Unsatisfied with display ad results, advertisers have gravitated toward a new trend in internet marketing: native advertising. Appropriately named, native advertising “goes native” in a sense that it adjusts to its surroundings. Though no concrete definition exists for the term, it’s basically content-based ads that are integrated within the editorial feed.
This infographic from Solve Media offers a comprehensive overview of native advertising and its function for marketers.
Generally, native ads are more engaging, drive higher brand lift, and are consumed the same way in which people view editorial content. Consumers look at native ads 52% more frequently than banner ads and 32% would share a native ad with family and friends. Additionally, 21% more people personally identified with the brand after viewing a native ad. With these statistics, it’s no wonder that an increasing number of marketers are shifting advertising dollars to this digital outlet.
Marketers are obviously looking for ways to build deeper engagement with customers—one prominent way of doing so is through online videos designed specifically as native advertising material. As more internet marketing options become available, banner ads seem shallow, outdated, and ineffective.
Some argue that display advertising is still relevant and effective but the way display ad performance is measured is not. Most marketers look at the click-through rate to determine display advertising effectiveness. However, comparing CTRs is only indicative of audience interest not the overall impact of the ad. Therefore, many still believe that display advertising works, but only when paired with tools that properly measure its impact.
Though the term “native advertising” hasn’t been around long, TV commercials and print ads technically fall under its description. The way people consume television commercials is the same way they consume programming. Long copy print ads are native, for the same reason. Native ads fill up consumers’ attention space and seamlessly flow into their online experiences.
Native advertising is an attempt to make online advertising as good as print or TV ads, and over time, this may become the case. Demand for native advertising is booming as ad executives pour money into this digital outlet. Practically everyone is doing it and the results are positive—so why not hop on the bandwagon and capitalize on the latest trend in online marketing?