![]() Snap also reported a net loss of $359.6 million. The company's revenue grew 38% to $1.06 billion, which fell short of the $1.07 billion analysts had estimated. The Snapchat owner said earlier this month that its first quarter had been " more challenging than we had expected," reflecting the ongoing impact of the Apple changes and also the inflationary environment for advertisers. Lotame estimates Snap will take a 9.6% hit to its 2022 revenue, equivalent to about $546 million. Snap, whose business is almost exclusively focused on mobile, is estimated to feel a similar pinch to its revenue this year - though much smaller in dollar terms. The company, like other tech platforms, has been working to introduce new privacy focused measurement and optimization tools to mitigate the effects of the Apple update – though any new tools take a while for advertisers to get up to speed with. Meta warned last year that Apple's privacy change would create a headwind "on the order of $10 billion" in 2022. Meta is due to report earnings on April 27, Lotame estimates that the change will cause a $12.8 billion hit to Meta's 2022 revenue, or 9.7%. New analysis from data management company Lotame, shared exclusively with Insider, estimates that Facebook owner Meta will continue to feel the biggest brunt of Apple's privacy changes in 2022. The change forced many advertisers to reassess their marketing and shift spend into channels that are less reliant on Apple's tracking identifier, such as offline advertising or Apple's own search ad products. With a vast number of users blocking such tracking, advertisers and tech platforms lost a valuable signal that helps them accurately target and measure their ads. Introduced on April 26 in 2021, the App Tracking Transparency update forced app developers to ask permission before tracking users across other apps and websites using Apples Identifier for Advertisers. The fallout from Apple's major privacy update is expected to continue well past the first year of its rollout, with a new analysis estimating the change could dent Meta, YouTube, Snap, and Twitter's revenues by almost $16 billion in total this year. ![]() ![]() Facebook owner Meta is predicted to take the biggest hit, at around $12.8 billion in revenue.Lotame predicts the update will dent Meta, YouTube, Snap, and Twitter's revenues by almost $16 billion in 2022.Apple's App Tracking Transparency update is still wreaking havoc with tech platforms one year on."Given that Apple continues to take billions of dollars a year from Google Search, the incentive clearly is for this policy discrepancy to continue," Wehner said.Account icon An icon in the shape of a person's head and shoulders. He referenced how much money Google makes for Apple as the default search engine on the Safari browser. Wehner suggested that Apple's changes aren't having the same impact on search as they are on other types of apps. She also said that measuring whether those conversions occur is becoming more difficult.Ī day before Facebook's results, Alphabet blew past estimates with its fourth-quarter numbers, and cited strength in e-commerce ads, an area where Facebook saw weakness. Sandberg said the changes are diminishing the accuracy of Facebook's ads, driving up prices based on an outcome like a sale or download. It's a theme Facebook has hit repeatedly in its attacks on Apple. Sheryl Sandberg, Facebook's operating chief, said on Wednesday that ATT would hurt small businesses that rely on digital advertising to grow and are much more dependent than larger companies on personalized ads. The next day, Apple CEO Tim Cook used Facebook's app in a tweet as an example of how the feature works. In December 2020, Facebook ran a marketing campaign including full-page ads in major newspapers blasting the feature and saying that the change was about "profit, not privacy." Online advertising companies have voiced their displeasure with the feature since it was first announced in June 2020, but Facebook has been the loudest in its criticism. IPhone apps with targeted advertising can instead use SKAdNetwork, an Apple tool built as an alternative, which Apple says is more private. The privacy feature disrupts the behind-the-scenes mechanics of many mobile ads, especially those that confirm whether a purchase or download was made. If the user says no, the app developer can no longer access the IDFA, a device ID that's used to target and measure the effectiveness of online ads.Ī study from ad measurement firm AppsFlyer in October suggested that 62% of iPhone users were choosing to opt-out of sharing their IDFA. Personal Loans for 670 Credit Score or LowerĪTT consists of popups that ask users whether they want to be tracked when opening up an app. Personal Loans for 580 Credit Score or Lower Best Debt Consolidation Loans for Bad Credit
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