The $1 Million CPM: Will Apple’s iAd Change the Mobile Market Forever? Noah Elkin Senior Analyst eMarketer iAds An agency perspective Brett Barash Vice President, Account Director BBDO
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2010 was a watershed year for mobile Nov Jan. 4, 2010 Jan. 5, 2010 Jan. 27, 2010 April 2010
Mobile ad spending is going UP!
What a difference a year makes Source: eMarketer, 9/2010
Focus of mobile advertising is shifting Source: eMarketer, 9/2010
Apple has played the role of catalyst for mobile advertising The “iAd effect” has produced the following key results: – Benefited the entire mobile ad space by generating awareness and excitement about mobile advertising, particularly interactive rich media – Reinforced the effectiveness of mobile as a branding medium
iAd is also having an impact on spending Source: IDC, 9/2010
Success comes despite setbacks
Richer ads units are driving spending growth CAGR, (in %) Video74% Total Display60% Search59% Banners and Rich Media 58% Messaging21% TOTAL44%
The iPhone audience: exclusivity vs. reach Small audience: ~16.5 million US iPhone users – Represents approx. 30% of US smartphone population (Nielsen, Aug. 2010) Active audience: iPhone users generate % of all monthly smartphone ad impressions on networks such as Millennial Media and AdMob Wild card: Verizon iPhone
Has iAd changed the mobile market forever? Yes.
Thank you Noah Elkin Senior Analyst Blog:emarketer.com/blog/index.php/author/nelkin Phone:(212)
iAds An agency perspective Brett Barash Vice President, Account Director BBDO
Existing Live iAds
Why AT&T? First to market Innovative, Rich Mobile Experiences Partnership (AT&T and Apple) Targeting Capabilities Competitive Exclusivity
Challenges Reach – Limited to iPhone and iPod Touch Creative control Reporting and Benchmarks Message Strategy
Add A Line / Smartphone Data
Introduction of U-verse TV
Thank you Brett Barash Vice President, Account Director BBDO