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Earlier this week, Steve Jobs estimated that Apple's iAd network would handle 48% of all mobile advertising in the second half of 2010. That number may seem high, but it looks like Jobs is pulling out all the stops to make sure that developers choose iAd.
Today the company unveiled new terms of service that would prohibit competitors like Google from delivering ads on its mobile products. This is an anti-competitive slippery slope that could get Apple into trouble pretty quickly.
AdMob may currently be the largest mobile ad network, but Apple is bullish that dominance won't last long. In the six months that Google's purchase of AdMob spent stalled by the Federal Trade Commission, Apple purchased Quattro Wireless, integrated the business and launched iAds. Today, Steve Jobs announced that iAds would take in 48% of the mobile ad spend in the second half of 2010.
That's wishful thinking if you ask AdMob's CEO Omar Hamoui. On stage with John Battelle at CMSummit, Hamoui took a moment to dispel some of the boasting that Apple has made about mobile.
Apple may be charging a premium for placements on its new mobile ad platform, but it looks like brands that use iAds will also have access to features that no other ad network can deliver.
According to an email sent to developers planning to advertise their apps within other iPhone and iPod apps, iAds is offering a few features that cannot be duplicated by any of their competitors. Will conversion tracking beworth the premium Apple is charging for ads?
Google's overwhelming dominance in search is proving to be a hindrance in other areas of its business. Like mobile, where the search giant's $750 million purchase of AdMob is rumored to get blocked by the Federal Trade Commission sometime this week.
Despite the fact that Google has not proven itself to dominate in any sector other than search, the company's reputation seems to precede its success in mobile. But blocking the Google-AdMob deal would be preemptive regulation at its worst. The mobile ad market is still anyone's game.
Apple's iPhone may be known as The Jesus Phone, but Google's diversified approach to selling smartphones appears to be paying off. According to AdMob's March Mobile Metrics Report, Google's Android operating system is quickly picking up market share in the smartphone market.
When it comes to marketing, 'location, location, location' has always been important. But thanks to the rapid growth and maturity of mobile technologies, 'location, location, location' is taking on new meaning.
Location-based advertising is potentially the holy grail of mobile marketing. And it appears that Apple, which occupies an important position in the mobile market with the iPhone, apparently wants to keep location-based advertising opportunities to itself.
Google's bread and butter is search advertising but it isn't neglecting display advertising. It made that clear when it purchased DoubleClick for $3.1bn in 2008.
Google may have its fingers in a lot of pots when it comes to digital advertising, but to date, it has not replicated its runaway success in search. While the company may be late to market with its online display advertising play, Google is not risking the same fate in mobile.
From the Android to mobile search, Google has been making plays there for months. And with today's acquisition of AdMob, the search giant will have more of its bases covered in that market.
Mothers of young children are a rapidly growing segment of the smartphone population, and considering how important the demographic is in household purchasing decisions, marketers should take note of how they're using their phones and the mobile space generally.
According to mobile ad network Greystripe, “iPhone moms” (female iPhone owners with young children) use mobile media more than other iPhone users. But from previous studies, we know that moms also don't take to iPhone ads. What's a marketer to do?
It may come as no surprise that more people download applications on the iPhone and iPod touch than on Google's Android phone, but on both services, people are making purchases based on services they've already tried for free.
Mobile ad network AdMob released its July survey results today. After surveying 1,117 mobile phone users, the company found that across platforms, free-to-paid upgrades are the most cited driver for mobile app purchases, helping to prove that the freemium model works. In mobile at least.
In the iPhone App Store, as in life, popularity begets more popularity. And while success in that space is a goal for many brands, getting people to download a mobile application is about more than simply creating a great interface.
In the case of Sherwin-Williams, the company had created a fun and entertaining application that was useful in the mobile environment and promoted the brand's products. After a $15,000 ad buy with AdMob, they moved up the ladder of popularity in the App Store, reaching the iPhone's coveted top 25 most popular applications list. And as AdMob promised, the app got even more popular after they stopped running ads.
Mobile advertising may still be a nascent market compared to online and traditional advertising, but its performance rates are often higher. For instance, mobile display ads have five to ten times higher click-through rates than banner ads online. Those numbers are impressive, but can they last?
At the IAB Marketplace: Mobile conference on Monday, the consensus was unsurprisingly yes. Mobile marketers and advertisers are pleased with how their medium has been performing in the downturn. And they were more concerned with the sucess of what is currently out there than the reach of mobile advertising as compared to online.
But will mobile advertising sucess rates continue when the novelty wears off?