Video from SlashGear
Since unveiling its play into mobile advertising on April 8 with its iAd platform, questions have circled around how Apple will implement advertising on certain applications and how much ads or campaigns will cost for brands and media buyers. However, MocoNews.net is reporting today that “CPMs (on the iAd platform) could wind up being triple what marketers are used to paying for banners, and double the price of a current video ad on mobile devices.
The cost and appeal of reaching consumers through the iPhone, iPad and thousands of apps on Apple’s App Store could finally drive mobile marketing into a “big” business. Analysts have already been bullish on mobile coupons driving the fledgling mobile ad market this year. In fact, a new study from Borrell Associates sees mobile marketing growing into a $57 billion market by 2014. Coupons and the iAd platform alone, could make for a watershed year in 2010.
According to the Wall Street Journal, Apple will “charge close to $1 million for ads on its mobile devices this year and perhaps even more to be among the first brands featured (on the platform).” While some would think this limit would deter most advertisers, big name brands like Nike (who Apple is using in demoing with other media buyers) seem excited about the opportunity to reach consumers within application engagement on Apple’s line of mobile devices (video above).