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Adidas kills $10M iAd deal

Business Insider is reporting that Adidas has dropped its plans for a $10 million iAds account. The reason? Apple's demand for near total control.

Citing two unnamed inside sources, Business Insider claims that Apple rejected three consecutive proposals from Adidas. After the third rejection, the company pulled out. Intent on making the best mobile advertising experience possible, Apple oversees nearly every aspect of an advertiser's campaign, and even designs the ads.

Adidas isn't the first to complain, but this story highlights the first big money pull out we've come across. In August, the Wall Street Journal reported that other potential advertisers had grown frustrated with Apple's hands-on approach. At that time, only four of the 17 partners revealed at the program's start -- Unilever PLC, J.C. Penny, Disney, and Nissan Co. -- had launched ads.

Personally, I've only seen one ad for the Nissan Leaf. We think John Gruber's advice for potential advertisers is best: Get used to it.

[Via AppleInsider]

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Business Insider is reporting that Adidas has dropped its plans for a $10 million iAds account. The reason? Apple's demand for near total...
 

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john

This is really about Nike, isn't it?

October 04 2010 at 7:56 PM Report abuse rate up rate down Reply
Erik

As a developer of an app that RELIES on iAd revenue, this is very sad if it's true. I'm all for quality ads, but Apple needs to lighten up a bit. I doubt the ad was shabby by any means if $10m was behind it.

October 04 2010 at 5:49 PM Report abuse rate up rate down Reply
Sebastian

They rejected it because of the "Ad" in "Adidas". Add an "i" to that and you have users suddenly stopping, wondering where they are, running into walls and rolling around on the floor with spastic movements.
Considering how many people own iPhones, that's a serious concern.

October 04 2010 at 4:58 PM Report abuse rate up rate down Reply
redcard

So Apple rejected an ad they designed?

Three times?

Doubtful

October 04 2010 at 3:47 PM Report abuse rate up rate down Reply
parisinla

I recently spoke to an iAds sales rep and they said that Apple's hand in creative for the ads was optional when they work with advertisers.

October 04 2010 at 3:24 PM Report abuse rate up rate down Reply
KeynoteKen

I click on every iAd I see for two main reasons.

1) it will either be a quick ad for an app on the app store, or a fairly cool experience (like the Klondike bar ad!)
2) I can close the ad and be back in my app, where I left

I would still do it for the second reason, you know, if the dev has put it there to make few bucks, then why not linger on it and click a few of the internal links. But if the ads weren't something cool, that'd do more damage to the iAd brand than the money they would have gotten from Adidas.

October 04 2010 at 2:43 PM Report abuse rate up rate down Reply
Tom Gregson

The original story actually cites 'scuttlebutt', notes they 'supposedly pulled .. its ad camapign' and notes they are unconfirmed rumours. That little aspect seems to be missing from the TUAW pick-up. Read a little more carefully Dave.

October 04 2010 at 2:35 PM Report abuse rate up rate down Reply
Adam

Apple designs the ads for the companies? are you sure?

October 04 2010 at 2:29 PM Report abuse rate up rate down Reply
Tim

Adidas doesn't want Apple dictating to them anymore than Apple wants Fox or NBC dictating to them. Fair enough, not sure why this is news.

Adidas not stupid. They knew pulling the $10mil and getting the press was advertisement enough. Now THEY look like the david who stood up to Goliath, ... and it didn't cost $10mil.

October 04 2010 at 1:57 PM Report abuse rate up rate down Reply
Mike Coogan

I have seen 2 iAds on my iPhone. The 1st was the Nissan Leaf one that Jobs showed off at the Apple event. The 2nd was a weird one. It was for some kind of space tourism. It looked very unprofessional and looked fake to me.

Jobs just wants everything to look nice on his phone and given the success he has I can see why he'd be like that.

October 04 2010 at 1:37 PM Report abuse rate up rate down Reply
2 replies to Mike Coogan's comment
macserv

You're right, the strategy *is* transparent, and they come off like pathetic attention whores who are having trouble coexisting with bigger, younger, and faster-moving competitors.

October 05 2010 at 1:07 AM Report abuse rate up rate down Reply
macserv

...Aaaand that was supposed to be a reply to the comment below. Whoops.

October 05 2010 at 1:08 AM Report abuse rate up rate down Reply
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