Peter Kafka

Recent Posts by Peter Kafka

You Can't Help It: You Love Clicking on iPad Ads!

The online ad industry worries that people like you no longer pay attention to their pitches. “Banner blindness,” they call it. Hence the move to create ginormous ads that shake and shimmyanything to catch your attention again.

One cure: Move those ads to your phone or your iPad. Where for whatever reason, you are much more likely to pay attention. At least for now.

Citigroup (C) analyst Mark Mahaney, who just stopped by the Interactive Advertising Bureau’s mobile conference, offers up these data points from digital ad shops JumpTap and PointRoll:

  • JumpTap says surfers are three times more likely to click on a “rich media” ad on a smartphone vs. a traditional banner ad on a PC. And they are two times more likely click on movie trailer ads on a smartphone.
  • PointRoll says that people click on traditional ads a mere 0.26 percent of the time, but that that number increases to 0.5 percent on smartphones and 1.10 percent on Apple’s (AAPL) iPad.

Confirmation bias and limited data set aside, the numbers make plenty of sense: Of course people are more prone to click on these things on their phone or their tablet. Because people will always be prone to check out a novelty.

In fact, you could argue that the newness factor here isn’t nearly as powerful as it should be: When Hotwired started running the first browser-based banner ads for AT&T (T) 15 years ago, the campaign boasted a staggering 78 percent clickthrough rate.

Meanwhile, for all the years of hype, the mobile display ad market is barely there–it may hit $150 million or so this year. The iPad ad market is even smaller, of course. But they’re both going to grow, which means any novelty they do have will wear off. What then?

[Image credit: Paleontour]


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