SKAdNetwork Limitations: What iOS Marketers Must Know

If you have ever wondered how advertisers track app installations from ads, they probably refer to Apple's SKAdNetwork. This may sound great for advertisers, but SKAdNetwork has limits that create significant challenges for marketers. If you want to know why, let’s explain it.

Imagine that SKAdNetwork is like the score at a basketball game. Rather than showing the entire game, Apple only displays the final score.

You know something happened to create that score. But you don't know who passed the ball or who made the shot. You also don't know the order in which the players scored.

The limits of SKAdNetwork are clear. Advertisers see results, but they do not know how they achieved them.

The role of Mobile Measurement Partners (MMPs)

It is why partners are a real game-changer. Mobile measurement partner (MMP), focusing strictly on helping developers and advertisers maximize the value of Apple's limited reports.

Imagine trying to complete a puzzle with half the pieces missing. That’s what you get from SKAdNetwork alone. However, with a partner, you get more pieces filled in, so that the entire picture makes sense.

Without a partner, many companies waste tons of money because they can't see their campaigns that actually work. However, those limitations to the SKAdNetwork data don’t feel crushing. You can receive smarter insights, actual data, and ultimately, keep scaling your app without flying blind.

Why the limitations of the SKAdNetwork data really matter

Let’s look at the actual implications of SKAdNetwork limitations. Let’s say you’ve just launched a new mobile game, have spent thousands of dollars, and you want to know:

• Which ad convinced the users to download?
• Did the users spend money in the app?
• Are users staying on the game each day or quickly uninstalling?

The problem is, the SKAdNetwork isn’t telling you those details. You’re faced with:

1. Data delays: Postbacks take 24 to 48 hours to arrive. This creates problems because advertisers cannot act quickly to make decisions.
2. Limited postbacks: Older versions only allowed one postback for each install. This meant you could get one text update from a friend, not the whole story.
3. Campaign caps: Advertisers can only run a fraction of campaigns and can’t test or scale effectively.
4. No user-level data: You cannot know why someone did something. You only see a general summary.

When companies spend billions on ads each year, it creates real challenges for advertisers because of SKAdNetwork limits. Driving in a foggy car feels like moving forward without any visibility.

What is SKAN 4.0 and why does it matter?

Apple acknowledges that marketers require additional assistance and has been working to optimize SKAdNetwork over time. It is the context for SKAN 4.0. So, what does SKAN 4.0 do? Apple is trying to help marketers while keeping consumer privacy in mind.

Here are some things SKAN 4.0 added:

• More postbacks are available. The system can now send up to three postbacks over certain time periods. You will get more information about how the user behaves. This includes if they keep using the app or install it a week later.
• Apple has introduced a way to report data. This method allows users to share evidence without revealing private information.
• Expanded campaign support: The campaign caps have increased from 100 to 10,000 for certain ad networks. A significant gain exists for larger advertisers.
• Keep in mind that even with these enhancements, there will always be limitations unique to the SKAdNetwork. SKAN 4.0 will not solve the problems presented; however, it offers more than a traditional SKAN postback.

Keep in mind that even with these enhancements, there will always be limitations unique to the SKAdNetwork. SKAN 4.0 will not solve the problems presented; however, it offers more than a traditional SKAN postback.

Consider it akin to transitioning from a flip phone to an early version of a smartphone. It doesn't represent a full leap to a top-tier smartphone. Instead, it resembles a fundamental metric and attribution tool, offering features that surpass those available with a flip phone.

The rise of SKAN apps

You may also have heard the phrase "Skan App". "Skan Apps" refers to tools or dashboards designed to make sense of SKAN data. A Skan App collects reports from different ad networks in one place. This helps marketers compare their campaigns easily. 

These tools are helpful, but Apple's rules will always limit the data and insights they can give. They cannot provide data that Apple did not allow in the first place. I am not saying that Skan Apps aren't helpful or that they bypass SKAdNetwork limitations. They work around them, but they will not eliminate them.

Numbers that tell the story

To understand why SKAdNetwork limitations are a significant issue, let's look at it in a broader context.

• As of 2023, global mobile ad spending has surpassed $350 billion, and iOS captures a significant part of that.
• Over sixty percent of advertisers indicate that they are struggling with ROI because of Apple's privacy changes.
• Some companies cut Ad budgets to iOS ad budgets by as much as 30% because they could not clearly follow the results.

How to deal with SKAdNetwork limitations

So, what can you do about it? We can’t change the Apple system, but we can change it.. Here are a few constructive suggestions:

• Utilize an MMP – Instead of trying to create reports by yourself, let a partner help you. They have developed tools specifically to enhance insights within the framework of Apple.
• Focus on creative optimization. Even with little data, you can test which ad creative performs better overall.
• Consider SKAN 4.0 for a wider view. Buy ad spots to track user activity over weeks instead of just days.
• Think about predictive modeling. Many advertisers use AI to predict outcomes when SKAdNetwork does not give enough useful signals.
• Measurement blending means using SKAdNetwork data along with other signals. These signals can include overall revenue or engagement metrics. This approach helps create a clearer picture.

None of these recommendations eliminates the inherent limitations of SKAdNetwork, but they help marketers maintain efficient and effective campaigns.

The balance between privacy and performance

It's also worth taking a moment to step back and ask: Why do these SKAdNetwork limitations exist in the first place? Apple has a deliberate intention to protect the privacy of its users. Instead of letting these companies have the ability to track them every time they tap and swipe, it created the SKAdNetwork as a middle ground advertisers can use to measure their success while protecting their users’ personal, identifiable data.

While this is frustrating in the eyes of marketers, it’s a huge win for the user who does not want to be tracked throughout every app. The real twist comes from balancing the needs of both the advertisers and the users - the advertisers need enough insights to continue to grow their business, while the user deserves some privacy. It is part of the reason why SKAN 4.0 exists, because it can help balance both of these objectives.

Final Thoughts

At the end of the day, make no mistake, SKAdNetwork limitations are not going anywhere anytime soon. They are a part of Apple's ecosystem moving forward, and marketers need to learn how to accommodate that fact. As walk-throughs on certain SKAN 4.0 benefits are to come out, Skan App dashboards are making it much easier to display reports visually, and certain MMPs are ranking better than traditional MMPs that offer far less insight and information; the landscape doesn’t seem too bleak as it once did.

The reality is that the mobile marketing game has completely changed, but it has not ended. Advertisers who are willing to learn and adapt to the limitations of SKAdNetwork and also their marketing strategy will still win.