Apple Set to Disrupt Digital Ad Industry

Apple Set to Disrupt The Digital Ad Industry

Who knew privacy policies could be so exciting? Apple's new iOS 14 update changes the privacy policy for their mobile users which makes it more difficult for all digital ad industry titans like Amazon, Google and Facebook to use behavioral targeting. Commonly, we think about this in terms of retargeting via cookie tracking aka IDFA.

What's Apple doing?

Allowing their mobile users to opt-out of sharing their data with apps and websites that is normally used for behavioural retargeting. Hopefully that means I'll be getting less ads for peanut butter on every site I visit. Notifications like this will appear on phones “x would like permission to track you across apps and websites owned by other companies. Your data will be used to deliver personalized ads to you.” You will then be able to choose between “Allow Tracking” or “Ask App Not To Track.”

Why are they doing this?

1. To comply with the changing public sentiment and inline with government policies ie. GDPR, CASL etc.
2. Provide more transparency and control to consumers and
3. To take a piece of the digital advertising pie for themselves.

How are companies reacting?

• Facebook: Improve its in-app retail options and try to convince people to accept the tracking.
• Google: Create new performance-tracking tools not dependent on individual user data. They continue to pay Apple for “distribution” so that their products are default on Apple devices. This partnership holds the honour of being one of the biggest lawsuits in US history.
• Apple: Is launching their own ad platform https://searchads.apple.com/ca/
• Tencent / ByteDance (TikTok): Have developed a workaround called CAID.

What does this mean for you and what can you do?

1. You can still run effective campaigns and target segments.
2. For most advertisers, your conversion and reporting metrics on these ad platforms will beunder-reported
3. Invest in understanding the drivers of your customer’s purchase behaviours and develop more thoughtful creative to create memory links between your brand and these triggers. See our Share of Triggers video here.
4. Research alternative, and better ROI calculations such as an econometric methods like Media Mix Modelling
5. Improve your searchability. Make sure your SEO approach is working well: spend time to learn how people search for your products and services and build content for that on your site. Your content doesn’t have to be shortwatch our video here.
6. Get in touch with us at any point: mbinkley@anstice.ca

Referenceshttps://www.forbes.com/sites/kateoflahertyuk/2021/01/31/apples-stunning-ios-14-privacy-move-a-game-changer-for-all-iphone-usershttps://www.wsj.com/articles/apples-move-to-block-user-tracking-spawns-new-digital-ad-strategies-11616751001https://www.ft.com/content/520ccdae-202f-45f9-a516-5cbe08361c34https://business.facebook.com/business/help/126789292407737?id=1205376682832142https://www.youtube.com/watch?v=PbtEYQcjdIY