Apple Pay to Bolster iAd Network
Apple announced on the 16th October 2014 that its US customers would be able to start making payments with the ‘touch of a finger on October 20’, when Apple Pay becomes available to the end user. According to the company website, Apple Pay offers an easy, secure, and private way to pay using Touch ID on iPhone 6 and iPhone 6 Plus in stores and within apps. Users of the just-announced iPad Air 2 and iPad mini 3 will be able to use Touch ID on their devices for Apple Pay within apps. The new service will be enabled by a free software update to iOS 8.
“The reaction to Apple Pay has been amazing,” said Eddy Cue, Apple’s senior vice president of Internet Software and Services. “We continue to add more Apple Pay-ready banks, credit card companies, and merchants, and think our users will love paying with Apple Pay.”
The release on October 20 has already sparked its first round of rumours with DigiDay reporting that the company has plans to integrate the Apple Pay service with its iAd solution.
“A new feature would integrate Apple Pay with Apple’s iAd mobile ad network in the form of a tap-to-buy button embedded in mobile ads, according to those familiar with the developments,” reports John McDermott of Digiday. “The new feature is expected to be in market by the end of the year, just in time for the holiday retail rush.”
Of course Apple are not the only online behemoth to bolster their mobile ad network. According to Dave Smith at The Business Insider, Facebook are reportedly rolling out Atlas, the ad network they bought from Microsoft, later this year. Twitter announced specialised developer kits for their MoPub platform at twitterflight, their first ever mobile developer conference, this week in San Francisco. And Google has had a strong mobile ad presence for quite a while.
So will the revamp of iAd and the addition of Apple Pay to its arsenal really bear fruit?
Programmatic digital display advertising expenditure is expected to surge from US$4.9 billion to $33.3 billion from 2011 to 2017, according to MAGNA GLOBAL’s Media Economy Report.
On average, iOS users spend
87% of their time on connected
devices using apps – Apple
comScore reported in August that the Apple iPhone makes up approx 42% of the Total U.S. Smartphone Subscribers Age 13+.
IDC Projects are projecting that smartphone market share will grow from 65.1% in 2013 to 70.5% in 2017. While tablets will see growth from 14.6% to 16.5% during the same period.
And with two new iPads on the shelves, and a smart watch arriving shortly, Apple are betting it will.