iOS CPM loss is expected to cost anywhere between $4 billion and $6 billion industrywide.
Apple’s introduction of its App Tracking Transparency framework has led to iOS CPMs dropping over the last two quarters. Similarly, the global demand mix has moved towards Android. With the iOS 14.5 update prohibiting the use of tracking and the access to IDFA without using an opt-in mechanism designed by Apple, publishers are spending more on Android.
The Apple-Android ad spend gap today stands at 37% and 63%, respectively. But, moving forward, publishers will have to focus on more sustainable responses to the Apple update. Publishers can prioritise two solutions – first-party data and on-device computing.
As a result, companies like PubMatic and Prebid Publishers Clearing House are mapping first-party data to IAB contextual parameters. Moving ahead, publishers should consider working with partners that have already been innovating and scaling in advance of the updates of tech giants like Apple.
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[5 minute read]