IOS 14.5 will be available from the end of April this year, and ATT (App Tracking Transparency), a mechanism that "when an app tracks a user across different webs or apps, the user's explicit permission must be obtained". Has been introduced. Two weeks after its release, some online advertisers have begun to reduce their spending on iOS and increase their spending on Android, according to a study.
According to a report from the Post-IDFA Alliance (ATT is a policy change that restricts the acquisition of IFDA (Advertising Identifier) for each user and is an industry group of mobile advertising companies to respond to it), from April 26th to 5th. According to data up to May 9, only 36.5% of iOS 14.5 users allowed ad tracking. As a result, CPM (cost per mille per 1000 ads) is said to have dropped in the range of 2.4% to 8.73%.
Alliance participants report that although there are variations in the rate of decline in advertising costs on iOS (some companies say it has increased), spending on Android has increased after iOS 14.5 was released. For example, Liftoff is up 8.29%, Vungle is up 21%, and so on. Summing up both iOS and Android, it's possible that marketers are spending more on acquiring users overall.
According to the Post-IDFA Alliance, the installation rate of iOS 14.5 is only 12.9% on average (the number varies depending on the survey range of each participating company) two weeks after distribution. "We are confident that iOS 14.5 will be deployed rapidly in the coming weeks, and we will be able to share more data about consumer trends and opt-in rates." It is.
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However, alliance participants seem optimistic about the future. We also expect CPM to rise again as more users update to iOS 14.5 and marketers become more confident in advertising without IDFA.
In other words, even if you can't put out targeted ads, it seems that you can compensate for the negative effects of ATT by simply increasing the amount of ads placed. That said, Facebook, which was a pioneer against ATT, could still be hit hard because it used IDFA-based ad tracking tools as a major source of revenue.
Source: Post-IDFA Alliance
via: 9to5Mac
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