Two-thirds of iPhone users are expected to block ad tracking

Up to 68% of iPhone users are expected to deny advertisers permission to track them thanks to the Apple Tracking Transparency feature, which is beginning to seem like a significant blow to the advertising industry (via of AdWeek).

With the release of iOS 14.5, apps will need to receive explicit permission from the user before accessing the ad ID or IDFA of an ‌iPhone‌, which is used to track usage between apps and websites for ad targeting purposes.

Epsilon marketing chief Loch Rose said “no one knows for sure” what will happen once Apple’s tracking requests are extended, but the cost per million ads built into the app, which is the cost an advertiser pays per thousand Views or impressions are expected to drop to 50%.

Initial prospects about the number of users giving their consent to follow up seem bleak, with an average option rate of just 32%, according to an analysis of 300 apps on 2,000 devices from AppsFlyer, a mobile marketing and attribution.

The analysis found that apps with a higher consumer affinity had higher opt-in rates, hovering around 40 percent, but some companies like the Bumble Dating app expect only 20 percent. of users opt, at least, in anticipation for less than one percent of users.

Leading digital ad company Trade Desk said 10 percent of the 12 million ad opportunities per second on its platform are directly related to IDFA metrics.

There is concern in the advertising industry that widespread disabling options would lead to a total devaluation of IDFAs, making ad segmentation and performance information on Apple platforms almost impossible, as information would essentially be removed. key to advertising and a number of users will no longer be able to target at all.

If deactivation rates are high and IDFAs are low, application developers and publishers expect short-term revenue to be generated. Advertisers are also aware that participation rates may not be consistent when the feature is widely adopted, which can aggravate the level of uncertainty and lead to inconsistent data.

According to reports, approximately 58% of advertisers plan to move their businesses out of Apple’s ecosystem and invest in other areas, such as Android devices or connected TVs, as a result of the change.