Apple has begun selling its own advertising inventory for Apple News. Previously relying on third-party vendors, Apple is now pitching new ad units directly to marketers.
The tech giant is bringing several new advertising options, like ads within the Apple News feed and individual stories, premium sponsorships for curated content, and banner placements across 17 different formats.
Publishers will receive 70% of the ad revenue from Apple-sold ads within their articles and a percentage of feed ad revenue based on content engagement. They will continue to keep 100% of revenue from ads they sell directly. Apple News has been on the rise for the past 3-4 years.
Apple’s diving deeper into ads as its hardware sales slow down. The company’s services business, which includes advertising, generates approximately $100 billion annually. Advertising alone is expected to reach around $10 billion this year, according to estimates from GroupM and eMarketer.
To back this effort, Apple’s been growing its ad sales team with hires from the streaming and publishing worlds. The company has appointed Lauren Fry to lead advertising for Apple TV+ and oversee the Apple News ad sales team.
Apple News is big in North America, the UK, and Australia, but most publishers see the free version more as a marketing tool than a real money maker. Apple is boosting ad sales to help its partners make more money, which could lead to even more content on the platform.
More here. Seen at Apple World.Today.