ARCHIVES: This is legacy content from before Marketing Dive acquired Mobile Marketer in early 2017. Some information, such as publication dates, may not have migrated over. Check out the new Marketing Dive site for the latest marketing news.

Is Apple screwing up location-based advertising opportunities?

Apple is losing credibility with its latest maps malfunction, and as the ever-increasing dependency on mobile search continues to grow, the manufacturing giant needs to get its act together and make a bigger impact on its next attempt.

With Apple?s latest i06 software update, Google Maps has been replaced with the company?s maps application. Ever since, Apple has received scrutiny from both marketers and consumers due to the many glitches the feature has ? proving to be even more impactful for location-based opportunities going forward.

?Without question, this is a very un-Apple like mistake,? said Scott Forshay, mobile and emerging technologies strategist at Acquity Group, Austin,TX. ?For a company who was the single most influential catalyst in the development of the mobile market as we know it today to, in essence, suggest that mapping capabilities are non-essential to the mobile user experience, is mind boggling.

?One of the single most powerful differentiated elements of the mobile medium is its location-awareness capabilities,? he said. ?Certainly advertisers with plans for venturing more concertedly into mobile will be forced to reevaluate their strategies, given the serious impediment this presents to contextually-relevant, just-in-time ad models. 

?To negate this unique and essential function will seriously impair calls-to-action in mobile ads designed to drive traffic to stores.?

Mobile glitches
The biggest impact that will be felt from Apple?s new maps is the impact on localized search.

All trends indicate an ever-increasing dependency on mobile search and a large percentage of mobile inquiries have a location element.

Consumers are increasingly turning to their mobile devices to make search queries and there were no problems or backlashes when Google Maps was available as the default.

However, since Apple?s new maps emerged, new problems have been arising daily.

The problems will prove to be even more impactful when it will come to marketers create location-based campaigns ? a trend that has been rapidly growing.

Everything nowadays is about location, therefore, if there is a glitch of some sort ? it will be a problem for both marketers and consumers.

?Apple has always been a design culture focused on user experience,? Mr. Forshay said. ?To go to market with such an inferior core function unique to the mobile experience is seemingly counter to everything the brand stands for.

?Maps will always be an essential element in active state search,? he said. ?Big browser search isn't going away anytime soon and tablet devices don't necessarily represent the optimal medium for just-in-time contextual search.

?Maps solve a use case most specific to searchers on the go, or about to be, which is ideal for the mobile medium.?

Emerging technologies
According to Michael Burke, cofounder/president of adtivity by appssavvy, New York, Apple clearly has some work to do to increase the user experience and functionality of its maps feature.

?Outside of the new map application, there are still a lot of opportunities across the iPhone and mobile in general to reach someone at the right time based on where they are and what they are doing,? Mr. Burke said. 

?For a company that has a reputation of launching flawless products, a clunky maps application is a surprise if not a disappointment,? he said. ?With that, mapping the world is not easy. ?Google had its maps product in beta for years.

?Apple will get it right over time. In the meantime, they should encourage better map apps for their loyal users from third-party developers.

Future of search
Maps is the future of search.

In the past year, marketers have incorporated some form of location-based technology into their strategies.

And, it is important for Apple to figure out how to make its maps functionality better ? for both the user and marketer.

?The app ecosystem provides direct access to search for the information you need,? Mr. Burke said. ?Just like you don't use a general search tool bar for ?what's weather in New York??

?You instead go to your favorite weather app ? you'll do the same for where to find out where you want to go and how to get there from you favorite map app,? he said. 

Apple has always put user experience in front of advertising revenue.

"Location-based advertising is much more than showing ads on maps ? it?s about personalizing marketing messages based on real-time location and making it easier for consumers to buy what they want," said Blair Swedeen, vice president of business development at Placecast, San Francisco.

"Passbook is as important as maps and they should work together," he said. "Apple will get it right eventually.

"I think the market?s reaction to the issues with Apple Maps shows how high the bar is set with consumers when it comes to accuracy and richness in mobile maps. Apple is a great company. I?m sure they will bounce back from this misstep as long as they invest in the necessary assets and specialized skill sets to match Google."

Additionally, the executive believes that maps are the enabler for connecting buyers and sellers in the real world, whether through search or some other method.

"Apple and the rest of the market are building towards enabling commerce in the real world, where the mobile device sits at the center of the shopping, loyalty and payments experience," Mr. Swedeen said.

"Passbook is Apple?s first salvo, with geo-fenced alerts, coupons and loyalty cards - all tied to the map," he said.

Final Take
Rimma Kats is associate editor on Mobile Marketer, New York