After 15+ years with no ads, Apple Maps is starting to show sponsored results in the mapping interface. In the latest episode of BIA’s Leading Local Insights Podcast (audio and video embedded below), Celine Matthiessen and I break down why Apple is doing this and what it means for local media players. For broadcasters, radio groups, publishers, and agencies, the short answer is that there’s more opportunity than threat. Apple is courting the same local advertisers they call on every day, but it’s also opening the door for them to resell Apple Maps as part of their own multi-channel packages.
So what does this look like? The initial Apple Maps ads rollout focuses on two ad placements. The first is before you search, and the second is after you search. The former lives within Apple’s new “Suggested Places” feature in Apple Maps. The latter involves sponsored results on the map itself, represented by map pins with a blue halo.
In both cases, this is classic high-intent local discovery. But what differentiates it is Apple’s massive reach, to the tune of 1 billion+ iOS devices, and unique access to Millennials and Gen Z, who Apple says make up 57% of Maps users. Apple claims it uniquely reaches these segments while tapping into high intent and performance.
But beyond the what and how, an equally important question is why? Here, the move aligns with a string of other moves from Apple to diversify revenue as its cash cow – the iPhone itself – matures and revenue decelerates. So far, this includes “services” (Apple Music, Apple TV, iCloud, etc.) and advertising (app install ads and now “mapvertising”).
As for advertiser categories best positioned for Apple Maps, it’s all about things you go to as a consumer, as opposed to things that come to you. That means restaurants, bars, salons, coffee shops, and fuel. Conversely, home services aren’t as relevant. In fact, home services are banned from the program (listen to the episode to hear our theories on why).
It’s also notable that Apple Maps advertising is local-business-friendly. It has attainable, performance-based (risk-free) pricing, and it’s offering $150 in ad credits to get started. Any business with an Apple Business Connect account can take part. That program is similar to Google Business Profiles (GBP): any business can claim its listing and get started.
That brings us to local media sellers, agencies, and anyone else on the sell side. Apple is going after the same restaurants, retailers, salons, and other main-street businesses they call on every day, and some of those businesses will self-serve directly, just as they do with Google.
But this is also an opening. Apple’s new program is yet another option for local businesses in an increasingly fragmented local media mix. The more options there are, the bigger the paradox of choice, and that underscores the one-stop-shop appeal of local media companies: “we’ll manage it all for you.”
For media companies to add Apple Maps to their bundles, broadcasters, radio groups, publishers, and digital agencies can choose between Apple’s agency-centric packages or an API that brings campaign management right into their own platforms. Both options let them add Apple Maps to multi-channel local advertising packages and sweeten the pot. With Apple’s reach among Gen Z and Millennial iPhone users, it could also extend audiences that their current media mix misses. In other words, Apple Maps can be one more product in the bundle.
Of course, there’s a lot more to it, so listen to the full episode or watch the video below.
