every second of every day is a product to be sold and marketed.
Score: 2 Votes (Like | Disagree)

Popular Stories

iphone 14 pro hands snowflakes 1

Best Black Friday iPhone Deals Still Available

Wednesday November 23, 2022 1:55 pm PST by
Cellular carriers have always offered big savings on the newest iPhone models during the holidays, and Black Friday 2022 is no different. Right now we're tracking notable offers on the iPhone 14 and iPhone 14 Pro devices from AT&T, Verizon, and T-Mobile. For even more savings, keep an eye on older models like the iPhone 13. Note: MacRumors is an affiliate partner with some of these vendors....
ipad holiday bulbs

Best Black Friday iPad Deals Still Available

Thursday November 24, 2022 12:25 pm PST by
Black Friday deals have been in full swing for the better part of a month, and now that the shopping holiday is officially here we're seeing even more solid discounts on Apple devices. We're highlighting the best sales for all of Apple's product lines, and in this article you'll find the best Black Friday sales on iPad, iPad Pro, iPad Air, and iPad mini. Note: MacRumors is an affiliate partner ...
General Black Friday Deals 2022 Green

All the Apple Black Friday Deals You Can Still Get

Friday November 25, 2022 4:40 am PST by
Although Black Friday is now technically over, many Apple products are still seeing major discounts. In this article, you'll find every Apple device with a notable Black Friday sale that's still available. We'll be updating as prices change and new deals arrive, so be sure to keep an eye out if you don't see the sale you're looking for yet. Note: MacRumors is an affiliate partner with some of...
apple watch gold ornaments

Best Black Friday Apple Watch Deals Still Available

Wednesday November 23, 2022 9:31 am PST by
We're tracking all of the best Apple product discounts for Black Friday this week, and the Apple Watch always makes a great gift around the holiday season, so you're guaranteed to find solid discounts right now. In this article, you'll discover the best Black Friday sales on Apple Watch Series 8, Apple Watch SE, and Apple Watch Ultra. Note: MacRumors is an affiliate partner with some of these...
mac imac snowflakes

Best Black Friday iMac and MacBook Deals Still Available

Thursday November 24, 2022 1:07 pm PST by
Our Black Friday coverage continues today with the best deals you can find on MacBook Pro, MacBook Air, and iMac. As with all Black Friday deals, we aren't sure how long any of these will last, and prices are always fluctuating, so if you see something you want, be sure to buy it soon. Note: MacRumors is an affiliate partner with some of these vendors. When you click a link and make a...
airpods pro 2

Apple Engineer Addresses Lack of Lossless Support on New AirPods Pro

Friday November 25, 2022 2:58 am PST by
An Apple engineer has addressed the lack of lossless audio support in the second-generation AirPods Pro in a new interview. Current Bluetooth technology in the AirPods lineup means that Apple's audio products do not support Apple Music Lossless audio. Apple has previously hinted that it may develop its own codec and connectivity standard that builds on AirPlay and supports higher quality...
maxresdefault

Nothing Phone 1 Displays AirPods Battery Level After Latest OS Update

Friday November 25, 2022 3:33 am PST by
Nothing Phone 1 users today began receiving the Nothing OS 1.1.7 update, which adds support for displaying the battery percentage of connected AirPods, amongst other improvements and bug fixes. If you own a Nothing Phone 1, you can check for the OTA update by going to Settings -> System -> System updates. Bear in mind that as support for displaying AirPods battery level is still an...
new airpods lineup black friday

Best Black Friday AirPods Deals Still Available

Tuesday November 22, 2022 10:01 am PST by
Although we've been tracking Black Friday deals for a few weeks now, the shopping holiday is officially kicking off this week and we're highlighting the best sales for each of Apple's product lines. In this article, you'll find the best Black Friday sales on AirPods 2, AirPods 3, AirPods Pro, AirPods Pro 2, and AirPods Max. Note: MacRumors is an affiliate partner with some of these vendors....
Manchester United flag

No, Apple Isn't Planning to Buy Manchester United

Thursday November 24, 2022 12:19 pm PST by
Apple is not currently planning to purchase Premier League club Manchester United, according to a source familiar with the matter. A report earlier today from British tabloid The Daily Star claimed that Apple had expressed an interest in buying Manchester United for around $7 billion, but our source with direct knowledge of the situation said the report is false. Manchester United has...