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Apple working to revive struggling iAds platform


Apple “apparently has recognized that its mobile advertising platform, iAd, has struggled to gain traction with advertisers and is reportedly making concessions to drum up business,” according to “CNET.”

iAds — which debuted alongside iOS 4 in 2010 — “combine the emotion of TV advertising with the interactivity of Internet advertising,” according to Apple. The iAd platform — which is built into iOS 4and higher — allows users to stay within their app while engaging with the ad, even while watching a video, playing a game or using in-ad purchase to download an app or buy iTunes content.

Developers who join the iAd Network can incorporate a variety of advertising formats into their apps. Apple sells and serves the ads, and developers receive 60% of the iAd Network revenue, which is paid via iTunes Connect. iAds require iOS 4.x.

However, during the past year, iAd has fallen from a first place tie with Google’s Admob to third place behind Admob and Millennium Media’s ad network, leading Apple to offer advertisers more attractive terms, according to a “Wall Street Journal” report. Originally setting minimum ad buys at US$1 million, Apple is now asking advertisers to commit $400,000, the “Journal” says.

Apple is also reportedly capping per-click charges, notes “CNET.” To attract new advertisers, Apple is also establishing a marketing training program and offering campus tours to marketing executives, allowing them to make discounted purchases at the company store, the article adds.

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— Dennis Sellers

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