Native Advertising 101: What You Need to Know to Succeed

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However, with the rise of digital media, print media has taken a hit, with newspapers and magazines struggling to stay afloat.

As a result, many publishers have had to adapt and find new ways to generate revenue. Digital advertising has been one way to do so. However, with the rise of ad blockers and decreased click-through rates, publishers have had to look for alternative methods to monetize their content. 

Native advertising has emerged as a popular solution for publishers and marketers alike. Here, we will deeply dive into native advertising – what it is, how it works, and why it’s important.

What is Native Advertising?

Native advertising can be defined as paid content that blends in with the surrounding editorial content and format. In simpler terms, it’s sponsored content that looks and feels like the rest of the content where you post it. Native advertising is often confused with traditional display ads, but the two have significant differences.

While display ads are marked as advertisements and placed in designated ad spaces, native ads are integrated into the content. This makes them less disruptive to the user experience and more likely to be engaged with by the audience. You may have seen native ads in the form of recommended articles, sponsored posts on social media, or even a promoted video on YouTube.

For example, if you’re reading an article about the best hiking trails, a native ad for hiking gear may be displayed in the middle. It would be written similarly to the rest of the article, making it less obvious that it is sponsored content.   

Trends in Native Advertising for 2024

Native advertising has grown tremendously in popularity over the past few years and is expected to continue its upward trajectory. 

Here are some of the latest trends in native advertising:

  1. Growth of native ads: A survey by eMarketer found that the spend on Native advertising will reach $52.75 billion this year, making it one of the fastest-growing forms of digital advertising.
  2. Impact of mobile and social media: With more users accessing content through mobile devices and spending more time on social media, native advertising has become even more relevant. 
  3. Incorporation of video and interactive elements: As video content continues to dominate online platforms, native advertising is also catching up. Many brands now use native ads in the form of sponsored videos, making them more engaging and interactive for audiences. 
  4. Editorial websites remain the top choice: 75 % of consumers trust editorial websites for native advertising compared to only 54% who trust social media. This trend will continue, with more brands turning to editorial sites for native advertising opportunities.

5 Types of Native Ads

Native advertising comes in various forms, depending on the platform and publisher. Here are 5 types of native ads you may come across:

1. In-feed advertising

In-feed native ad units are ads that appear within the content feed of a website or platform. These can be sponsored posts on social media, recommended articles on a news website, or even in-app ads. In-feed ad blends with the surrounding content and can be text, image, or video-based.

On Facebook or Instagram, in-feed ads appear as sponsored posts in your feed, just like any other post from a friend or page you follow. They may be marked as “sponsored” or “paid partnerships” but often blend well with the rest of the content.

For news websites, in-feed ads may appear as recommended articles with a “sponsored” label or as videos that automatically play in between articles. When done right, in-feed native ads can effectively capture users’ attention as they browse through their content feed.

2. Paid Search ads

Paid search ads appear at the top or bottom of search engine results pages (SERPs), marked as “ad” or “sponsored.” These ads are designed to match the search query and blend in with the surrounding organic results, making them a form of native ads. 

For example, if you search for “best laptops,” you may see paid search ads for laptop brands at the top of the results page. These ads are relevant to your search query and appear alongside organic results, making them more likely to be clicked on by users.

With the increasing use of search engines for product research and purchasing decisions, paid search ads are vital to native advertising strategies. 1.2 Billion searches are made monthly on Google Shopping, making it a prime platform for paid search native advertising.

3. Sponsored content

Sponsored content is when a brand pays to publish its content on another website or platform. This can include articles, videos, infographics, and more. The key difference between sponsored and traditional advertising is the design to blend in with the rest of the editorial content, making it less disruptive and more engaging for readers.

One popular example of sponsored content is Buzzfeed’s “Branded Content” section, where brands partner with the website to create articles or videos that align with their brand message. These pieces are marked as “sponsored” but follow the same format and style as other BuzzFeed articles. For brands, sponsored content allows them to tap into the audience of a popular website or platform and reach potential customers more organically.

4. Recommendation widgets

Recommendation widgets are ads at the bottom or side of an article, suggesting similar content or products. These ads may be labeled as “recommended” or “related articles” and can be found on editorial websites, blogs, and news sites. 

For example, if you’re reading an article about skincare tips, a recommendation widget may suggest a sponsored post from a beauty brand about their latest products.These ads are designed to be non-intrusive and relevant to readers’ interests. The widgets are often powered by algorithms that analyze the user’s browsing behavior and suggest content or products they are likely interested in.

5. Promoted listings

Promoted listings are commonly found on e-commerce websites, where sellers can pay to have their products featured at the top of search results or product listings. These ads are typically labeled as “sponsored” and appear alongside organic results, giving them a native appearance.

For example, if you search for “running shoes” on Amazon, you may see sponsored listings for top brands at the top of the results page. These products are relevant to your search and are designed to stand out among other products.

Other than e-commerce websites, promoted listings can be found on classified ads sites and online marketplaces. They offer brands an opportunity to reach potential customers by searching for specific products or services.

What Makes Native Advertising Different?

Native advertising sets itself apart from traditional advertising in a few key ways:

Contextual relevance

Native ads appear where the target audience is already consuming content, making them more relevant and likely to be engaged. The user’s intent is also considered, as native ads are designed to blend in with the surrounding content and not disrupt the browsing experience.

Less disruptive

Native ads are designed to be less intrusive and disruptive than traditional ads. They blend in with the content rather than interrupting it, making them more appealing to consumers.

Trust-building

By appearing alongside other editorial content, native ads can build trust with the audience. This is especially true for sponsored content, where the brand’s message is delivered in a more organic and less sales-oriented way.

Aesthetically pleasing

Native ads are often designed to fit seamlessly with the surrounding content, making them visually appealing and less jarring than traditional ads.

Reduced ad fatigue

As native ads blend in with the content, users are less likely to experience ad fatigue or banner blindness. This can lead to increased engagement and a higher chance of conversion for brands utilizing native advertising.

How do Programmatic Advertising and Native Advertising Work Together?

Programmatic advertising is the use of technology and automation to buy and sell digital ad space in real time. It allows for targeted, efficient, and data-driven ad placements across various websites and platforms. Native advertising can also be bought programmatically, allowing brands to reach their target audience through contextual and relevant placements.

This combination of programmatic and native advertising offers several benefits, including:

  1. Improved targeting: Programmatic technology allows precise targeting based on demographics, interests, and browsing behavior. Combined with native ads’ contextual relevance, this leads to more effective ad placements.
  2. Efficient buying: Programmatic advertising automates the buying process, saving time and resources for brands looking to utilize native ads. Ad placements can be bought and optimized in real time, ensuring the most efficient use of ad spend.
  3. Data-driven optimization: Programmatic advertising provides valuable data on ad performance, allowing brands to adjust their native ads for maximum effectiveness. This data includes metrics such as clicks, conversions, and engagement rates.
  4. Greater scale: With programmatic technology, native ads can be placed across various websites and platforms, reaching a larger audience than traditional advertising methods.
 

The Future of Native Ads Beyond 2024

As digital advertising continues to evolve, native advertising is expected to play an increasingly significant role in brands’ marketing strategies.

Here are some of the key trends and predictions for native advertising:

Top of the funnel focus

Gen-Z and millennial consumers are known for their ad-blocking tendencies and skepticism towards traditional advertising. In response, many brands are shifting their focus towards top-of-the-funnel activities such as branded content and influencer marketing.

Continued growth of programmatic native advertising

The use of technology and automation as part of native ad buying is expected to grow in popularity. This will allow for more efficient and data-driven ad placements on a greater scale across various platforms.

AI integration

Meta AI introduced within native advertising will transform the medium into a hyper-personalized form of marketing. By leveraging AI, brands can create highly relevant and engaging content for their target audience.

Increased focus on trust and quality

As native advertising becomes increasingly prevalent, trust and quality are vital to maintaining effectiveness. Brands must be transparent and authentic in their messaging to build consumer trust.

More diverse content formats

The AR/VR and 360-video technology, along with the emergence of new platforms like TikTok, will provide more opportunities for brands to create diverse and engaging native ad formats.

Purpose-driven storytelling

Consumers are becoming increasingly conscious of the values and beliefs of the brands they support. Native advertising will be used to tell authentic, mission-driven stories that align with these values. These trends and developments in native advertising will shape its future beyond 2024. As consumer behavior evolves, native advertising will likely become  an even more integral  part of the digital marketing.

Personalized and targeted native ads, combined with programmatic technology and a focus on authenticity, trust, and quality, will continue to drive success for brands utilizing this form of advertising. So if you’re looking to reach your target audience in a non-disruptive and engaging way, consider incorporating native advertising into your marketing strategy.