uPDaTE april 2014
NaTivE aDvErTiSiNg Sum m ary Advertisers are looking for alternatives to conventional display advertising campaigns as consumers become more immune to them and click-through rates decrease. Thus, publishers are increasingly offering Native Advertising formats which seamlessly integrate with a website’s original content. Critics see this as a threat to editorial independence. Nonetheless, 78 % of publishers and 61 % of brands worldwide plan to use Native Advertising 1
Native Ads can be displayed easily on small mobile screens, which further increases their relevance.
DEfiNiTioN The term Native advertising describes high-value content created or commissioned by brands, which is integrated into a website’s look and feel. Platforms such as Buzzfeed rely solely on Native advertising. Lately, an increasing number of traditional publishers have jumped on the bandwagon and started selling Native ads (e.g. NyT, WSJ, forbes).
Promoted links in search results
Content sponsored by companies for newsletters addressing a niche topic
Promoted posts in social media, integrated into the newsfeed
First print ads made to look like articles in the Hawaiian Star Advertiser 2
Promoted product listings in search results
Stories on general interest topics produced by companies blend with other content
Sources: 1Hexagam/Spada (2013), 2The Awl (2013)
Ads in form of online articles
Ex a mPLES o f N aT i v E
The brand MINI reached 1.3 m social actions with the most successful Native Advertising campaign to date 4
of U.S. consumers notice Native Ads more frequently than traditional banner ads 5
of publishers in the United States offer Native Advertising on their platforms 6
78 61 46 34
Expected worldwide use of Native advertising: 2013 vs. 20143 (in percent)
Video recommendations in search results
Sponsored playlists Playlists’ cover photos can be linked to URLs, playlists can be created by companies
Posts produced by companies blend into original content
Difference to Content marketing Sponsored listings
Ads corresponding to look & feel of third party website
Which formats are used?
Third party publisher sites like Buzzfeed or on social media
Where is the content hosted?
Sponsored posts in text, picture and video formats
What do these ads look like?
Content creation and advertising space on third party website
How do costs for advertisers occur?
Agencies, publishers and perhaps companies themselves
Who creates these ads?
Advertised listings are shown in search results
Content posted on company’s own web properties
Brand’s own website, blog or newsletter
Mainly text with pictures, videos or charts
Stories produced by companies mix with other content
Sponsored links Promoted links appear within search results
Content creation, hosting, administration
Companies and brands, agencies
Sources: 3 Hexagram/Spada (2013): sample size > 1000, 4 Native Advertising Leaderboard (2013), 5 Sharethrough (2013), 6 Online Publisher Association (2013)
Newcomers and traditional media BuzzfEED