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BizReport : Advertising : August 16, 2010


Control-freaks Apple frustrate iAd advertisers

In stark contrast to the praise being lavished on Apple's mobile ad service, iAd, the Wall Street Journal has published a largely negative account of frustration and delays brought about, in part, by Apple's tight control over the creative process.

by Helen Leggatt

iad logo.pngTwo of Apple's first iAd advertisers, Nissan and Unilever, have been reporting significant success. However, it appears these two brands were among very few advertisers that managed to get campaigns up and running after the 1 July launch of iAd.

What's the hold-up? It seems Apple is up to its control-freak ways again. According to ad executives, Apple's tight control over the creation of mobile ads is hampering the completion and roll-out of campaigns, reports the Wall Street Journal.

As well as having to involve Apple significantly in the creative process, advertisers are also suffering delays during ad production. Apple, who handles the building of the mobile ads, has been taking longer than anticipated - up to two weeks in some cases.

"It's a huge issue having Apple in the creative mix," said Patrick Moorhead, director of mobile platforms at DraftFCB, an ad agency owned by Interpublic Group of Cos.

iAd, which is built into iOS 4, allows users to stay within an app while engaging with advertising. In addition, developers who join the iAd Network can easily incorporate a variety of ad formats into their apps. Apple will sell and serve the ads, and developers will receive 60% of the iAd Network revenue, paid via iTunes Connect.

Tags: advertisers, Apple, creative process, iAd, mobile advertising










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