Apple's iAd application seems a strange beast that doesn't quite align with Apple's business model. But evidence from one developer after its first day in action suggests that it brings the cash rolling in.
One developer took the unusual step of posting the raw data from Apple's new dedicated advertising system for iOS into a public forum. But when you see the statistics, you can see why they were so enthusiastic to share the data.
While $150 for a single day's served-up advert impressions is a cozy-sounding figure all by itself (it rocks up to a $4,500 per month total, or $54,000 a year income, which is definitely above single person salary levels), the truly impressive scale of the figure is revealed when you compare it to a typical Android app's ad revenues, which earn cash through Google:
iAd's "click-through" rate is something like five times higher, and its effective cost-per-thousand-impressions (ECPM) is around 300 times greater than offered by Android's system.
These ridiculously high figures should be tempered by two things: First, iAd is still a novel affair, and may be attracting more than the average number of click-throughs than it will when consumers are used to them; Second, not all apps using iAd will achieve this sort of success rate—and the returns will be highly dependent on the success of the app in the marketplace.
But at first impressions, it would seem that Steve Jobs' confidence in his new ad platform, and those rumors of its high access fees to advertising partners, would all seem well-placed.
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