Home > Uncategorized > Million Dollar App Ads

Million Dollar App Ads

So it’s been a few weeks since Apple announced that they are going to offer advertising space within their applications for both the iPhone and iPad. News has surfaced since that these ads could cost advertisers as much as $1 million! And to be a part of the initial group to use this facility, prices may even exceed $10 million. One might think that with such lofty pricing Apple will allow agencies a certain amount of leeway with their designs and ideas, however Steve Jobs and Co are demanding strict control over what content is published.

From a consumer’s perspective one might argue that the ads themselves will distract from the unique app experience, but the ads are said to operate seamlessly within the apps, and should they be clicked on, one can revisit the app with limited interruption. Moreover, the biggest implication that Apple’s expensive rates will have, will be to lower the costs for customers. Due to the money that Apple and App designers will be receiving from advertisers, prices for the apps themselves will be fairly affordable.

Given the limited creative control and steep costs, it might seem fair to assume that advertisers will be discouraged from testing this new medium. However, general opinion from marketers has actually been positive; and provided their brands are showcased with the right message then this unique platform may prove to be a hit for all concerned parties.

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