How does this impact advertisers?
A major change in mobile advertising is coming this spring: Apple’s privacy control will soon require mobile app developers to ask permission from users before tracking them. Although a specific date is yet to be set, the outline that was provided gives some insight on when it may arrive (late March or sometime in April). It is more than likely this will lead to a multitude of people who will choose to maintain their privacy.
After learning of this new update, Facebook along with other platforms and digital marketers are becoming increasingly worried. As a result of these privacy changes, Facebook has shortened its default attribution window in an attempt to mitigate any of the effects that may be caused by the IFDA changes.
Why do advertisers need to be aware of this?
Apple’s data tracking, known as Identifiers for Advertisers (IDFA), is a mobile identifier or unique number advertisers use to identify Apple device users across multiple apps. Similar to a third-party cookie, these identifiers allow advertising platforms to understand how mobile users behave, which results in more accurate mobile device ad targeting. When this is pushed out, there will be a notification option for users to opt-out of sharing this information with advertisers and vendors. If more users decide to opt-out of, there is less opportunity for companies to capture new customers when trying to reach their target consumer with digital ads on mobile apps, impacting revenue and sales.
What to expect?
Since we have yet to see what response the public will have regarding the tracking system, it is unknown how many people will choose to opt-out of sharing their data. Let’s say opt-in rates are 80%, as it has been predicted, which leaves 20% of those who decided to opt-out and are now unrecognizable. This response has the potential to impact digital advertising operations including frequency capping, campaign performance measurement, targeted ads, and the attribution of application installations.
Location data on Apple will not go away, even if it does decrease. User activity on mobile devices will continue to grow and apps will continue to flood the market (around 1,000 new apps every day). With the proper mechanisms in place, brands should feel confident that they will continue to reach a balanced representation of mobile users.
If you are searching for digital marketing services and an advertising agency that provides digital solutions, Frontline Digital is one you can trust. Our team at Frontline Digital works alongside you to improve your brand’s awareness and deliver traffic to heighten your sales revenue. Whether you require display advertising, video advertising, or paid search, our team will work with you to help you achieve your advertising goals.