Apple has just launched a new OS X application intended for advertisers looking to run ads on Apple’s iAd network. The software package, called iAd Producer, gives you an iLife-style tool to visually design interactive HTML5 ads.
The iAd Producer displays a chart giving an overview of the ad bundle, allowing you to double-click the different elements and make changes to them. You can drop in graphics and videos, choose from the common page types used in ads (such as photo and video galleries, wallpaper pickers, coverflow views, etc.) and then preview the final ad in the iPhone simulator. The application also allows you to build iAds for the iPad.
It’s a great idea, I think. It may mean more advertisers will join the iAd network, since they will have to invest less resources into their ad in order to get started. A lot of big-name brands probably don’t have serious web developers on their marketing teams.
Yes, that means BuySellAds is coming to the iPhone and iPad. Think about that for a minute.
There are now three major ad networks available for app developers to use in their products. Apple’s own iAd, with it’s fun and user-friendly interactive mini applications; Google’s AdMob banners; and now BuySellAds. The big difference between BuySellAds and the other two is that you get final approval before an ad is displayed in your application. Also, the advertisers pay a fixed amount to run their banner for a specific stretch of time, while Apple’s and Google’s offerings cycle different banners in using an automated targeting algorithm.
Choice is good, and some developers will definitely benefit from having BuySellAds as an option.
“We feel pretty strongly that this is the way to capitalize on where the mobile Web is heading,” said Chad Jacoby, a senior manager of Nissan’s media operations. “What iAd promises is the most progressive thing I’ve seen to date” in digital advertising.
Advertisers and developers alike are very happy with Apple’s iAd platform. Developers like that they get paid a lot more than they would through other networks and advertisers like that users are much more likely to interact with the advertisements. Applications running iAds are seeing CPM rates as high as $25.
Dictionary.com said on Wednesday that the amount it could charge for its ad space had increased 177% since it enabled iAds in its iPhone app, and CBS Mobile Senior Vice President Rob Gelick said the company’s six apps — including apps for CBS Sports, CNET, and GameSpot, were seeing up to $25 CPMs (the cost advertisers pay for an add to appear a thousand times.)
On the other end of the scale, advertisers are reporting a much greater user engagement. Users spend more time with the iAds than with ordinary banners, and they are much more likely to “click” them. It can be expected that people would spend more time with the ads, seeing as the whole point of the platform is to provide information and entertainment without leaving the confines of the app. Ordinary display ads whisk the user away as soon as they click.
Nissan, which created a multilayer interactive ad for its electric LEAF car, said customers spent an average of 90 seconds with the ad — 10 times longer than interaction times for comparable online ads. Moreover, people chose to “tap” on the Leaf iAd five times more frequently than they clicked on regular online display ads for the Leaf.
If you haven’t seen an iAd yet, be sure to see this YouTube video of the Nissan ad. It shows-off the benefits of the platform (from the perspective of end users) pretty well.
I have high hopes for the iAd network, both as a blogger interested in seeing the advertising industry shaken-up and as someone getting started with iPhone application development.
