Apple Struggling with iADs, Minimum Buy-In Reduced
[dropcap]T[/dropcap]he reinvention of basic products like the Notebook computer , personal media player and a common man’s phone has been an easy task for Cupertino based Apple Computer inc. But looks like mobile advertising is yet to become their forte.
When iAds started Apple CEO Steve Jobs announced that the minimum Buy-In for Advertisers was 1 Million US $. But, earlier this year Apple had dropped its minimum buy in to half of the original resting it at US $ 500,000 . Now according to a report filed by Bloomberg, because agencies are taking business elsewhere from Apple due to lower costs from competition like Millennial Media, Greystripe, and Google’s AdMob, Apple is further reducing its iAd Buy-In to just US $ 300,000.
GroupM ( the ad booking unit) committed to over $1 Million in spending, will now allow its clients to buy packages of US $ 300,000. The actual price of 1 cent / impression and $1 / tap remains unchanged.
Mobile App developers are only filling up 15-20 % of their portfolios using Apple iAds, and looks like the company is facing a hard time getting the right type of clients.