What are the implications of native advertising?

True native ads match the design, layout and experience of your environment. When consumers are presented with branded content in a highly organic and non-promotional way, they are more likely to engage and eventually convert than when presented with standard display content. Consumers see native ads 53% more than display ads. Native ads generate an 18% increase in purchase intent, and visual engagement with native ads is the same, if not slightly higher, than original editorial content.

Native advertising has been found to deceive readers. Ultimately, the trust they work hard for can be compromised by the creation and dissemination of native ads. With the act of reading, native ads take advantage of more brain space. They offer more focus, more time, more meaning, more subconscious impact and more conscious impact.

Branded content created by an advertiser and uploaded to that advertiser's YouTube channel is not native. The microsite visualizes the superiority of native ads over banner ads and details how brands can optimize them to increase retention, shareability, and brand affinity. This is mainly due to the fact that native advertising uses the format and style of digital content to promote a certain content or product. After publishers worked to manage demands for branded content production, the challenge became to organize the ways in which native ads would actually occur.

Researchers found that while their participants believed that native advertising was a necessity in the financial sustainability of the modern news model, professionals in the field generally considered it unethical. However, native ads are placed within users' feeds, becoming part of the experience of consuming relevant content. Native ads have performed particularly well for advertisers in the categories of pets, food and beverages, and family and parenting brands, as shown in the graph below. Measuring the performance and sustainability (with higher renewal rates) of native campaigns is one of the most difficult challenges for advertisers to overcome.

Based on metadata, SSP selects the winning bid and instantly configures the native ad using a template design to fit the website or app. Rather, the problem with native advertising is that it achieves exactly what it sets out to do, it seems as reliable and well-informed as real news. The key to native advertising is that it is not disruptive: it exposes the reader to advertising content without standing out like a sore finger. This study is important research into the power of native advertising and provides best practices for publishers and advertisers to make their native ads work harder.

This can come at the cost of promoting editorial content, as both real news and native ads compete for the reader's attention. Sarah McGrew co-leads the Civic Online Reasoning project at stanford university and conducted a study on native advertising that looked at how high school students respond to this form of commercial content.

Patti Goldenman
Patti Goldenman

General bacon lover. Hipster-friendly travel guru. Proud bacon ninja. Incurable zombie trailblazer. Professional bacon fanatic.

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