• Study: Mobile Ad-Tracking Systems Are "Blind" To 80 Percent Of Apple iOS Devices

    Tuesday, March 15th, 2011

    Erick Schonfeld is a technology journalist and the former Editor in Chief of TechCrunch. At TechCrunch, he oversaw the editorial content of the site, helped to program the Disrupt conferences and CrunchUps, produced TCTV shows, and wrote daily for the blog. He joined TechCrunch as Co-Editor in 2007, and helped take it from a popular blog to a thriving... → Learn More

    Apple mobile iOS devices (iPads, iPhones, and iPod Touches) are used by 130 million people, but they present a huge blindspot to advertisers. All Apple mobile devices use the Safari browser, as do millions of Apple laptop and desktop computers. Safari blocks third-party cookies by default, which is good for privacy and good for consumers. But it is bad for advertisers who rely on browser cookie tracking to measure the effectiveness of their ads.

    Marin Software, which offers a way to manage paid search advertising, conducted a study it provided to TechCrunch which shows that 80 percent of the time iOS devices don’t count paid-search conversions (i.e., clicks) because cookie-tracking is turned off. On the Mac, the undercounting occurs 50 percent of the time. All told, when you count all browsers, 38 percent of all paid-search clicks are not being counted.

    These numbers are for so-called third-party cookies, not first-party cookies which come only from Websites you visit. Third-party cookies are served from various advertising networks or monitoring tools, and they are required for any type of retargeting across multiple Websites. While Marin only looked at paid search ad conversions, the numbers should hold true for display ads as well.

    Not only are ads not being tracked properly on most Apple devices, but if they were tracked properly, Marin suggests that Apple devices actually perform better. As part of the study, Marin compared actual ad conversions to Windows computers as a baseline. While the perceived conversion rate of search ads is 56 percent lower because of the undercounting, the actual conversion rate is 23 percent higher.

    Following the maxim that you don’t get paid for what can’t be measured, this blindspot poses a growing challenge to the online advertising industry, and Google in particular. (And you thought Apple was just doing this to protect consumers). The way around the blindspot is to use first-party cookies served from the Websites people visit, or to come up with better ways to measure the performance of online ads. But that’s the topic for another post.

    Company: Marin Software
    Launch Date: April 2006
    Funding: $79.5M

    Marin Softwareâ„¢ is a leading provider of online advertising management solutions, offering an integrated platform for managing search, display, and social marketing. The company provides solutions for advertisers and agencies of all sizes, enabling them to improve financial performance, save time, and make better decisions. Marin Enterprise, the company’s flagship product, addresses the needs of online marketers spending $100,000 per month and greater on biddable media. Marin Professional delivers the same power and ease of use...

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    Company: Apple
    Website: apple.com
    Launch Date: April 1, 1976
    IPO: NASDAQ:AAPL

    Started by Steve Jobs, Steve Wozniak, and Ronald Wayne, Apple has expanded from computers to consumer electronics over the last 30 years, officially changing their name from Apple Computer, Inc. to Apple, Inc. in January 2007. Among the key offerings from Apple’s product line are: Pro line laptops (MacBook Pro) and desktops (Mac Pro), consumer line laptops (MacBook) and desktops (iMac), servers (Xserve), Apple TV, the Mac OS X and Mac OS X Server operating systems, the iPod (offered with...

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    Product: Safari
    Company Apple

    Safari is a web browser developed by Apple. First released as a public beta on January 7, 2003 on the company’s Mac OS X operating system, it became Apple’s default browser beginning with Mac OS X v10.3, commonly known as “OS X Panther.” Apple has also made Safari the native browser for the iPhone OS.

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