{"id":47986,"date":"2022-08-09T14:15:20","date_gmt":"2022-08-09T14:15:20","guid":{"rendered":"https:\/\/packetstormsecurity.com\/news\/view\/33709\/Small-Businesses-Count-Cost-Of-Apples-Privacy-Changes.html"},"modified":"2022-08-09T14:15:20","modified_gmt":"2022-08-09T14:15:20","slug":"small-businesses-count-cost-of-apples-privacy-changes","status":"publish","type":"post","link":"https:\/\/www.threatshub.org\/blog\/small-businesses-count-cost-of-apples-privacy-changes\/","title":{"rendered":"Small Businesses Count Cost Of Apple&#8217;s Privacy Changes"},"content":{"rendered":"<figure class=\"intro-image intro-left\"> <img decoding=\"async\" src=\"https:\/\/cdn.arstechnica.net\/wp-content\/uploads\/2022\/08\/storefront-800x533.jpg\" alt=\"Small businesses count cost of Apple\u2019s privacy changes\"><figcaption class=\"caption\"><\/figcaption><\/figure>\n<aside id=\"social-left\" class=\"social-left\" aria-label=\"Read the comments or share this article\"> <a title=\"130 posters participating\" class=\"comment-count icon-comment-bubble-down\" href=\"https:\/\/arstechnica.com\/gadgets\/2022\/08\/small-businesses-count-cost-of-apples-privacy-changes\/?comments=1\"> <\/p>\n<h4 class=\"comment-count-before\">reader comments<\/h4>\n<p> <span class=\"comment-count-number\">228<\/span> <span class=\"visually-hidden\"> with 130 posters participating<\/span> <\/a> <\/p>\n<div class=\"share-links\">\n<h4>Share this story<\/h4>\n<\/p><\/div>\n<\/aside>\n<p> <!-- cache hit 536:single\/related:ff4716c6a4842aa7c750b8e5892eddf7 --><!-- empty --><\/p>\n<p>Small businesses are cutting back marketing spending due to Apple\u2019s sweeping privacy changes that have made it harder to target new customers online, in a growing trend that has led to billions of dollars in lost revenues for platforms like Facebook.<\/p>\n<p>Apple last year began forcing app developers to get permission to track users and serve them personalized ads on iPhones and iPads in changes that have transformed the online advertising sector.<\/p>\n<p>Many small companies that are reliant on online ads to attract new customers told the Financial Times they did not initially notice the full impact of Apple\u2019s restrictions until recent months, when price inflation squeezed consumer demand in major markets worldwide.<\/p>\n<p>That has left companies suddenly shrinking their marketing spend to conserve cash while also finding it prohibitively expensive to target likely consumers as they once did.<\/p>\n<p>The problems facing small businesses have reverberated back across the online advertising giants. Facebook, Snap, Twitter, and YouTube are now estimated to lose $18 billion in revenues this year from Apple\u2019s change, according to Lotame, the advertising technology company. Facebook\u2019s parent Meta has been particularly badly hit, saying earlier this year that Apple\u2019s changes had cost it at least $10 billion.<\/p>\n<p>\u201cI personally did not feel the impact of the Apple changes in 2021 as much as we are in 2022. This year is just brutal,\u201d said Nadia Martinez, founder of Kallie, a handcrafted shoes company in California that she launched out of her laundry room in 2014.<\/p>\n<p>Martinez was so successful marketing on Facebook that she founded an agency to teach other women how to be online entrepreneurs. But some of those businesses are now going out of business. \u201cAds have become more expensive, we have less access to data, and they aren\u2019t as effective as they used to be,\u201d she said.<\/p>\n<aside class=\"ad_wrapper\" aria-label=\"In Content advertisement\"> <span class=\"ad_notice\">Advertisement <\/span> <\/aside>\n<p>Varos, a data-sharing platform that helps e-commerce groups, analyzed data from 1,300 small businesses and found that revenue declines accelerated each month in the second quarter\u2014leading to a 13 percent drop in June, the worst decline of this year. At the same time, the cost to acquire new customers through online advertising is \u201csignificantly higher\u201d this year than last, and overall ad-spend on Facebook this year is \u201cmaterially lower.\u201d<\/p>\n<figure class=\"image shortcode-img right medium\"><a href=\"https:\/\/cdn.arstechnica.net\/wp-content\/uploads\/2021\/01\/apple_privacy-day_facebook_01282021.jpg\" class=\"enlarge\" data-height=\"4200\" data-width=\"3000\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/cdn.arstechnica.net\/wp-content\/uploads\/2021\/01\/apple_privacy-day_facebook_01282021-300x420.jpg\" width=\"300\" height=\"420\" srcset=\"https:\/\/cdn.arstechnica.net\/wp-content\/uploads\/2021\/01\/apple_privacy-day_facebook_01282021-640x896.jpg 2x\"><\/a><figcaption class=\"caption\"><\/figcaption><\/figure>\n<p>Shelly Cove, an apparel company in North Carolina, laid off its four-person marketing team last month when its cash reserves dried up and it realized spending more money on Facebook ads wouldn\u2019t ramp up sales like it used to.<\/p>\n<p>\u201cIn prior years, you could throw money into Facebook\u2014you\u2019d put $1 in, and $2 comes back,\u201d said Matt Schroeder, Shelly Cove founder. \u201cThat just doesn\u2019t exist anymore.\u201d<\/p>\n<p>Smaller brands said they were not necessarily hit by Apple\u2019s policy changes later than the major platforms, but supply chain issues and a global pandemic created a \u201cfog of war\u201d that made it difficult to understand why, for instance, last year\u2019s holiday sales period had disappointed.<\/p>\n<p>\u201cIt was really hard in 2021 to sit back, look at a percentage change, and know what was the cause,\u201d said Andrew Goble, co-CEO at Jamby\u2019s, which sells unisex boxer shorts with pockets.<\/p>\n<p>The result is that many smaller brands did not alter their marketing strategies until recently to the detriment of online advertising platforms. Last month, Snap reported its weakest-ever quarterly sales growth, Shopify laid off 10 percent of its workforce, Meta experienced its first-ever annual contraction in revenues and Twitter posted a loss.<\/p>\n<p> READ MORE <a href=\"https:\/\/packetstormsecurity.com\/news\/view\/33709\/Small-Businesses-Count-Cost-Of-Apples-Privacy-Changes.html\">HERE<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>READ MORE HERE&#8230;<\/p>\n","protected":false},"author":2,"featured_media":47987,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"colormag_page_layout":"default_layout","footnotes":""},"categories":[60],"tags":[10144],"class_list":["post-47986","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-packet-storm","tag-headlineprivacyphonespywareapplefacebook"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.8 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ 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