What Does the Latest Battle Between Online Giants Mean for You?

Why did Apple decide to roll out this update?

Chris: Online privacy continues to be a hot-button issue, and people want to feel safer online. This movement really began when the Cambridge Analytica scandal broke in March 2018, and it hasn’t let up. Popular documentaries like “The Great Hack”  and “The Social Dilemma” have kept the public’s focus on how their data and information is being used by tech companies.

It’s important for consumers to understand not all online tracking is bad. For ad personalization, it creates a much less abrasive online experience. Hopefully we can find a balance. As a consumer, I don’t want my name and information to be given away just because I downloaded a game, but I also don’t want to be served a bunch of ads for something I don’t care about.

Why is Facebook so upset about Apple’s new privacy measures?

Alex: Facebook is relying on the argument that Apple’s update will hurt small businesses. In a way, it will. Because user data will be more limited, businesses will have a more difficult time targeting the right audiences. Many small-scale advertisers have seen great success with highly targeted ads. Facebook thinks if users opt-out of being tracked, then small businesses could lose significant revenue.

But let’s be real: at the end of the day, Facebook is mostly mad because they’ll probably lose advertising money. Marketers may receive poorer campaign statistics and performance tracking, causing them to reduce their advertising spend or take their money elsewhere. It will certainly be interesting to see how this plays out.

Will advertising platforms beyond social media be affected?

Chris: Marketers who leverage programmatic advertising will also receive less user information to optimize campaigns, deliver more relevant ad experiences and deliver ads to the people most likely to take action.

Brands utilize a variety of online channels — including social media, websites and email marketing — to reach their customers. Different people interact with brands through different touchpoints. In an omnichannel world, it’s vital for advertisers to understand which touchpoints drove which actions and which conversions. Without knowing where someone saw an ad — which is going to be more difficult with the Apple iOS 14 update — it makes it much harder for marketers to optimize their advertising dollars.

Will the change make it more difficult for less experienced online advertisers to keep up with the competition?

Alex: Honestly, yes. It’s going to be more important than ever for marketers to be experienced in advanced advertising targeting strategies and building online audiences. If a company can’t do these things, its online ad results won’t just be diminished — they’ll be decimated.

Working with a knowledgeable agency will ensure ads are being monitored and results are being tracked daily. At Candor, our clients can rest assured knowing our digital team checks on and optimizes ads multiple times each day. With the iOS update, we wouldn’t be surprised if cost-per-click on most ads increases and click-through-rate decreases. Skilled digital marketers will analyze these changes and create a game plan to ensure metrics improve with each subsequent campaign.