Native Advertising increased 74% in one year compared to Programmatic Media Buys

Native Advertising increased 74% in one year compared to Programmatic Media Buys

Quality is making a comeback! The number of advertisers running programmatic ad campaigns declined by 12% year-over-year (YoY) in Q1 2017, according to MediaRadar.

  • A new study (July 2017) shows that the number of Native Ad Buyers Increased by 74% in Just One Year!
  • While Programmatic and Print Ads are seeing heavy declines, according to MediaRadar.

It appears the tide is moving away from a 100% focus on programmatic media buying and back to a more balanced approach of using both native advertising & programmatic (determining that exact balance based on each client vertical's specific needs of course). But the big news is that - outside of the box thinking and native advertisements are back in a BIG WAY in 2017!

Why is Native Advertising making a comeback?

Quite simply, it's about quality and it's about control. While technology is making great strides in advertising it is not quite where organizations require it. Namely, the inability to control one's brand once ads are deployed to programmatic buying platforms leaves many top companies feeling uneasy - especially in today's hot politically charged environment. Without true brand safety, many brands are feeling trepidation when it comes to programmatic media.

“After years of growth, the decline in programmatic buyers is likely attributed to concerns around brand safety, especially given recent problems for companies like YouTube,” said Todd Krizelman, CEO and co-founder of MediaRadar. “This form of advertising is continuing to evolve as brands seek more control over where their ads are running. We expect to see programmatic rise as more brands move to programmatic direct models.”

Whereas programmatic ad placements have started to fall, advertisers buying native formats rose sharply into 2017. Native ad buyers have increased by 74 percent in the past year to over 5,000, according to MediaRadar, and the demand for native ads has more than tripled since 2015!

The most popular product categories that worked well & frequently with native ads? Media and entertainment native ads were most popular, with professional services, financial and real estate, technology, and wholesale products rounding out the top five.

KEY TAKEAWAYS: Native Advertising

While Programmatic Media Buying will continue to improve over the coming years, it is still prudent to remain diversified in your ad buys. While technology has proven to be a useful tool for advertisers and marketers alike, the inability to control your brand safely (meaning where and when it is served) remains among the top challenges with Programmatic Media Buying as we hit the half-way point in 2017.

The ability to safely target a quality group of leads, consumers, buyers, etc...digitally with your ads is paramount. That's why MediaRadar saw high CPM ad placements on mobile and native platforms despite overall dips in digital ads and programmatic advertisers over the past year. Native, email and mobile ads all saw a rise in spending, and regional print titles and niche publications are still seeing success as well for many brands and organizations alike.

“Consumer advertising is shifting as audience consumption patterns evolve,” Krizelman said. “Advertisers will keep spending more on native because it outperforms traditional ad units. Audiences look at native ads more frequently than non-native, and buyers are investing accordingly.”

If you want the most effective & safe ad-serving of your brand's message online - it has to be guided and directed by the right balance of critical thinking and creatives behind the scenes using technology platforms (only when applicable for the best interests of the brand for which they are serving). That's why outside the box placements are finding massive success in Q1-2017 already... It will be interesting to see how this shapes up by December.

The LACED Agency team will keep you posted!

MediaRadar recently analyzed ad spending patterns from print, digital and email advertisers across native, video and mobile campaigns. In its Consumer Advertising Report, the intelligence platform tracked the ad ecosystem through all of 2016 through the first quarter of 2017.

About LACED Staff

Since 2002, Award-Winning LACED Agency has been providing advertising & marketing solutions focused Lead Generation, Brand Building, & Customer Acquisition - key areas that drive our clients success.