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I once would say Apple will never re-enter advertising. I still don’t think they will, but their continued push to make a car makes me think that they have lost
by etempleton 5y ago
I once would say Apple will never re-enter advertising. I still don’t think they will, but their continued push to make a car makes me think that they have lost focus as a company. Instead I will say why they shouldn’t from a business perspective:
1. Apple is a premium brand. Ads aren’t premium. By beginning advertising as a service they destroy a key differentiator, erode trust, and ultimately open the door to a competitor.
2. Advertising as a Service at scale would require a whole new division of Apple with significant investment and resources. This takes away from other work. Other work would have to consider how advertising will fit into the product. There is an opportunity cost here.
3. As a company, Apple doesn’t have the stomach to be in the ad business. To make money on ads they would have to give creative freedom to advertisers to design their own ads and Apple will hate this. Advertisers will design ugly ads or write click bait headlines and they will constantly have to police this. Facebook tried to do this with their no text in photos rule and eventually just gave up. It is a never ending battle.