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In addition to Search Ads, Apple may open more ad space

Apple updated its Management API earlier this month, adding “onlySources” and “adChannelType” fields to the API, which we guess is Apple’s first step to expand its advertising business. We guess this is the first step for Apple to expand its advertising business.

 

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Apple’s developer documentation shows that “adChannelType” is an attribute that refers to the ad channel to which an ad campaign belongs, and “supply sources” is used to indicate the location or source of this ad. or source. These two fields will return SEARCH and APPSTORE_SEARCH_RESULTS respectively, indicating that the ad is a search ad and the ad is located in the App Store search results.

Apple’s service business is currently divided into six main categories

Since there are search-attributed ads and ad channels for App Store search results, there are likely to be more ad formats and ad channels. According to Adweek Reported, Apple may add ad placements in Apple Maps, News and Stocks, or Safari.

And within the App Store, ad space may not be limited to search results. Currently, the App Store has only the top spot in the search results, and no other spots. Google Play, which is also a mainstream app store, has a lot of ad space inside, including ad space in single apps or features recommended on the home page, and ads for similar apps on the product detail page.

Comparison of Google Play (left) and App Store (right)

Apple’s attempts for advertising business have always existed. In 2010, Apple launched iAd, an advertising business that enables advertisers to display their ads in the global App Store, but since the revenue of iAd was not satisfactory, Apple announced the discontinuation of iAd advertising service in 2016, and Apple Search Ads (Apple Search Ads) was officially opened in the same year.

Apple’s repeated bids on the advertising business came as Apple’s hardware device sales growth slowed and Apple placed increasing emphasis on revenue from its services business. In Apple’s financial report for the fourth quarter of 2019, Apple’s services revenue reached an all-time high of $12.5 billion.

And Apple’s service business is currently divided into six main categories, namely App Store services, licensing, iTunes consumption, Apple Care protection services, iCloud cloud services and Apple Pay payment services.

Among the App Store services, search advertising is the main part of the advertising business, and the data performance has been stable. In AppsFlyer’s comprehensive ad platform performance report for the second half of 2019, Search Ads (Apple Search Ads) held the No. 6 spot on the overall power list for games and No. 3 for apps. 2020 New Year’s Day sales even reached a record $386 million, a 20 percent increase over last year. stable revenue from Search Ads has given Apple even more confidence and confidence in The steady revenue from Search Ads has given Apple confidence and ambition to expand its advertising business.

Apple has not yet responded to this speculation

The quality of Search Ads ads is high, but the volume has been low. Developers can find that there is a big gap between the volume of Search Ads and other traditional advertising channels (such as Facebook) during the launch process. For most apps, it is difficult to get a large number of users in Search Ads in a short period of time, so we all hope that Apple can develop more ad traffic.

Although Apple has not yet responded to this speculation, the expansion of Apple’s advertising business is an inevitable trend, and there will be more and more traffic entrances for developers to choose from in the future, so we should keep paying attention to it so that we can seize the traffic dividend at the first time. Seven Wheat Research Institute will continue to track Apple’s information and share it with you in a timely manner.

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