“Advertisers and mobile app developers have responded well to Apple’s new iAd platform, a mobile advertising network that developers can use to incorporate advertising into their apps,” Trefis writes for TheStreet.com.
“We expect Apple’s ad revenues per impression to decline in coming years due to the explosive growth of new apps on the Apple platform, which has increased Apple’s available ad inventory and driven down rates,” Trefis writes. “However, iAd could slow this decline if it encourages consumers to spend more time viewing mobile ads. In this scenario we see a potential 5% upside to our $361 stock price estimate for Apple.”
Trefis writes, “Early reviews from Apple’s advertising clients have been favorable, according to a recent article in the Los Angeles Times . For example, Nissan said that its customers spent an average of 90 seconds with each ad served on iAd. That’s ten times times longer than the interaction times that Nissan found for comparable online ads.”
“That translates into higher advertising revenue for both Apple and app developers. For example, CBS has released iPhone apps for CBS Sports, CNET and other news services. The company told the L.A. Times that advertisers have been paying CPM rates (cost per thousand impressions, a common online advertising metric) of up to $25 for ads served on its apps via iAd,” Trefis writes. “That’s significantly higher than average iPhone CPM rates.”
Read more in the full article here.
Oh this canʻt be true. Carol Bartz, CEO of Yahoo says that Appleʻs controlling of iAds will drive advertisers away and it will fall apart. And if the CEO of Yahoo says it, it must be true!
I think we’re going to see $300 very shortly, folks.
Buy a iDevice, get iAd-ed, tracked, profiled and pay for the privilege?
It’s the Apple way!!
did the mdn take guy die? or is he just on vacation.
(i’m hoping for the second one)
… No kidding Jackheads!
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New iAd revenue = higher profits viola AAPL goes Up
BUY AAPL before it goes to $301
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2011 = $401 period!
Zero debts and $46 Billion in CASH!!
New Products and Record Profits
None the less, CNET will continue it’s relentless Apple bashing. What’s the deal with these Apple haters? Spend a little time on the CBS Radio app and every other advertisement is a CNET commentary on the evils of Apple. Really annoying.
In other news, if you stand outside in the rain, you may get wet.