Early iAds may be bringing in high return
updated 04:00 pm EDT, Thu July 8, 2010
Longevity in question
Early iAds may be generating substantial income, at least for some developers, one case suggests. The creator of LED Light for iPhone 4 claims to have generated $1,372.20 in revenue on the first day, based off 26,651 requests and 9,300 impressions. This gave the app an eCPM (effective cost per thousand impressions) value of $147.55, about 50 to 100 times greater than for some other mobile ads. An 11.8 percent clickthrough rate is also said to be unusually high.
The iAd system went live on July 1st, and is in part designed to increase developer retention by making ads more lucrative. eCPM ratings are expected to decline to more normal levels over time, however, as there is currently extra curiosity about Apple's technology. Unlike most iPhone ads, iAds can open within an app, and serve many app-like functions.
Fresh-Faced Recruit
Joined: Aug 2001
Well
It probably helped that the users were, for some reason, 'curious' about the grand world of 'iAds' and how it will change advertising into the future.
But once they've seen one or two space-age awesome ads, they'll realize it's, well, advertising, and go back to ignoring them like we do everywhere else.