Recently, more companies have turned to native advertising to promote their brands as it has proven to be more profitable compared to traditional online advertising so far.
Native ads are types of online advertising that matches the form and function of the platform on which it appears. It can increase brand lift as much as 82% and purchase intent is 53% higher due to the reason that native ads are viewed by people more frequently than traditional ads. Aside from being beneficial to brands, these ads could also fit for publications, thus the native advertising industry is projected to reach $4.6 billion revenue by 2017.
Types of Native Ads
The following are native advertising options classified into 6 distinct categories by the Advertising Board:
1. Content Recommendation Engine Widgets
Content recommendation widgets are good for publishers who want to increase their audience by allowing brands to leverage the audiences and drive back traffic into their sites. This is characterized by widgets often appearing at the end of many articles that says “Recommended for you” or “You May Also Like.”
2. Promoted Listings
Promoted listings are advertising services intended to put the publisher’s best merchandise in front of more buyers when they’re actively searching and shopping on online shops increasing item visibility and the likelihood of a sale. Promoted listings are used by e-commerce sites to feature sponsored products first, generally on a category page. Sellers like eBay no longer charge customers for promoted listings until the listing generates a sale making this native ad category more cost effective.
3. Paid Search Ads
Paid search ads are utilized both for engine marketing and within search results for individual domains. It is a type of contextual advertising where Web site owners pay an advertising fee, usually based on click-throughs or ad views to have their Web site search results shown in top placement on search engine result pages.
4. In-Feed Units
In-feed units promote sponsored content within a publication’s natural index of articles. Readers see sponsored content from advertisers in addition to seeing original content as part of a stream or gallery. The content in in-feed ads is usually marked as sponsored, but it blends into the publisher’s native experience.
5. In-Ad with Native Elements
This kind of native advertising resembles a standard ad, yet it has noteworthy contextual relevancy with the publisher. For instance, a food brand may promote its own particular recipes on sites that publish user-generated recipes such as AllRecipes.com, or by other articles containing generic recipes.
6. Custom Ads
Custom ads are targeted to a person’s browsing activity, such as the types of content the person accessed, ads the person clicked, and searches the person conducted. Based on this, brands infer certain interests the person has, and show ads likely to meet the person’s needs
As more publishers open up in native ad positions to marketers, they’re discovering new ways to fully monetize these placements; yet, recent FTC statements indicate the agency is keeping an eye on native advertising in the interest of protecting consumers and emphasized that misleading advertising could hold not just the advertisers but the publishers as well.