Apple iOS 14.5 rolled out on April 26th, after advertisers and agencies prepared their accounts for the change. Now, just over a week since the rollout, we asked Mason Interactive’s Director of Media, Adrian Padron, to share an update with our readers.
Working across industries, I have a front-line position to the true impact of iOS 14.5. Below, I share my opinions on what has happened in the advertising industry since the rollout. Skip to the end for my recommendations on what to do now.
Back to Basics – What is iOS14.5?
Privacy, privacy, privacy. Apple’s new software empowers users to control their data, allowing them to choose what third-party tracking they will or will not tolerate, and forcing apps to request those permissions. This gives users more knowledge of what apps are doing, helps protect users from abuse, and allows them to make the best decisions for themselves.
So what does that mean for advertisers? It’s looking like we need to embrace the core of what made digital advertising work some 10 years ago. Intent and frequency.
Facebook’s Position – What About Small Businesses?
Facebook is a valued partner of ours, we’ve helped grow countless brands and partners via hyper-targeted campaigns. Small businesses everywhere are eternally grateful for the growth they’ve experienced from advertising on Facebook. That’s why Facebook sees Apple’s new policy as an attack on small businesses. I won’t get into PII , and how we’re tracked and how if an app or product is free then you are most likely the product. Feel free to reach out to me directly if you want to chat about that.
I would rather focus on what we think will happen and the truth of what is actually happening right now – a week after the iOS 14.5 rollout.
The Truth – Attribution is Taking a HUGE hit
The truth is that no one is exactly sure what will happen yet. We know for a fact that this is a massive change. But the intentions and repercussions are hard to parse. Is iOS 14.5 about empowering the customer to own their data, or is it a grab for revenue on Apple’s part?
One week post iOS 14.5, some observable truths include:
- Rising CPAs (cost per acquisition):
- Attribution and data pass-back will be forever changed
- Declining CVR (conversion rate):
- If audiences depreciation occurs, the CVR would be expected to drop
- Shrinking audience sizes
- Users may not stay in remarketing pools as long
- The END OF DIGITAL ADVERTISING AS WE KNOW IT (kidding)
- Seriously, just kidding. The more we embrace change the stronger we come out on the other side.
What does the Facebook data show across our clients’ accounts?
CVRs are slightly down but not at an alarming rate. Across our client portfolio the average is mostly flat while CPMs (cost per thousand impressions) have increased by 100% YoY.
CTRs (click through rate) are slightly down but to us they are holding which means the audiences we are reaching are still up to snuff. If we hold a CTR average of roughly 1% for a heavy impression based channel, we feel good about that. During seasonal spikes we want that same percentage at 2-3% (on social).
Now What – Help Me!
Let me tell you what we at Mason Interactive have been proactively doing in anticipation of this change.
- Verifying domains and prioritizing events
- Setting up Facebook Conversions API
- If you’ve read this far and haven’t set up Conversions API yet. Why? Do yourself a favor and get this done.
- We’re here to help! Talk to us today.
- Privacy policies
- We’re pushing partners to update data privacy policies. You can even consider a pop up for a user when they land on your website.
- Explain how and why you use their data, have them accept. Talk to your legal team about details.
- Leaning in to our partnership with Google
- Remember what I said about intent earlier? There is no higher level of intent than Search Engine Marketing (SEM).
- We’ve been pushing more budget into Google to tap into some of that data integrity and customer intent.
- Think people and households
- OTT/CTV video distribution is a must. If targeting users will become more difficult in the coming months then we need to think how to reach households with engaging content.
- The goal here is impressions and strong frequency. Bonus points for you if you’re thinking about how these impressions drive intent on those lovely mobile searches.
- SEO SEO SEO + UX UX UX
- A house is only as good as its foundation.
- Refocus some energy on your website ranking and user experience.
- It’s a numbers game, so if we’re going to effectively get a lower amount of qualified visits to site, then placing an emphasis on CRO will be crucial to success.
It’s still early days to see the full impact of iOS 14.5, or predict what the future holds for advertisers. At Mason Interactive we continue monitoring our clients’ accounts and data, while working in close collaboration with our partners at Facebook and Google.
If you want to learn more about the topic, I recommend scheduling a free consultation with our team. As performance marketing experts, we’re passionate about helping businesses navigate the digital landscape.