With the coming changes to Apple’s IDFA in-app data tracking process, Facebook has warned of major impacts to advertisers, with its Audience Network partners set to see the biggest losses as a result of the new prompts.
The change will see the addition of new in-app popup alerts that will ask users to opt-in to data tracking within each app. The expectation, then, is that many users will opt out, significantly reducing the amount of data available for ad targeting. Last August, Facebook warned Audience Network advertisers that the change could result in a 50% reduction in publisher revenue, and may even render the option wholly ineffective.
To counter this, this week, Facebook has launched a new mini-site dedicated to providing alternate ad options and tools for its Audience Network partners.
As explained by Facebook:
“The world of app monetization is changing faster than ever. From the rise of app bidding to the importance of using a hybrid monetization strategy, it’s essential to stay on top of the latest trends in app business growth.”
The platform aims to provide tips and resources for app monetization “while preserving the user experience”.
“From information about growing your user base to using a hybrid monetization model, the site has expansive resources and will be updated frequently to help you stay on top of monetization trends.”
Hybrid monetization is a key focus – as noted, with the coming changes to Apple’s IDFA process expected to significantly reduce the amount of in-app user data available, Facebook is now encouraging app developers to update their strategies to alternative approaches in order to maximize their efforts.
The platform includes a dedicated section for gaming app monetization, along with case studies and step-by-step guides for app development strategies.
Facebook also reminds Audience Network advertisers that they’ll soon need to switch to a bidding approach:
“The future of monetization is bidding, and here you’ll find information on what bidding is and how you can integrate it in your app business. Note that all Audience Network publishers are required to migrate their iOS apps to bidding by March 31.”
Bidding, as you might guess, focuses on incentivizing higher ad bids to maximize reach, as opposed to waterfall ad distribution in apps. Back in October, Facebook outlined how the bidding process will become mandatory as a means to negate the full impacts if of the IDFA update.
In addition to this, Facebook also notes that it has a new Blueprint Course on monetizing with Audience Network coming soon, which will provide direct learning resources for these alternate strategies.
It’s impossible to know what the full impacts of the coming IDFA changes will be, but Facebook is working to get on the front foot, as best it can, and prepare its ad partners for what’s coming. This is just one of many steps The Social Network is taking to counter Apple’s update.