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  • Sunday, 14 July 2024
App Store Fee

Apple's 30% App Store Fee Now Applies to Facebook Ads in More Regions

This is an important announcement for those who advertise on Facebook and Instagram Ads on iPhone and other iOS devices. Next week Apple will begin charging developers 30% fee on in-app ad purchase made on iPhones and iPads. This fee goes directly to Apple and will contribute to the overall cost of your ad campaigns.

Interestingly, there is a way around it. If you buy your ads directly on the official Facebook or Instagram websites, through their official web addresses, namely facebook. com or instagram. com, on a desktop computer, you will not have to pay this extra 30% fee. This option is similar to in-app purchases but with one drawback it does not cost any extra money.

Meta Criticizes Apple’s Fee Structure

Facebook’s parent company Meta has strongly criticized Apple’s new policies related to fee charges. Meta’s Director of Privacy & Fairness Policy, Pedro Pavón, states that the 30% fee puts Apple at an advantage and reduces competition in the market. Pavón also points out some potential harms for users and businesses, calling for lower fees and more options for consumers.

He further reiterates that Meta is not the only company that is struggling in this fight. As it stands, regulators in the EU have sued Apple and a US federal judge has accused the company of failing to adhere to court orders regarding its App Store fees.

Impact and Potential Solutions

As of now, Apple has its in-app ad fee policy still implemented. The most straightforward decision an advertiser can make is to start buying ad space on a desktop instead. Nevertheless, this may not always be possible particularly for people who administer campaigns in the course of the day.

Apple also counters that it gives access to a large market in exchange for a fee for using its app store platform. However, this view has been criticized by players such as Epic Games, who sued Apple over App Store commissions.

In the case of Epic Games, there were some victories, for example, Apple agreed to let app developers provide links to external payment methods, but these changes are only partial and are accompanied by new rules set by Apple. For now, these concessions are available only in the United States.

Adapting Your Advertising Strategy

Apple’s decision to charge a 30% fee requires changes for advertisers who conduct in-app ad purchases on iOS devices. It is also possible to reduce the extra costs by carefully considering your advertising workflow and trying other types of purchases, such as desktop website purchases.

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