Posts tagged mobile advertising

What Apple’s purchase of Quattro really means

Search giants are scrambling to protect revenues and tap into new areas of advertising

Apple has confirmed it has acquired the agency Quattro Wireless. Is it odd that a primarily tech company has acquired an ad agency?

My answer is no. Apple has gone to great lengths to establish itself as not just a tech giant but also a media company over the past few years – iSlate anyone?

It’s acquisition of Quattro (which was a reported $US300m)spells the next phase in its advertising strategy and ambitions to bolster its advertising capabilities across its iPhone platform and therefore implement a new revenue stream.  

However, Apple is probably less interested in profiting from ads than in making the iPhone the most attractive device for developers to build applications. It should also attract new brand advertisers that have previously been cautious of mobile marketing.  

Quattro has an ad serving, tracking and analytics platform to help advertisers engage with mobile consumers. Its Q Elevation platform can be used to target ad campaigns based on consumer demographics, location, time of day and other factors.

Mobile advertising is considered a hot market because of the potential to reach consumers on devices that they carry with them everywhere and personalise.

The market for mobile advertising is still relatively untapped, with effective approaches just beginning to emerge as spend on the medium expected to grow to £1 billion by 2013, as smartphones become increasingly popular.

 Apple could be using the advertising platform to generate more revenue from the iPhone, and potentially from the tablet computer it is rumored to be developing and launching later this month.

Also, keep in mind that this isn’t Apple’s first attempt to get in the ad game. The tech giant also reputedly wanted to purchase mobile ad company AdMob, only to have it snatched out from under its nose by Google.

Google bought AdMob in November for $U750 million. However, the deal is currently being investigated by US antitrust regulators, and two consumer groups have called on the government to block it.

Here’s an interesting pattern: Apple launches iPhone. Google buys AdMob. Apple buys Quattro. Google launches Nexus One.

The two are heavily pitted against each other. We’re excited to see what will happen next.


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Google eyes growth in mobile ecosystem with AdMob

Google has signed an agreement to acquire AdMob for £448 million, a mobile display advertising company based in the US, to help bolster its mobile advertising platform.

In a blog post yesterday (9/11), Google said that AdMob “couldn’t find good ways to generate traffic for its mobile site” hence the partnership which will see the pair work together on the future of mobile advertising.

The company said it believes that great mobile advertising products “can encourage even more growth in the mobile ecosystem”, which is the business thinking behind the AdMob deal.

AdMob was founded in 2006 and runs its Mobile Advertising Network across thousands of Websites, serving up ads from brands such as Ford and Coca-Cola. It also collects and publishes data on mobile trends gleaned from the traffic it manages.

For publishers of mobile websites and applications, the partnership means better products and tools and more effective monetization of their content — allowing them to focus more on their users and less on how to generate revenue.

For advertisers who want to reach users when they are engaged with mobile content, the AdMob partnership will bring better, more relevant ads and greater reach. It will also mean more interesting, engaging ad formats, according to Google.

Users will also benefit through more mobile content and through better mobile ads that deliver useful information.

The search engine giant reiterated that it has in the past said that mobile phones were “becoming an increasingly indispensable part of our daily lives”.

Google made its intention in the mobile space known back in 2005 when it acquired Android, a mobile operating system.

Despite the tremendous growth in mobile usage and the substantial investment by many businesses in the space, the mobile web is still in its early stages, according to the Google blog.

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