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First Stop: Fifth Avenue; Next Stop: Madison Avenue
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The news today that Apple is going to be charging seven figures for ad campaigns is eye opening, but what is even more interesting is how much focus Apple is putting into iAd. Not just technical focus, but also business focus. They are pitching Madison Avenue hard right now. This is not another “hobby”.
The implications of this are so huge my head is starting to hurt again. (SJ seems to mess with my head regularly these days) In the past decade, advertising has been just as disrupted by new technologies as everything else, and there is considerable confusion now as to how best spend the BILLIONS that corporations put into marketing budgets. Ultimately this is not just about mobile advertising, this is about all advertising. Particularly if you believe, like I do, that in the next decade most people will read their magazines and newspapers on an iPad, and watch their TV and movies on either an iPad or on a TV that somehow is connected to the Apple ecosystem.
Can Apple shine on Madison Avenue the way it has on Fifth Avenue? I say, don’t bet against SJ when he focuses.
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And charging a significant premium for the select few advertisers who are part of the iAd launch is also very smart. Those advertisers will get an unbelievable amount of attention as the world starts to examine iAd and how it works.
And these initial fees will create precedent for all future fees. Quite a few companies would pay almost anything to get in front of the targeted market that buys 90+% of higher end computers.
I wonder how much Deagol, et al, have built into their model for iAd revenues and profits?
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I wonder how much Deagol, et al, have built into their model for iAd revenues and profits?
Nothing, for now.
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danthemason
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I wonder if Apple really had this in mind, long term, or are they doing this just to crap in Goog’s mess kit?
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John Molloy
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I wonder if Apple really had this in mind, long term, or are they doing this just to crap in Goog’s mess kit?
They own the high end eyeballs, what do you think?
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danthemason
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I think that until Google started doing phones, Apple had no designs on ad revenue.I think Apple would have settled for a cut. But now they are taking the whole enchilada.
