Native advertising corresponds to many types of advertising, from paid search and social ads to the sponsored editorial offerings from media companies. Put simply, it’s confusing as hell to understand.
Success at native means both the user of a media site or app and the advertiser explicitly get value out of the experience. To understand if a particular kind of native advertising is going to be successful, marketers should assess four criteria: Format, reach, context, and identification.
The seven core types of native advertising** all function to varying degrees against these criteria.
For example, the paid search ad is a proven format that generates a reasonably predictable response rate; an in-feed ‘click to play’ cinematograph will be less predictable, and probably less reliable. Pinterest’s promoted pins provide considerable reach for some populations; a native ad appearing programmatically in apps and targeted for a specific behavior may have far lower reach. Likewise, there’s wide variety for context and identification.
To help marketers make smart decisions, we broke down all seven native advertising types against these four criteria, and explored compelling examples of each. For Forrester clients, have a look at the analysis – our Vendor Landscape: Native Advertising Technologies, Q3 2016. Not a client? This’ll have to do as a teaser.
*** those seven types: paid search, paid social, in-feed exchanges, native ad vendors, publisher networks, publisher-specific custom native, and influencer activation.
Forrester analysts are encouraged to “make the call” and here’s a call that is sure to invite some heated disagreement (native advertising has a way of doing that).
Today my report about native advertising came out and, if I had to bottle up the recommendation of the entire report in a two-word slogan, this would be it: Worth pursuing. That’s not “pour all your advertising dollars into it”, “go hog wild!” or any variant on that theme. By “worth pursuing”, I would say that it: a) is a very imperfect tactic, b) holds great promise, and c) requires some experience to get right.
(First of all, if you’re not sure what native advertising is, quickly go here [definition] or here [examples]).
Let’s start by assessing the promise of native advertising. What’s so great about it?
From a marketer’s perspective, the opportunity to go from a position “next to the show”, “interrupting the show” or “between the shows”, to “part and parcel of the show” is extraordinary. The church/state editorial wall that media outlets have trained advertisers to respect has become porous, and it’s the outlets themselves who are pounding holes in it (most recently, the New York Times). That change should not be underestimated.