How advertisers are dealing with Meta's ad price increases prompted by Apple's ATT changes, with some shifting their ad budgets to Google, Amazon, and TikTok
and leaders above them signing off on it — has impacted everyone from Facebook and Shopify to small businesses and DTC brands. To the tune of hundreds of billions of dollars! Glenn Gabe / @glenngabe : With some powerful quotes from business owners (which I'll cover in the thread) -> https://www.wsj.com/... https://twitter.com/... Karl Carlson / @clusterkuss : @patiencehaggin “Apple's harmful policy is making it harder and more expensive for businesses of all sizes to reach their customers.” HAHAHA. How demented. No, @Meta, we simply don't want to have you track our every click and action so you can make money off of mass surveillance. @carnage4life : @PofInt2112 Apple didn't offer a choice. It put its finger on the scale. https://twitter.com/... David Barnard / @drbarnard : 3/ I still don't buy the argument that this destruction was intentional. I think Apple genuinely though SKAdNetwork was good enough. Which is mind boggling and scary. David Caulton / @pofint2112 : @Carnage4Life Yes, but their data remains their own and they're not being sneakily tracked in the background. If you prefer to give more data and tracking, go buy an android phone. David Barnard / @drbarnard : Here's a screenshot of an early draft of my @RevenueCat blog post on App Tracking Transparency. “Hundreds of millions of dollars” felt like a bold prediction at the time, but we now know it ended up being hundreds of billions. https://twitter.com/... https://twitter.com/... Nick Walker / @nw3 : @Carnage4Life It's not value destruction, it's value transfer to Apple and Google investors. David Barnard / @drbarnard : 5/ This is a much better argument for regulation than @TimSweeneyEpic making a few billion more on digital trinkets. David Barnard / @drbarnard : 2/ I do still think we'll be better off in the long-run because of ATT (we'll _eventually_ get better, privacy friendly ad-tech), but Apple could've made this a lot less painful by putting more thought and resources into SKAdNetwork. David Caulton / @pofint2112 : @Carnage4Life All Apple did was increase transparency and offer a choice. Consumers seem to be speaking. Eric Seufert / @eric_seufert : @hemos @ecomericcarlson I have no problem with the deprecation of the IDFA (I've published as much!). I do have a problem with the loaded, intimidating language of the consent prompt and the privileged access to user data that Apple grants itself https://mobiledevmemo.com/... @carnage4life : @nw3 Value is destroyed because (1) Apple doesn't have a replacement ad network for DTC brands and (2) Google doesn't enable passive discovery of brands. That said some value definitely flowed to Google and Apple. https://pocketnow.com/... @carnage4life : What saddens me about this is the value destruction. Small businesses find fewer customers & have to spend more on ads to do so leading to higher prices & more failed businesses. Facebook still continues to exist. Users still see ads, just less relevant. Everything's shittier. https://twitter.com/... Sam Biddle / @samfbiddle : I know this is pointing out the obvious but it really is amazing the extent to which Facebook's business viability relied on the absence of consumer privacy protections. https://www.wsj.com/... Carl Quintanilla / @carlquintanilla : Martha Krueger “used to spend her entire advertising budget on .. Facebook and Instagram. .. When Apple Inc. introduced a privacy feature for mobile .. her costs .. rose 10-fold.” “It kind of feels like the end of an era ..” $FB @WSJ https://www.wsj.com/... Jason Kint / @jason_kint : Anyway, this is a smart report by WSJ @VranicaWSJ @patiencehaggin @sal19 that gets at the root of Facebook's massive drop in valuation in February. /eof https://twitter.com/... @jamesvgrimaldi : How anti-tracking privacy software is killing Facebook's advertising dominance: “It kind of feels like the end of an era with Facebook's targeting ability.” https://www.wsj.com/... via @WSJ @VranicaWSJ @patiencehaggin @sal19 Venkat Ananth / @venkatananth : “Facebook has built its empire on the ability to acquire intimate details about user behavior across the internet. Apple has changed the game.” inside facebook's $10b breakup with advertisers https://www.wsj.com/... Jason Kint / @jason_kint : Accurate picture. The train is FB leadership. In the past, FB argued scandals and biz problems (metrics screw-ups, data abuses) don't need to be specifically disclosed unless they actually cause advertising to decline. The bridge is their tactics to harvest data from 3rd parties. [gif of a bridge with a train on it, collapsing] Jason Kint / @jason_kint : Lol. Let me explain privacy laws headed toward enforcement (CPRA, GDPR) and gatekeeper laws (Digital Markets Act) plus those that do both (eg German federal cartel office decision and antitrust lawsuits based on data abuse). In other words, RIP Facebook surveillance biz model. /1 https://twitter.com/... Jason Kint / @jason_kint : This message from a company that has actual fraud allegations against it for knowingly inflating its potential reach metrics causing advertising buyers to shift their overall spending mix after settling other elevations of knowingly reported false metrics. Evidence unsealed. /2 https://t.co/FUepwuNQbh Jason Kint / @jason_kint : When these companies say their Facebook rates went way up, pls make sure to ask if 1) they've found other ways to reach their audience and 2) how their biz is doing overall. Welfare and revenue shifts. Facebook's problems are opportunities for others more focused on consumers. /3 https://t.co/2G8baQBlSw Brad Reagan / @reaganbrad : “It kind of feels like the end of an era.” “Apple has changed the game.” Hard to overstate the seismic shifts of the past few weeks, particularly as relates to FB/Meta. @VranicaWSJ @patiencehaggin and @sal19 capture the how and why. https://www.wsj.com/... Amol Sharma / @asharma : Said one advertiser who zeroed out its Facebook spend and switched to Google: “It kind of feels like the end of an era with Facebook's targeting ability.” Deep dive on Silicon Valley's privacy wars. https://www.wsj.com/... David Carroll / @profcarroll : The precision promised was never sustainable. Folks just don't want it if given a real choice. Advertisers will always be wasting money. Wanamaker's revenge. https://twitter.com/... Anthony DeRosa / @anthony : Advertisers are slashing their spending on Facebook and Instagram. “It kind of feels like the end of an era with Facebook's targeting ability.” https://www.wsj.com/... See also Mediagazer
No chart better captures the destructive power of Apple's App Tracking Transparency privacy policy than this: the market cap of Shopify, which helps SMBs transact with consumers, has plummeted by more than 50% since ATT reached saturation https://twitter.com/...
4/ Scarry because what that means is that the work of a handful of Apple employees — and leaders above them signing off on it — has impacted everyone from Facebook and Shopify to small businesses and DTC brands. To the tune of hundreds of billions of dollars!
@patiencehaggin “Apple's harmful policy is making it harder and more expensive for businesses of all sizes to reach their customers.” HAHAHA. How demented. No, @Meta, we simply don't want to have you track our every click and action so you can make money off of mass surveillance.
3/ I still don't buy the argument that this destruction was intentional. I think Apple genuinely though SKAdNetwork was good enough. Which is mind boggling and scary.
@Carnage4Life Yes, but their data remains their own and they're not being sneakily tracked in the background. If you prefer to give more data and tracking, go buy an android phone.
Here's a screenshot of an early draft of my @RevenueCat blog post on App Tracking Transparency. “Hundreds of millions of dollars” felt like a bold prediction at the time, but we now know it ended up being hundreds of billions. https://twitter.com/... https://twitter.com/...
2/ I do still think we'll be better off in the long-run because of ATT (we'll _eventually_ get better, privacy friendly ad-tech), but Apple could've made this a lot less painful by putting more thought and resources into SKAdNetwork.
@hemos @ecomericcarlson I have no problem with the deprecation of the IDFA (I've published as much!). I do have a problem with the loaded, intimidating language of the consent prompt and the privileged access to user data that Apple grants itself https://mobiledevmemo.com/...
@nw3 Value is destroyed because (1) Apple doesn't have a replacement ad network for DTC brands and (2) Google doesn't enable passive discovery of brands. That said some value definitely flowed to Google and Apple. https://pocketnow.com/...
What saddens me about this is the value destruction. Small businesses find fewer customers & have to spend more on ads to do so leading to higher prices & more failed businesses. Facebook still continues to exist. Users still see ads, just less relevant. Everything's shittier. ht…
I know this is pointing out the obvious but it really is amazing the extent to which Facebook's business viability relied on the absence of consumer privacy protections. https://www.wsj.com/...
Martha Krueger “used to spend her entire advertising budget on .. Facebook and Instagram. .. When Apple Inc. introduced a privacy feature for mobile .. her costs .. rose 10-fold.” “It kind of feels like the end of an era ..” $FB @WSJ https://www.wsj.com/...
Anyway, this is a smart report by WSJ @VranicaWSJ @patiencehaggin @sal19 that gets at the root of Facebook's massive drop in valuation in February. /eof https://twitter.com/...
How anti-tracking privacy software is killing Facebook's advertising dominance: “It kind of feels like the end of an era with Facebook's targeting ability.” https://www.wsj.com/... via @WSJ @VranicaWSJ @patiencehaggin @sal19
“Facebook has built its empire on the ability to acquire intimate details about user behavior across the internet. Apple has changed the game.” inside facebook's $10b breakup with advertisers https://www.wsj.com/...
Accurate picture. The train is FB leadership. In the past, FB argued scandals and biz problems (metrics screw-ups, data abuses) don't need to be specifically disclosed unless they actually cause advertising to decline. The bridge is their tactics to harvest data from 3rd parties.…
Lol. Let me explain privacy laws headed toward enforcement (CPRA, GDPR) and gatekeeper laws (Digital Markets Act) plus those that do both (eg German federal cartel office decision and antitrust lawsuits based on data abuse). In other words, RIP Facebook surveillance biz model. /1…
This message from a company that has actual fraud allegations against it for knowingly inflating its potential reach metrics causing advertising buyers to shift their overall spending mix after settling other elevations of knowingly reported false metrics. Evidence unsealed. /2 h…
When these companies say their Facebook rates went way up, pls make sure to ask if 1) they've found other ways to reach their audience and 2) how their biz is doing overall. Welfare and revenue shifts. Facebook's problems are opportunities for others more focused on consumers. /3…
“It kind of feels like the end of an era.” “Apple has changed the game.” Hard to overstate the seismic shifts of the past few weeks, particularly as relates to FB/Meta. @VranicaWSJ @patiencehaggin and @sal19 capture the how and why. https://www.wsj.com/...
Said one advertiser who zeroed out its Facebook spend and switched to Google: “It kind of feels like the end of an era with Facebook's targeting ability.” Deep dive on Silicon Valley's privacy wars. https://www.wsj.com/...
The precision promised was never sustainable. Folks just don't want it if given a real choice. Advertisers will always be wasting money. Wanamaker's revenge. https://twitter.com/...
Advertisers are slashing their spending on Facebook and Instagram. “It kind of feels like the end of an era with Facebook's targeting ability.” https://www.wsj.com/...