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How Apple Inc. (AAPL)’s More Affluent Consumers Are Crushing Android By Bringing Home the Future of Advertisement: De Silva

Apple Inc. (NASDAQ:AAPL)‘s iOS might seem to be at a disadvantage to the Android operating system on account of its limited customer base in comparison to the most popular mobile Operating System of the world, a metric that is very important to advertisers. However, Mahi De Silva, CEO of Opera Mediaworks revealed two other crucial metrics that actually tilt the scale in Apple Inc. (NASDAQ:AAPL)’s favor.

Apple Inc. (AAPL), Inc. (AMZN), Barnes & Noble Inc. (BKS)

The first of these measures involves the future of mobile advertisement, video ads. Consumers have a greater proclivity to interact and engage with them than the more old fashioned banner styled static advertisement. To the disappointment of smart phone companies, whose Operating System is built around the Android platform, they don’t fare as well as Apple Inc. (NASDAQ:AAPL)’s Operating System in terms of generating revenues from this new feature, according to De Silva.

“[…] Video is really blowing up in mobile ads today, and again iOS is showing much stronger engagement for those video ads and advertisers are looking to leverage their spend that they are spending on TV and bringing that into a more digital medium, because its cheaper, it’s also more measurable, it interactive. So, unlike a TV add which is really about reaching frequency a mobile add is driving some type of conversion, that is a big benefit to advertisers, ” said De Silva.

Additionally, even if you look at the monetization of the more boring old school ads, Apple Inc. (NASDAQ:AAPL) still fares better than Android. However, the number of people that the advertisement reaches out to is also of considerable importance as Android does have a greater share of the smart phone market. Although, that might change in the future.

“In terms of our business in the advertising space, we find that over almost 50% of the impressions might come from an android device, but more than 50% of the monetization happens on iOS devices,” said De Silva.

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