Native Advertising: Meaning, Types, and Examples

Posted on Categories:Advertisement, Business Marketing
Native Advertising

Native advertising is new in the market very few people are knowing about this, Let’s dwell in it to understand the same.

The market is becoming more and more competitive day by day, as more and more competitors are coming into the market. Users also seek to ignore the traditional advertisement and it is obvious that’s a painful time for marketers. Because of which they are following different types of content marketing strategies. But wait native advertisement is the solution for this…

This is a new type of online advertising, which we will cover in this blog. Advertising has always been an essential piece of marketing. The use of advertisements has also gained rapid growth over the years.

Each time you view a website, you are certain to find advertisements. Although it is true that you will find advertisements more on business sites, however, there are several non-business sites that integrate ads as well. 

effective native advertising

This is especially the case if you own a particular business. The process of digital native advertising is basically using the paid advertisements that can match the entire functionality and look and feel of the particular media format where these ads are going to appear.

What is Native Advertisement?

Native Advertisement is a paid form of advertisement that matches the look of the media format in which they appear. You may generally found it on many social media platforms like Facebook, Instagram, Snapchat and many other prominent ones.

Source- Tinuiti

You can also see a native advertisement in the form of recommendations for other web content. The advantage of this format of advertising is that it is not disruptive as users can roll their screen while seeing this type of advertisement.

Why Native Advertising is Chosen by Marketers?

The traditional advertisement is moving towards its end because they are highly irritating and degrades the user experience. But if we are talking about a native advertisement they are at its peak because they are user-friendly and have a huge rate of engagements and CTR.

Quite often, you will see native advertisements network on social media feeds, in addition to being displayed on web pages of a particular site. Unlike the other options such as banner ads and display ads, the native ads do not have any resemblance to advertisements. 

Source- Business insider

They basically have the look and feel of a particular editorial of any page. One of the key elements in native advertising is its non-disruptive layout. In other words, the advertising content of the brand will basically be exposed to the reader but in a very decent yet effective way.

Marketers have a quintessential use of such native content advertising on websites in order to promote products and services and hence, grow their business. One of the many possible reasons why people use native marketing so much is because it really works most of the time.

Is a native advertisement effective for marketers?

Native ads are showing a hike in their popularity among savvy marketers because of their distinct features. Due to the ability to fulfill the needs of both sides, the native advertisement has gained rapid popularity among both publishers and advertisers.

native advertising infographics
Source- Econtent mag

Another thing to notice is that native ads have the ability to increase purchase intent by 18%. Also, the original editorials and the native ads have almost the same visual engagement or there might be a chance that the visual engagement of the native content ads is higher than the editorials. 

Another one of the possible reasons why digital native advertising is so popular amongst the people is that it helps in fighting ad fatigue. We all know that ad fatigue is a very common thing that happens on the Internet.

So because of these popular reasons, Native Advertisement is rolling its legs in the advertisement market more drastically and the likeliness of this type of ad is increasing in a dramatic way in 2020.

Researches Regarding Native Advertisement

Source- Emarketer
  • By 2021 Emarketer estimates that there is 88% of digital display dollars will transact programmatically.
  • More than two-thirds of the automated dollar will go to mobile and 88.8% of native ads will become more mobile and 87.7% of native ads will be purchased programmatically.
  • The shares of native that comes from social will slightly decline from 76.6% in 2018 to 73.5% in 2020.
  • One more forecast done for this year (2020) is that there is a growth of 20.2% i.e 52.75 billion in US native display ads.
  • According to The Drum, the engagement rate is 50% higher on premium editorial sites than on other free browsing sites.
  • Consumers look at 53% more frequently on native ads than on traditional display ads.

Six Types of Native advertisement to be known by every “marketer”

Native ads market is increasing day by day so there must be a need for understanding which type of ad is useful for your market. Publishers are always in search of the best way to monetize their website and the advertisers are always in a seek of reaching their potential audience in a less intrusive way for which native advertisement is the best format of the advertisement.

Before dwelling deep we must know the best and suitable format available for the different marketers.

Authority Note By IAB,

According to the Interactive Advertising Bureau, there are mainly six formats of native ad units to achieve native advertising objectives.

1. In-Feed Native Ads

In-feed ads are those types of native ads that are promoted in the publisher’s working space in a natural format. The only difference between the publisher’s content and native ads is that in a native ad it is marked somewhere that it is a sponsored content. But don’t think that sponsored posts and native advertisements are the same. There is a huge difference between both of them. The content of these sponsored posts may be either written by the publisher or by the advertiser or in collaboration with both.

2. Promoted Listings

This type of listing is mainly promoted by e-commerce websites in which a special type of product is promoted for its sale purpose. In this form of marketing, the sellers promote their product by showing their merchandise in front of buyers where they are searching and shopping.

These promotions can be in the form of a best seller, moderate performer, new listing or seasonal items. These types of services increase the item’s visibility and the likelihood of a sale.

3. Content Recommendation Widgets

Content recommendation widgets are those types of native advertisement format that are helpful in delivering paid or ad content link via a special format known as “widgets”. These types of recommendation widgets can be seen in the bold type with a heading like- “You might also like” or “You may like” or “Recommended for you”.

recommendation widgets of native ads

In this format, the company is providing the third party name which to further indicate that this widget is not coming from the publisher rather than that it is coming from the third party may be from Outbrain or Taboola

4. Custom Content Units

This is a term developed by IAB for all the contextual ads. These are a special type of Ad format that does not fit in any other format or are curated after knowing the user preferences.

In this field, Tumblr, Pandora, Spotify are some of the prominent ones. In this mainly the publisher emphasis on some of the products or service of the advertiser.

5. Paid search ads

This format is mainly used in browsers to promote a business by listing higher in the SERP page. Mainly this procedure is known as SEM(Search Engine Marketing) which is done by ad formulator to get more CTR for the generation of more business and popularity.

These searches ad unit changes according to the searcher’s current location or according to its preferences for certain businesses.

6. Display Ad with Native Elements

This is a distinct type of ad format which matches the site’s content on which they appear. This type of ad is just similar to the ad you might see online. In this format, your native ad looks similar to the content which you or someone is reading.

Because of having similar content the engagement rate also increases for the product or brand.

Use of Native Advertising

Day by day competition is increasing in a skyrocketing way and in a similar way consumption of content is also increasing. According to Emarketer, an average US adult spends more than 12 hours in consuming content from media.

Because of that much rush and content in everyone’s life, no one is likely to waste there time on seeing display ads. Generally, people install ad-blocking software to remove ads from their system.

use of native advertising

And here the usefulness of native ads starts, native ads are designed not to look like an ad as the traditional one. The special quality of these types of ads is that they even do not look similar but also have 20-60% more engagement rates than the traditional one.

Even more than the standard banners that pop up every single time you open a particular website, it is seen that people are more interested in looking at the native ads that are placed. 

Results show that 25% more people tend to watch native ads than others. One of the best things about native ads is that they resemble the editorials and hence have got a following that is pretty much similar to the editorials as well. 

Examples of Native Advertisement

1. Tik Tok Promotion(In-Feed Native ads example)

tik tok promotion in feed ads
Source- Buzzfeed

This is a promotion of the Tik Tok ads platform wherein you can promote your products on this platform. This is a snippet from the BuzzFeed platform where you can find multiple in-feed promotions. You can also see these types of promotions on your Facebook profile or on your messenger list.

facebook in feed ads

In an above-given image, Facebook is showing an in-feed native ad with a tag sponsored post. These types of native ads are popular on other social media platforms like Instagram, Twitter and many other and popular one

2. Recommendation Widgets with Publisher Name Example

third party recommendation for native advertisement
Source- NDTV

This is an example of recommendation widgets in which the renowned company Taboola is recommending to use Olymtrade to earn money. Were in this Taboola is acting third party who is making these types of recommendations.

recommendation native advertisement
Source- Investopedia

Generally, you may see these types of recommendations under the content you are reading or comes to an endpoint. These recommendations are also a great source of native ads that are performed by a third-party company that are providing these types of services for their clients. These types of recommendations have higher CTR and engagements.

3. Amazon Promoted Listings Example

amazon native promoted listings
Source- Sellbrite

Amazon, E-bay is a great source of promoted listings wherein they show that this listing is sponsored by this company and they are promoted on the relevant product page. You can all see these types of Native ads on multiple E-commerce platforms like Amazon.

4. Paid Search Native Ads Example

paid search native ads
Source- Email marketing

These are the paid search native ads in which the browser or different search engines use to display ads for a particular keyword in which the ads look similar to other searches. The above-given image is a search for Email Marketing you can see these results with an ad tag beside their URL. These all placement are done by search engines according to their CPC and the quality of their landing page.

5. Display Ad With Native Elements

display ad native advertisement example
Source- Linked In

This is a great example of a display ad with native elements in this the website is all about recipes where you can see a native ad, collection of Campbell recipes.

In which you can easily understand that this is a part of the website which tells about the recipes which Campbell is providing and is not a part of display ads.

Conclusion

Consumers know that native ads are a form of advertising, but they don’t care! 

In a recent study at Stanford University, researchers found that native advertising does not fool anybody. Consumers know well that they are seeing a form of advertising, however, native advertisements still have a significant impact on purchase behavior. 

They look at native ads 53% more than display ads. Native ads generate an 18% increase in purchase intent and the obvious engagement with native ads is the same, and even slightly higher than the original editorial content.

But in the current year, native advertisement is at the walking age but in the coming year, it will be at its running age. Day by day consumers are getting fragile after seeing multiple types of display ads but native ads are becoming alternative for all of them. And after seeing the popularity we can say that native ads are the future of advertisement.

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