Yes, compared to other mobile ad networks this is bad. People aren't rocketing up the install lists by having their $10 a day budgets not being filled.
> We chose to run the ads on apps from the following categories: Photo & Video, Social Networking, Entertainment, Games, Food & Drink and Utilities.
Those are some of the very largest targets you can have. Apple was unable to provide enough impressions to meet $10 a day.
Quick clarification - at the target CPC or CPA they specified, Apple was unable to deliver enough impressions to meet $10 per day.
(Their average CPC was $.01, and their desired CPA was $.40).
Agreed that $10 a day is not enough to keep their app rocketing up the install lists. However, like any PPC or CPA advertising, iAd is a bidding system - and priority of impressions will go towards those that bid more. Your assertion would be like having a Google AdWords bid of $.01 for a high-performing keyword, and because you aren't featured on page 1 of the SERPs & only get a few impressions, concluding that Google doesn't have the audience to support your budget.
Agreed. The thing is that after they have put the price to 50 USD it incentivises indie developers to test it out, which intern results in a higher fill rate for the apps. I think this is just a start, maybe there is a lot more.
Just a question is the CPA also really bad compared to the other ad networks?
It doesn't seem bad, but the CPA doesn't really matter if they can't fill. If Apple is leaving money on the table that means they just don't have the impressions (which is believable, you don't see iAds in a lot of apps).
It could also be a targeting problem (they don't know who is most likely to download), but iOS users are pretty app happy so I would imagine this is the easiest type of ad to convert with. Apple has a huge advantage here as the control the whole ecosystem and are the only ones in the world who can optimize the App Store. Just 25 installs after 1,702 taps for a free app with good reviews seems depressingly low.
> We chose to run the ads on apps from the following categories: Photo & Video, Social Networking, Entertainment, Games, Food & Drink and Utilities.
Those are some of the very largest targets you can have. Apple was unable to provide enough impressions to meet $10 a day.