Ad networks getting into their mobile groove
Mobile ad network Quattro Wireless has been tracking tremendous growth in the iPhone application market as well. "We're seeing more and more explore how to reach the consumer through an application," says Quattro's Rosenblatt.
"A couple months ago, I have to admit, I misread the trend," he adds. "I didn't think it would explode as quickly as it did. I think Apple made it incredibly easy for the developer, and you had this sort of viral explosion of app developers."
Advertisers came on board once they realized the iPhone was attracting a large number of users, and they rightly saw a new opportunity to connect with consumers, Rosenblatt says.
"We have no shortage of demand from publishers, so I wouldn't say there's a limiting factor," says Lars Albright, Quattro's vice president of business development. "We're seeing growth across the board. It's been pretty amazing to see the explosion of app inventory." It's not the company's largest area of business yet, but it's been the fastest growing over the last three months, he adds.
"The demand (for ad inventory) is increasing," Rosenblatt says. "The demand for premium apps is tight, there's no question. That's where we're seeing even more interest from the ad industry."
He says a half million downloads seems to be the threshold an application must overcome before it starts generating any significant steam with advertisers. The best performing categories for Quattro and its clients have been in financial services, entertainment, games, information, and travel.
Albright said advertisers are looking for opportunities within three areas when it comes to iPhone apps: branded applications from a major media company, leaders within any application category, and applications that deliver a mix of scale and performance.
"Performance will, at the end of the day, be extremely important," he says.
Rosenblatt adds: "Brands are saying, 'If we don't figure this out, we're missing 10,000-plus people that are engaged in this app.' Creative minds like to do things that are creative, and this gives them all more room to do that."
Matt Kapko is deputy editor for iMedia Connection.
