Native Advertising – The New Black

What Is Native Advertising?

Native advertising has been defined as a form of paid media that seamlessly integrates with the form and function of a site to contribute value to the user experience.

By way of example, a native ad might be an ad for energy-efficient light bulbs that appears within or next to an article on types of energy efficient light bulbs and their uses. In short, the native advertising is contextually relevant to the website page.

As more and more web users become “banner blind” advertisers are striving for a new way to reach viewers. While banner click through has dropped to 2%, its lowest rate ever, native advertising is proving to be more effective.

  • 52% of people who click on native ads have purchase intent, compared to only 34% for banner ads.
  • 70% want to learn about products through content rather than traditional advertising.
  • 75% of publishers already offer some type of native advertising, with 90% saying they either have or will consider it.

Native Ads Receive More Reader Attention than Banner Ads

A recent study conducted by Snarethrough and Nielsen showed that during videos simulating content scroll through, EEG  and eye-tracking testing showed that in-feed native ads received 25% more attention that in-feed banner advertising. On tablets the native advertising received nearly 50% more attention.

For more information, see the study results at MarketingProfs.

Recent Trends in Direct Marketing

Email, Phone and Direct Mail Continue to Lead the Pack

According to Direct Marketing News, two old standbys—email and phone—continue to provide the
highest response rates. In fact, the latest findings from December and January show that email, phone
and direct mail continue to provide better response rates and ROI than trendy recent darlings social
media and mobile.

A few study highlights:

  • Email, while not the winner in response rate, shines in ROI due to its low cost. Not surprising,
  • campaigns conducted using in-house lists outperform those that use prospect lists.
  • Direct Mail outperformed all digital media for response rates.
  • Online display advertising came in last among the digital options.
  • Phone calls registered the highest response rate and one of the highest ROI percentages.

Data-Driven Personalization Has Big Impact for Email Marketing

Despite its promise of improved returns, data and analytics continue to be under-utilized by email
marketers. Big Data—that plethora of information that companies house across multiple
databases—continues to remain elusive, yet has such promise. For those still struggling to get a handle
on how data can come together to improve campaign effectiveness, start simple; begin with the basics,
like a personalized greeting, then branch out from there. Once you have a handle on the basics,
continue to take small steps to get to emails that are highly targeted and effective.

Mobile Marketing: Now Is the Time

Our love of smartphones is changing how we shop and buy and marketers need to keep their eye on the
ball. A few key trends:

Apps are the new cookie. Since cookies can’t be used to facilitate engagement, now may be the time to
engage people via an app, while we’re all still app-happy.

Enter the trend of Webrooming. The opposite of showrooming (shopping bricks and mortar, then
buying on the web), this is when consumers shop the web, then get local stores to price match, thus
avoiding shipping delays and cost.

In-location marketing is a new darling. With smartphones you can know when a consumer is in physical
proximity to your product in-store. That’s the time to deliver that compelling offer or content, not after
they’ve purchased a competitors product.

“Marketers will need to master mobile marketing in 2015. Not as a channel or tactic, but as a way to be
part of customer moments, both on- and offline. In those moments brands must be relevant, useful, and
delightful. To accomplish this marketers must have the ability to extract meaning from mobile analytics
and deliver just the right content. Mobile takes marketing agility, customer insight, and content brevity
to the next level. Mobile is bootcamp for marketing. If you master mobile, you’ll become a stronger
marketer and brand overall.”

–Loni Stark, director, product and industry marketing, Adobe