Background: Apple is the $3.7 trillion USD behemoth that rolled out hits like Mac computers, iPods, iPads, iPhones, Apple Watches, MacBooks, and a whole lot more. Not to mention its growing software ecosystem like Apple TV+, the App Store, Apple Music, and iCloud. But to be honest, Apple Maps has long been the less-appealing-cousin of Google Maps.

What happened: Now, Apple is planning to monetise its Maps app by rolling out paid ads inside Apple Maps from the middle of this year. That means businesses can pay to appear at the top of search results. And this puts Apple in a much more direct competition with Google, the long-time king of search ads.

What else: The rollout will start in the US and Canada, but if it works, expect this model to go global pretty quickly. Ultimately, Apple is chasing intent-based advertising, which has been Google's bread and butter for years.  

What's the key learning?

💡 Intent-based advertising is all about catching someone at the exact moment they're ready to take action. It's the difference between scrolling Instagram and being hit with an ad versus searching "best Thai food near me" - the former is passive, while the latter is ready-to-buy.

💡 Intent-driven ads convert significantly better, and advertisers pay for that. Search ads convert at around 4.4% compared to just 0.57% for display ads, which is why they're so valuable.

💡 That's why Big Tech is fighting for this space. Google Maps alone is estimated to generate $11.1 billion USD annually.  And since Apple has 2.5 billion active devices globally, it means it's flicking on a billboard in everyone's pocket.