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Microsoft Advertising Windows

Windows Store In-App Ad Revenue Plummets 196

Posted by Soulskill
from the sorry-about-your-luck dept.
jfruh writes "One of the hooks Microsoft has used to get developers to build apps for Windows 8 and Windows Phone 8 has been pubCenter, an ad network that's easy to add to apps and provides revenue back to publishers. But many developers found that on April 1 that revenue abruptly dropped by an order of magnitude, with most potential ad impressions going unsold; one developer reported only 160,000 ads served to 60 million requests, a fill rate of less than 0.3%. Since many of the ads before April 1 had been for Bing, this may be a sign that Microsoft is no longer willing to subsidize its developers — and that advertisers aren't that interested in buying ads in Windows 8 apps."
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Windows Store In-App Ad Revenue Plummets

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  • by oldlurker (2502506) on Tuesday April 30, 2013 @03:18PM (#43594277)
    ok, so ad networks (as search business) are winner takes it all. Because of the dynamics of the bidding engine when you get volume. Any ad developer that have a business guy worth his salt would go for one of the leading ad network opportunities over the small me-too player that Microsoft pubcenter is, also when you develop apps for Windows 8 (contrary to what the summary might seem to apply, Windows 8 app developers are in no way limited to pubcenter).
  • by swschrad (312009) on Tuesday April 30, 2013 @03:24PM (#43594355) Homepage Journal

    dirty little secret: those ads loading are data you are charged for.

  • by SternisheFan (2529412) on Tuesday April 30, 2013 @04:36PM (#43595211)

    I never am able to get a straight answer - if you put out a popular indie game, for example, and you decided to make it free and ad supported, for example, let's say you get 100k people to download it, and 10k people are playing it regularly what kind of money do you make? $100/month, $1000/month, $10k/month? anybody know?

    I googled and posted this above, meant to post it to you. From GigaOM, 10/4/2012:

    Most app developers make less than $500 a month (chart) By Rani Molla - Oct. 4, 2012

    We know that not every app is Angry Birds and not every app developer is Rovio. But just how tough are things for the workaday app developer? In a recent GigaOM Pro study (subscription required) of app developers, more than half of the respondents say they make less than $500 a month from their paid apps (see chart below). Perhaps not surprisingly, app development isn’t a full-time job for most of them. Some 75% of 352 respondents either hold another job or do app development only as a portion of their main job. (The picture is even grimmer for developers of advertising-dependent apps — a third of those developers make less than $100 a month in ad revenue, according to the study.)

    On the high (and much more rare) end of the spectrum, about 5 percent of app developers in the survey make over $20,000 a month. These developers tend to be part of big app firms. (see chart at linked page)

    http://gigaom.com/2012/10/04/most-app-developers-make-less-than-500-a-month-chart/ [gigaom.com]

  • Re:Not surprising (Score:5, Informative)

    by swillden (191260) <shawn-ds@willden.org> on Tuesday April 30, 2013 @04:37PM (#43595219) Homepage Journal

    Google, who seems to be running the advertising network that's actually doing well, makes around 98% of its money from selling ads.

    FYI, Google does make the vast majority of its money from ads, but not 98%. Here are recent percentages (calculated from http://investor.google.com/financial/tables.html [google.com]):

    2011: 96.3%
    2012: 94.9%
    2013: 91.9% (Q1 only, obviously)

    For Q1 2013, Google's non-advertising revenues saw 150% year-on-year growth and 27% quarter-on-quarter growth, to just over $1B for the quarter. At that rate, Google is on track to have ~6B in 2013 in non-advertising revenues, and for advertising revenues to drop to less than 90% of total revenues. Perhaps even more.

    Note that none of the above includes Motorola Mobility revenues. If you count Motorola, Q1 advertising revenues were 85% of total revenues.

    Also note that this isn't because Google's advertising business isn't doing well, it's because it's non-advertising business is doing even better (except for Motorola, which is still posting losses).

    (Disclaimer: I work for Google, but this is all public information.)

  • Plenty of servers host really big image files... NASA, for example, has a handful of great ones.

  • Re:Good, very good (Score:4, Informative)

    by AuMatar (183847) on Tuesday April 30, 2013 @05:19PM (#43595649)

    I make 1 or 2 cents per user. Most ad networks pay on a click-through basis, and nobody clicks on ads. The ones that pay per impression pay pennies per 1000 impressions. If you have any costs its not a sustainable way to run a business. If you make an amazingly popular app, you may be able to pay for 1 developer for a year at US rates. You'd need to shotgun out an app every few weeks to really stay alive.

  • Re:Good, very good (Score:4, Informative)

    by AuMatar (183847) on Tuesday April 30, 2013 @05:21PM (#43595683)

    You're orders of magnitude too high. I made 4 cents on a click through yesterday through admob. It was the only click that day. I make nothing on an impression basis. There are a few networks that pay on an impression basis, but its pennies per 1000 impressions.

  • by Traf-O-Data-Hater (858971) on Tuesday April 30, 2013 @05:57PM (#43596019)
    Mozilla in their 'wisdom' decided to disable the ESC key that a lot of people used to stop animated gifs running https://bugzilla.mozilla.org/show_bug.cgi?id=614304/ [mozilla.org]. It also stopped the page loading - dead in its tracks - which I personally loved. However some Mozilla devs didn't like it (as scripts etc may not be loaded properly). So they've now taken control away from the annoyed user who is going to cop entire page loads of crap.
  • Re:As a customer... (Score:4, Informative)

    by Darinbob (1142669) on Tuesday April 30, 2013 @06:38PM (#43596329)

    They're not free apps. You paid for them when you purchased Windows 8.

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