Mobile cannibalization is a good problem to have

Below is a snippet from Mark Cuban on Facebook. It’s a big ass problem, but it’s a good problem because it means you’re still relevant in the upcoming generation.  The issue is that nobody has really figured out how to monetize mobile at the same rate or higher than desktop.  If you’re not struggling with this problem, then there is something wrong.

 Mobile is going to crush Facebook…

However the same is absolutely true for every ad driven internet site. They face limitations in what they can offer on mobile vs what they can offer through a PC brower. Look at the Google search results on mobile. No where near the number of results. Thats fewer click and CPM opportunities and ZERO display ad opportunities. Of course Google has Android, but that still isn’t generating much , if any revenue for them and it isnt currently designed to.

via The Facebook IPO Was A Killer, But Not For The Reasons You Think – Business Insider.

Contrary to Mark using them as an example, Google search may be having some success with this and there could be a few others, but not many.

Apps not using UDID data willl see 24% less ad revenue, study says

A study conducted by mobile ad server MoPub claims that by rejecting apps which use UDID data, Apple is effectively cutting off around 24 percent of developer ad revenue.

via AppleInsider.

What Does A Post-UDID World Look Like For iPhone And iPad Developers? | TechCrunch

A good overview of the state of UDID by Kim-Mai Cutler:

What Does A Post-UDID World Look Like For iPhone And iPad Developers? | TechCrunch.

“while 15% of Fab’s purchasers currently use our iPad app, those 15% are forecasted to generate 25% of our revenue over the next 2 years. ”

Possible explanations provided in the article:

Here are some possible explanations:

• The Fab iPad shopping experience is just more conducive to purchasing. The Fab iPad experience focuses in on browsing one product at a time while the Fab web experience allows the user to more easily browse across multiple sales and products.
• The tactile touch experience of the iPad more closely resembles being able to physically “touch” a product like physical-world shopping vs. the web which can feel more distant when browsing with a mouse or track-pad.
• iPad users are just more likely to be design lovers.
• iPad users have more disposable income.

 

via Fab & Custora Calculate The Lifetime Value of an iPad (customer) | betashop.

Analytics firm Flurry creates new data-driven app ad platform: AppSpot

This evokes the move TubeMogul made into advertising:

Flurry is a company that is most known for its huge analytics platform that’s integrated in more than 160K apps across iOS, Android, Windows Phone and the web. Now, it’s using that data to launch a new ad platform it’s calling AppSpot.

Flurry describes AppSpot as a ‘data-powered’ advertising platform. Basically, its planning on using the data that it gathers across 500M devices running its analytics platform and using it to supercharge the ad targeting of its new ad platform. This is an incredibly smart move, one that other companies are going into as well.

via Analytics firm Flurry takes on Testflight with new data-driven app ad platform AppSpot – The Next Web.

Top of the app store charts are “essentially ads, and the only way to get any visibility is to force your way in”

Nice interview with an app store ranking manipulator.  Here’s the guts of the story:

there are a bunch of companies out there that will guarantee you a top 25 position for a set price, such as Appmagenta and GTekna.

How can those vendors guarantee a position in the charts?

They use bots. They say they don’t, but they do. There’s no mathematical way they can generate the volume of traffic they do for the amounts that we’ve paid them and switch it on and off so quickly. They’ll even go as far as to buy display ads on a few iPhone sites for show and then say they can’t disclose the rest of their activity.

On what basis are these campaigns sold?

They usually sell a guaranteed top 25 ranking for a set amount. If they don’t deliver, they say they’ll give you your money back. Appmagenta charges around $4,000 a buy, GTekna around $8,000. During the holiday period, I’ve heard they charged as much as $17,000. Even at that price it’s still a good deal, which is why these companies are so popular. With a network like AdMob, you’d probably have to spend around $50,000 to get onto the charts, and even then you might not make it. Because of that these companies are usually booked out six months ahead of time.

via Confessions of an App Store Manipulator | Digiday.

So the new head of Motorola will be an ad sales exec?

This headline caught my eye.  So the new head of Motorola will be an ad sales exec?  Hmm.

Google to Name Ad Sales Vet Head of Motorola – Tech Trader Daily – Barrons.com.

Over half the traffic to The Weather Channel’s digital properties now comes from non-desktop devices

This is a monetization problem in the short term but an overall good problem to have in the long run because it means your property is going to make it to the next technology life cycle, which is mobile oriented.  If your site not having this problem, it means there’s a risk it will become obsolete soon.

Over half the traffic to The Weather Channel’s digital properties now comes from non-desktop devices, making it by definition a “mobile-first” digital publisher.

…

“We believe that mobile is so important to the future of our business that we’re investing heavily there,” said the company’s vp of mobile sales and strategy, Patrick McCormack. “We’re firmly committed to mobile as a platform, and as the future of the company. We’re never going to look back.”

via The Weather Channel Bridges the Mobile Gap | Digiday.

Flurry: Mobile advertising by eCPM, gender and age crosstab

Mobile advertising by eCPM, gender and age crosstab

 

via Upper Middle Class, Females Key to Bridging Mobile Ad Spending Gap.

Google lowers mobile minimum bids and targeting fees on AdMob

Google removed the 10 cent minimum bid and targeting fees for “cost per click” ads on its AdMob platform. After acquiring AdMob in 2010, the move brings its auction-pricing system into line with AdWords on the desktop.

via Google and Apple lower ad costs – FT.com.