Native advertising is a unique tactic that looks more like content on a site than a traditional display ad does. As such, it can drive better engagement and click-through rates (CTR) for many advertisers. So, is it automatically better than display ads? Not definitively — it depends on your customer’s goals, industry, audience and more.
You can effectively use display ads to promote offers, and they are great for geotargeting. Native ads can work better for categories that create more educational content or have longer buying cycles. Ideally, you could use both to drive conversions. Native ads do help content with ad blindness.
Native Advertising Combats Ad Blindness
Modern life means exposure to lots of ads. However, more people are using ad-blocking technology, and the adoption of it will continue. Additionally, apps that serve display ads are increasingly offering ad-free subscription options.
It’s not only the active blocking of ads that makes display ads “invisible” to some consumers. There’s a phenomenon called ad blindness. People subconsciously block banner ads from their purview. It’s a form of selective attention. Display ads can certainly get the attention of audiences with great design and relevant offers. Native ads are a great tactic to use to counter ad blindness.
Native Ads Are Hiding in Plain Sight
The beauty of native ads is that they look like content, seamlessly fitting into feeds, listings and content recommendations. They also complement the look and format of the media where they appear. Because of their format and content, which is usually informational, native ads get a lot of ROI.
Some native advertising ROI stats:
- Consumers look at native ads 53% more than display ads.
- Native ads contribute an 18% lift in purchase intent as opposed to other ad types.
- Native ads have a CTR 8.8 times greater than that of display ads.
- 68% of consumers trust native ads when in an editorial context.
- Trust-based, educational native advertising has a five to 10 times greater CTR than “push” marketing.
- Native ads are 62% easier to understand than display ads.
Native Advertising ROI: Contextual Targeting and Brand Safety
Another aspect of native advertising ROI is something that’s not exactly quantifiable. It can help advertisers with contextual targeting, which isn’t dependent on third-party cookies. Instead, contextual targeting aligns ad content with a website’s content. Thus, the audiences your customer wants to reach would most likely view those websites. For example, local restaurants could appear on foodie websites. The local nursery may appear on landscaping publications.
With these “links” and ad placement on premium, reputable websites, you’ll also be helping your customer protect their brand’s reputation (i.e., brand safety).
Native Ads Tell Stories and Build Trust
Native ads also have the advantage of being a medium for storytelling. For your customers that have fascinating tales about their business, products or people, native ads can be a great outlet. When brands tell stories, they often build trust with audiences. That trust correlates to customer loyalty and increased spending. This tactic has the unique ability to do this much more than display ads.
Generate More ROI for Local Advertisers with Native Advertising
Native advertising allows your customers to tell stories, cultivate trust, protect their brand and drive engagement. According to data, they have a high ROI. However, it’s not either-or. You can recommend both to your advertisers, deploying each as part of an integrated campaign.
Get more insights on the tactic by reading What Industries Are a Good Fit for Native Advertising?