The Ghostery community has grown to more than 40 million and has garnered support from transparency and privacy advocate Edward Snowden. However, roughly half of those people have opted into the GhostRank extension, which is how Ghostery makes its money. When you opt in, Ghostery anonymizes your Internet footprint and sells it to marketers. Of course, there has been some hesitation and mild pushback. Ghostery sells data to marketers — even if it is anonymous.
Consumers spent $83 billion online during the 2015 holiday season, 12.7% more than they spent in 2014, according to data from Adobe Digital Index (ADI).
Business model disruption by changing the party who pays for the data pipes:
“Content providers can sponsor specific consumer actions on a per-click basis, free of data charges for subscribers—including mobile video clips, audio streaming, and app downloads,” Verizon said today. Data used for advertisements can also be sponsored by the company delivering the ad.
Google is always testing one or two little things in search results, but this is a more significant change. We’re starting to see the option to install apps from inside Google search results without opening the Play Store. Not everyone is getting this yet, but enough are that it’s probably in the early stages of a wide rollout.
Specifically, it says it saw $140 million in net revenue (basically, revenue after ad payments have been distributed to publishers) in 2015, up 40 percent year-over-year. The company isn’t disclosing the size of its profits, but it does say that it’s profitable, and that its profits have tripled over the past two years.
What’s perhaps more interesting than these particular snapshots is the ability for non-gaming apps to rocket up the Top Grossing list in conjunction with specific events. For instance, both the Netflix and HBO Now apps jumped in the Top Grossing ranks (US, iPhone) just ahead of Black Friday, and Apple even rolled out a new app category ahead of the commercial “holiday”. Incredibly, the YouTube app jumped 32 places to the Top 4 Grossing position (US, iPhone) on Cyber Monday (November 30th).
Dilger’s theory is that as Apple owns the richest, most lucrative users, the company now wants to give them as much ad-free privacy as possible. “Poor neighborhoods are emblazoned with billboards and ads. Rich neighborhoods are not,” he writes. “Advertising is increasingly restricted in neighborhoods as land values climb. There’s a general revolt against invasive advertising the higher you climb in sophistication and wealth.”In this scenario, it is as if Apple is trying to teach the marketplace that ads are for the poor losers on Android, and people (with money) who want a superior, hassle-free experience should come to Apple.In this context, it is interesting that Apple probably provides 13.5% of Google’s entire revenue. And that Apple can cut much of that off if it tweaks iOS to block more ads or removes Google as the default from its software.
AppNexus – which, together with fellow ad exchange Adap.TV related to the majority of Adgorithms’ 2014 revenues – had started screening out unverifiable media inventory. AppNexus’ chief executive, who followed several other ad exchanges when he launched the clean-up in November 2014, later acknowledged that more than half of the impressions flowing through his platform were failing the test. This has had the dual effect of suppressing Adgorithms’ revenues
Apple going all in on a non-ad supported world.
“Americans May Love @ESPN, But Not As Much As They Love $8”