'use strict'; (function(){ var post = {"id":2667102,"title":"How much is an app worth? Apple will soon make you choose","author":"Debra Sharp","byline_markup":"Jonathan Harrop, AdColony<\/a>","date":"February 03, 2021 05:10 AM","date_time":"2021-02-03T05:10:57-08:00","link":"https:\/\/venturebeat.com\/2021\/02\/03\/how-much-is-an-app-worth-apple-will-soon-make-you-choose\/","content":"

Presented by AdColony<\/em><\/p>\n

A huge swath of American consumers will soon have to make a choice about how they support their favorite apps, and an entire industry is on the edge of their seat, waiting. Why? Because Apple made it so. They even made a very big deal of it on World Privacy Day in January.<\/p>\n

If you have an Apple device, you\u2019re likely running iOS 14, even if it\u2019s not the most current iPhone 12. Typically, 50% of iPhones are successfully updated to the latest OS within 30 days of launch \u2014 and as of December 2020<\/a>, 80% of iPhones were running iOS 14.<\/p>\n

If you\u2019ve updated and successfully removed the red notification from your settings app, it also means you are now using the new operating system and according to Apple, \u201cPrivacy. That\u2019s iPhone.\u201d<\/p>\n

While their \u201cPrivacy\u201d ads don\u2019t explain how<\/em> the company protects your information, anyone working in mobile can explain, firstly, that it now requires apps to tell you exactly which information they would gather, if given permission, in what Apple is calling a \u201cPrivacy Nutrition Label:\u201d<\/p>\n

Now that you know exactly what they would gather from you, you have the option to opt-in to data information gathering and tracking.<\/p>\n

$\"\"$ On earlier versions of Apple\u2019s operating system, you had to make a concerted effort to opt out via settings. Now, Apple forces developers to give you that choice earlier through a popup that will appear when a developer requests your device ID. It will inquire if you want to \u201cAsk app not to track\u201d or if you\u2019ll \u201cAllow\u201d it.<\/a><\/p>\n

Most people say<\/em> they care about privacy, and that they don\u2019t trust tech companies\u2019 use of their data. Yet, when asked if the \u201ctrade-off\u201d of sharing information is worth more personalization and other benefits, they say yes<\/a>. When there is a clear purpose to data-sharing (e.g., stopping COVID-19 spread) consumers are extremely willing to share<\/a> even sensitive health data, as well as their location, social media, and search history.<\/p>\n

So maybe it\u2019s time to think about what you want out of your app experiences. More specifically, what is the purpose of app tracking and sharing your data with that developer? What is the benefit of saying \u201cAllow\u201d when that modal pops up?<\/p>\n

First, many app developers have functionalities within their app that require some level of data about you in order to serve you their experience as it was intended. You can\u2019t check the weather or traffic where you are without opting into location tracking.<\/p>\n

Second, while most people dislike ads, they aren\u2019t going away anytime soon. Those weather, traffic, and even mobile gaming apps are free, and the people who create them need to get paid \u2014 so unless you\u2019re paying to upgrade that app or buying items within it, you\u2019re going<\/em> to get ads.<\/p>\n

If you opt out<\/em> of that tracking option, the advertising you receive will be generic ads that will likely annoy you even further. Remember the early web? Viagra ads were seemingly everywhere<\/em>. Think about that \u2026 but with video and more!<\/p>\n

What about the collective good? If there is one trend that has marked this past year, it\u2019s been seeing new possibilities of altruism in society. Human beings do take actions to help others \u2014 as long as it doesn\u2019t harm us, of course<\/a>.<\/p>\n

When you opt in<\/em> to being tracked for the sake of advertising, to sharing that ID, you\u2019re saying, \u201cI support the advertising model where I receive value (i.e., news, gaming, entertainment) in exchange for my attention. I recognize that content creators need to make a living.\u201d It\u2019s a value exchange, just like seeing commercials when you watch TV, Hulu, and so on.<\/p>\n

Even if I didn\u2019t work in advertising, I would take that trade. Why? Because I live in Texas where barbecue is practically a religion. To perfect my own technique, I watch BBQ channels on YouTube. If those guys (shout out to John Setzler and Malcolm Reed) weren\u2019t compensated by ads, I don\u2019t think the content created would be nearly as well thought-out nor frequent. It would be their hobby, not a job or a side gig.<\/p>\n

So I\u2019m all in on supporting the ad model. In my opinion, it works. Apple has essentially made privacy its defining feature versus Google\u2019s Android, potentially to the detriment of hundreds of thousands of app developers out there. If your favorite app runs ads, ask yourself, what would you pay for it if it wasn\u2019t free? If it\u2019s less than about $5 <\/a>per month<\/em><\/a>,<\/a> per app, it\u2019s not enough.<\/p>\n

When Apple finally launches this feature in early Spring, you will have a decision to make. It\u2019s an entirely personal choice, of course, and for users who know they care about privacy and have already taken some actions to protect it \u2014 which is about 1 in 3 people, called \u201cprivacy actives\u201d<\/a> \u2014 the choice is clear.<\/p>\n

But for the rest of us, it\u2019s not so obvious.<\/p>\n

Jonathan Harrop is Senior Director, Global Marketing & Communications at AdColony.<\/em><\/p>\n

Sponsored articles are content produced by a company that is either paying for the post or has a business relationship with VentureBeat, and they\u2019re always clearly marked. Content produced by our editorial team is never influenced by advertisers or sponsors in any way. For more information, contact sales@venturebeat.com<\/a>.<\/em><\/p>","story_type":null,"story_type_markup":"Sponsored<\/span><\/span>","image":"https:\/\/venturebeat.com\/wp-content\/uploads\/2021\/02\/texting.GettyImages-1169337401.jpg?fit=800%2C415&strip=all","header":"

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