Apple Cuts iAd Minimum Buy-In Fee

. February 15, 2012 . 0 Comments

Apple has cut its minimum iAd buy-in fee to $100,000, reports Advertising Age.

The new lower price, one-tenth the $1 million originally required when iAd launched in July of 2010, dropped to $500k and then $300k per package.

“Advertisers will now have to spend just $100,000 for Apple mobile campaigns running in iPhone and iPad apps, down from a previous $500,000 threshold and a significant reduction from the initial starting price of $1 million in 2010, when Steve Jobs unveiled Apple’s first ad product.

In addition, app developers will receive 70% of ad revenues from iAds running on their apps, vs. their previous 60% cut. The extra money will compensate for lower ad rates and serve as added incentive for developers to build businesses on Apple devices, even though they may grab a bigger audience or more ad revenue creating apps for Google’s Android devices, which now outnumber Apple smartphones in the U.S.”

Category: News

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