Tumblr Starts Showing Native Ads on it’s iOS & Android Apps

Mark Milian’s LA Times piece from April 2010, ‘Tumblr: We’re pretty opposed to advertising’, quoted company founder David Karp as saying, “…it really turns our stomachs”, when talking about monetizing the now 6-year old company with advertising. But since then things have changed, and Tumblr announced via AdAge early Monday, they will start showing native ads on their mobile platforms for iOS and Android.

tumblr logoAccording to AdAge’s Cotton Delo, advertisers picked to kick-off Tumblr’s new foray into a growing mobile ad market include GE, Warner Bros. and ABC. Perhaps an anecdotal indication that Karp’s stomach doesn’t turn at the thought of using advertising to monetize anymore, is the lack of any Pepto ads to kick things off. But more likely, it’s this months recent eMarketer report showing that mobile ads will be a $7.29 billion opportunity in 2013, and will continue to grow to $16 billion in 2015. This, along with pressure from a board of directors, who i’m guessing is expecting that monetizing via the native advertising route on it’s mobile apps, instead of some of the previous monetization mishaps is a win for them. The one thing that did resonate was the theme marketplace, where designers can sell custom Tumblr themes with the company getting a cut. This actually proved to be unobtrusive and actually benefit the designer, and Tumblr community as well as generate revenue.

emarketer adjusts us mobile ad spending upwards through 2016

And some of the biggest money-makers with mobile ads, at least in terms of social/mobile publishers, are some that also held out on rolling out native ads for their mobile apps. Companies like Twitter and Facebook didn’t roll out native mobile ads until last year, and whose revenue share is now 7.3% and 21.1% respectively for 2012. eMarketer speculates that the rapid success of both Facebook and Twitter in the space is in large part due to their native ad formats, something Tumblr plans to do as well.

In a statement to AdAge, Tumblr head of sales Lee Brown said, “This mobile advertising opportunity is native to how our consumers experience content on our apps; as a continuous stream.”

tumblr animated gif showing how ads on network will look

The ad image for the new movie, The Great Gatsby (above gif) shows how you can tell which stories are ads, as they are denoted with the word ‘sponsored’ and the dollar sign on the top right. Users can reblog, like or interact with this sponsored content just as they would any other Tumblr post. According to an earlier article in CNET, “Tumblr powers more than 100 million blogs and sees more than 90 million posts created each day,” said Karp, who also bragged previously at a PaidContent event that, “…members spend, on average, 14 minutes per visit,” which as noted by CNET is higher than competitors Facebook and Twitter.

For more information about the new changes, you can read the Staff Blog post over at Tumblr here.

Article first published as Tumblr to Start Showing Ads in Android & iOS Mobile Apps on Technorati.

About Geoff Simon

Geoff is owner/operator of Simon Search Marketing. He graduated cum laude with a B.S. in Business Administration from California State Polytechnic University in 2003. Geoff immediately secured employment as an account coordinator with Grey Direct West, (now G2 Direct & Digital) working for Bank of Americas online banking division. From there Geoff has worked in a search marketing capacity for companies including Intermark Group, Disney Interactive Media Group, and Toyota Dealers Association. During his time Geoff has worked on brands including Disney Family, Toyota, Lexus, National Geographic, Red Bull USA Events, That '70s Show and Carsey Werner.
Geoff likes ice-hockey, is a Chicago native and proud dad to his almost 1-year old son Cyrus.
Find Geoff on Google+, Facebook, LinkedIn, or follow his Twitter handle @geoff_simon

Comments

  1. And if you’re on Tumblr, follow me and i’ll follow you back. ; )

    http://gsimon818.tumblr.com/

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