96% of Users Choose to Opt-Out of App Tracking 

In late April, Apple announced that IOS 14.5 will have the ability to turn off apps tracking your activity for targeted advertising purposes. This change has had a huge impact on advertisers across the world. Initially, it was estimated that 70% of users would choose to opt-out of app tracking. In reality, the number of users who have already chosen to opt-out is a lot steeper. A whopping 96%.

 Why the sudden change? Apple gave a press release in January, stating that its, “Time to raise awareness about the importance of protecting people’s personal information online.” Apple’s Senior vice president of Software Engineering, Craig Federighi said, “Privacy means peace of mind, it means security, and it means you are in the driver’s seat when it comes to your own data.” There is anticipation Google will follow in Apple’s footsteps, allowing Android users to also opt-out. However, Facebook is fighting back claiming that small businesses will suffer the most. The real impact will be seen in the months to come.

 

 

What does this mean for advertisers?

Advertisers will be impacted in two major ways:

  1. Ad Measurement – IDFA identifiers are what Mobile Measurement Partners (MMPs) have built fraud and measurement capabilities around. As a result, we will see a reduction in the fidelity data that MMPs have to identify fraud and performance across mobile campaigns.
  2. Ad Targeting – Users who choose to opt-out of app tracking will no longer receive targeted ads based on in-app activity. Google and Facebook have other ways they can identify devices, such as email and phone numbers. However, other platforms will likely see a decrease in targetable audiences.

 

Start a new strategy: 

Facebook still works

Although Facebook advertising is now more limited, it isn’t going away completely. Facebook advertisements are still a great way for businesses to prospect and raise awareness to new customers. Additionally, now might be the right time to consider leaning more heavily into email marketing/drip campaigns. 

First-party data

With consumers opting out of tracking, it’s time for you to reconsider your process for collecting data and targeting your members and potential members. Consider putting processes in place to capture important information yourself – this might include surveys and an opt-in email system, to name just a few ideas. 

 

We’re here to help. Kearley & Company is just a phone call, email, or text away. We assist credit unions by developing marketing and communications strategies that work. Our team can help bring new ideas to the table while helping ensure your plan is on track to deliver results.

 

References:

https://tinuiti.com/blog/data-privacy/apple-ios-idfa-guide/

https://mashable.com/article/ios-14-5-users-opt-out-of-ad-tracking/