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Apple’s Search Ads Expected To Become $2 Billion Revenue Stream
Rebecca Appleton • 23 October 2018
Apple could well be making an expected $2 billion in advertising revenue from its App Store alone within the next 24 months if industry predictions are proven accurate.
According to figures obtained by Apple Insider and taken from information seen by a Bernstein Research Analyst, the firm is on course to make $2 billion from its ad units by 2020. Around $500 million of that is expected to have been generated by the end of the current year.
The Search Ads are an App Store advert – they are displayed on the App Store to help app developers drive app discovery and app install. As a mobile app developer, you can create a Search Ads campaign, select keywords relevant to your app and its category, set a daily budget you are happy with and the turn on your ads. Working similarly to Google Ads, your adverts will then show to App Store users, helping your creation to be placed in front of more potential users.
Apple Search Ads for the App Store first rolled out in the US just two years ago. Although Apple hasn’t officially commented on its income stream or the $2 billion projections, it is apparent that more and more developers are including App Store paid search promotions within their app marketing strategies.
The revenue forecast was deemed to be a ‘conservative estimate’ even though it foresees Apple quadrupling its ad unit income between now and 2020.
How do Apple Search Ads work?
·Search Ads, once set up as a campaign, display in the App Store
·The Ad units pull in images and content from information uploaded by the App’s developer
·When setting up your campaign, you can create separate ads by device – so you can build one campaign to encourage iPad users to download your new app, and one for iPhone users
·You select keywords to trigger your advert. Apple also provides automated suggestions with indicators of keyword popularity as well as options for setting negative keywords
·You set up targeting to ensure your ads reach the desired audience for your app. Options include targeting your ads by age, gender, customer type and the user’s physical location
·If you are new to paid search, you can take a step back and use the more basic Apple Search Ads tool. This has less functionality and doesn’t allow you to set keywords or require you to bid on keywords.
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