Native advertising vs. display advertising: which is more effective
There are few, if any, successful businesses out there that have attained success without advertising. Simply put, all businesses need advertising to compete nowadays and as we move to an ever-more competitive marketplace. For businesses new to advertising, deciding on which types of advertising to use can be tricky.
Native advertising and display advertising are two of the most popular advertising tactics available in online marketing, and each brings different benefits, drawbacks, and levels of potency. When the time comes for you to decide on which ad formats to use in your campaigns, it’s important to understand the differences between native and display ads.
What are native ads?
Native advertising is a form of paid advertising where the ad matches the look, feel, and function of the media format where it appears. The goal of native advertising is to disappear completely into the content on which they’re run, whether that’s an app or a website.
While most ads are intrusive, the success of native ads lies in their ability to blend into the content they’re appearing beside. When consumers are already interested in a good or service and come across a native ad, they are more likely to convert due to the less invasive and intrusive nature of native ads, when compared to other formats, such as display ads.
What is a display ad?
Separate from native ads, we have display ads, more traditional ads, such as banner ads, that are seen on websites and other platforms. Display ads come in various shapes and sizes, and are far more noticeable than well-designed native ads. In spite of being more obvious and noticeable than native ads, display ads can actually be less successful than their native counterparts. This is because display ads are less likely to reach people who aren’t already interested in the goods or services that the ads offer.
What native advertising opportunities are there?
Native advertising presents businesses with some fantastic opportunities to turn their ads into conversions and, ultimately, profit. Native ads can take many forms and can be found across most platforms, making them a smart choice for most businesses.
When an advertiser pays to have their ads highlighted on a website, landing page, or app, these ads become known as sponsored content. Sponsored content is an effective way to advertise because this content is often presented as blog entries, articles, or videos, all of which can be taken for non-sponsored content by visitors
Social media advertising
Soon after the rise of social media came the rise of social media advertising. This style of native advertising simply involves paying to place your ads on social media users’ feeds. Usually taking the form of a sponsored post or story, social media ads are particularly effective because they can be set up to reflect the known interests of the target users.
People whose feeds are dominated by gym videos and personal trainer posts can be targeted with ads for gym equipment or similar products, and this same approach can be applied across the board for all users and their primary interests based on their social media activity.
Within mobile apps
As well as social media advertising, in-app advertising has been on an upward trajectory for years now. This is a form of native advertising where advertisers pay to have their ads shown within the relevant apps. These ads can take many forms, such as banner ads, video ads, or playable ads. As with social media advertising, the in-app ads will often reflect the projected interests of people who download and use that app, priming these ads for success.
Display advertising vs. native advertising: The pros & cons
As mentioned above, both display advertising and native advertising have their pros and cons, but weighing these up and deciding on which path is right for your business goals is difficult. Let’s take a quick look at the pros and cons of each, and see if we can draw some conclusions about which might be best for you.
Display Advertising is more affordable than native advertising & easier to create than native advertising.
However, display advertising is less effective at reaching consumers who are not already interested in the product or service being advertised and can be more intrusive than native advertising.
Native Advertising is more effective at reaching consumers who are already interested in the product or service being advertised, and can be more engaging and informative than display advertising.
However, native advertising is more expensive than display advertising, and more difficult to create than display advertising.
Want to run native or display ad campaigns?
Now that we’ve covered the basics of native advertising and display advertising, as well as having seen the direct comparison, it’s time to make some decisions about which is right for your business. However, just like any other aspect of business success, the advertising choices you make will be dictated by your goals and your budget.
If you’re looking for an easier start that doesn’t hit the wallet as hard, display advertising might be right for you. Display advertising can be seen as the more economical option, but that does not always mean a higher return on investment. On the other hand, native advertising is a great choice if money is less of an issue and, more specifically, if you’re trying to engage customers that have already shown an interest in the goods or services you have on offer.
However you decide to begin, turning to a seasoned agency with a dedicated paid advertising team will set you up for long-term success. Contact inSegment today to begin planning your custom-tailored paid advertising campaign.