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Adaptly - DDM Alliance Summit Marketing on Facebook

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The Evolution of Native Advertising

The Evolution of Native Advertising

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  • I’m Frank from Adaptly. We provide technology and services for brands and agencies across multiple native advertising platforms but today I’m not going to be talking about Adaptly, instead I’ll be talking about the Evolution of native advertising.
  • So I went to an industry event recently dedicated to Native advertising and there was a panel with some very bright people from different companies who all couldn’t agree on what native advertising was , so it’s not surprising there is some confusion in the market.

    One thing they did agree on was that native advertising was only going to become more significant and create exciting new opportunities.

  • I’m gonna start by giving a definition of sorts so we know what we’re talking about…
    The Wikipedia definition is an online advertising method in which the user attempts to gain attention by providing content in the context of the user’s experience.
    Native ad formats match both the form and function of the user experience in which is is placed.

    But what we basically saying here is that native ads are ads that don’t look like ads, and in that respect not really anything new. We can apply this apply this definition to both content marketing and advertorials but what we’re referring to as native now is something a little bit different.

    So let’s play a little game, I’ll show some examples of creative and their placement and we can have show of hands on whether they’re native or not.
  • Starting off then we have a center page ad by DHL in a magazine.

    Hands up for native !
  • An EE page post in my Facebook news feed .
  • The Orange cinema ads – Don’t let a mobile ruin your movie.
  • The Orange cinema ads – Don’t let a mobile ruin your movie.
  • The Orange cinema ads – Don’t let a mobile ruin your movie.
  • A promoted pin on pinterest
  • A sponsored update on Linked In
  • You get the idea. There’s a lot of native stuff out there, some might be borderline but it’s not a new concept so why are we taking about native now ?

    This is a google trend report that show’s the increase in searches for native advertising and specifically native advertising examples & native advertising definition.

    Comparing this to social media, people really started to search for social media marketing related terms around 2010.

    In think there’s 2 major reasons why we’re talking about native now,



  • The first is a huge shift in peoples behaviour. A social evolution which is probably the biggest social evolution we’ll see in our lifetimes. This is Charles Darwin type evolution , not just online advertising stuff. This is pretty BIG.

    The evolution I’m talking about makes it harder to reach audiences through traditional channels. Even traditional online channels, and harder for business to drive sales in traditional marketing methods.

  • The social evolution I’m talking about is related to the smartphone and the way it’s influenced how we do things – How we communicate with people, how we shop for food or clothes, how we entertain ourselves, how we store personal belongings like photos and important documents , how we listen to music, how we share our world through social media or order a pizza.

    Smartphones are the most personal and social devices in history – it’s a device that is a constant companion through every life experience.

    The smartphone has revolutionised our world.

    Today, the average smartphone is 100 times times faster than the Apollo computer that took man to the moon.

  • In the 34 years since the mobile phone was invented, nearly 5 billion people – over 75% of the world’s population – acquired one.


    In 2011 there were more smart phone sales than personal computer sales and increasingly these are the devices people are using to access the internet.
  • Even in the last year, from 2012 to 2013 we can see a huge increase which is consistent with some of the changes we’ve seen in our industry.

    If that’s where people spend their time then it makes sense that brands will be looking to connect with audiences in those environments.
  • So people are spending more time on mobile than their PCs, but they’re not accessing the internet in the same way.

    People are using applications to as opposed to web browsers. How often do you use Safari, Chrome or Firefox on your iphone ? Hardly ever.

    A lot of time is spent by people on mobile with Google properties, YouTube, Yahoo!, MSN, AOL, Twitter and Pinterest
    [CLICK] And more total time is spent on mobile on Facebook and Instagram than all of those combined, which is why Facebook has become so relevant as a media opportunity. It’s truly a market leader.
  • So that was the first reason we’re now talking about native, the second is there has been an explosion of new advertising opportunities related to this social evolution and increased usage of our smartphones.
  • There has also been new applications and media properties that have emerged in this new ecosystem.

    Many of the advertising solutions offered by these companies are non-standard in the way that digital display has been, but instead they match the form and function of the environment itself – Thinking about promoted posts on Facebook, promoted pins on Pinterest, promoted tweets or trends on Twitter.

    This is what we’re commonly referring to as native advertising.

    You can see from the chart here that there’s already a fairly complex and fragmented landscape. This is only going to increase, which makes it a hard space to navigate but honestly, we’re only at the beginning.
  • What does this mean for brands and marketers ?

  • On the one hand it’s a huge opportunity – There are new ways to connect with potential customers and drive business.

    It’s exciting , we’ll see businesses succeed and blow up in a short space of time.
  • The results can be impressive… According to Yahoo! , 63% of brands feel native ads increase customer engagement with their messages.
  • There are also challenges. If you think about all the processes, structures and partnerships that have been built and refined based on traditional media models – buying TV, outdoor, radio, even online… Investing in research , measurement and media modeling .

    It’s not that easy for large brands to adapt to some of the new opportunities because they’ve invested so much in these structures , but they need to embrace change and take advantage of it. The companies that are successful in our future are the ones that will do that and do it quickly.
  • I wanted to share an example of one of our clients, Eurostar and how we helped them deliver a campaign at the end of last year.

    When we started working with Eurostar, they were in a similar place to many advertisers. They knew they should be doing something on FB and Twitter – but didn’t really know what.

    Across other channels, Eurostar split up their marketing into three core areas : brand, DR and tactical . Social is no different – Facebook and Twitter can deliver against brand metrics – Reach & Frequency but can also deliver against DR metrics – CPA, ROI etc.

    We did a lot of work with the agency at the strategy and planning stage to understand how social fits into their wider marketing plans and then made recommendations based on their business & marketing objectives.

    So from a high level, their business objective is selling train tickets but their marketing objective is to get people excited about travelling to Paris.

    Their target audience is ABC1 adults with a geographical focus on London.


  • The campaign we ran in Q4 was called #WhenInParis, the campaign ran across TV and online with a unified hashtag to create consistency across all channels.

    Why was this campaign special ? It was a big rebrand in Q4 and was the first time they’d used Facebook and Twitter alongside traditional media.

    About the campaign :

    Marketing Objective : Get people excited about Paris.

    Strategy : Deliver reach & frequency alongside TV, using video content to raise awareness and drive engagement.

    KPIs : Video views & engagement (engagement being people up loading their own stories and images of Paris)
  • Here’s the TV creative….
  • We ran the video on Facebook using the new page post video format in news feed , a much more impactful placement than the previous video formats.

    On Twitter we ran what’s called a Player Card, which is a Youtube video embedded into a promoted tweet . Also high impact, delivered in users timelines.

    The campaign was powered by Adaptly’s Evergreen technology, a content amplification tool which optimises delivery based on reach, improving the efficiency of media investment by up to 50%.
  • This campaign was a first for Eurostar and I’m delighted to say it delivered amazing results.
  • When planning native advertising I’d really think about applying the same principles to planning any media.

    When we first start working with clients they’re often in the same place as a lot of brands, they know they should be doing something in this area but they don’t really know what. They end up promoting a few posts, a few tweets but not really seeing anything ground-breaking in return.

    Asking the following questions can help…

    1) What are our objectives – not social objectives like getting 3000 likes on page post or 3000 tweets with a hashtag, but what are our sales targets ? What do we know about achieving these objectives through other channels.

    2) Who is our target audience and where are they ? This should determine where to invest marketing budget.

    3) How can we communicate our message ? This is really about creative execution and while it should be refined for the environment and the audience it’s delivered, the same creative fundamentals should also apply. Good creative is just good creative.

    4) Finally and this is really important is how do we measure success ? It will often involve 3rd party measuremnt and post campaign sales analysis and without that you never really know how well the campaign performed.
  • Transcript

    • 1. The Evolution of Native Advertising Franklyn Martin, VP Strategic Accounts June 2014
    • 2. What the f*** is native advertising ???
    • 3. Native Advertising Def. An online advertising method in which the advertiser attempts to gain attention by providing content in the context of the user's experience. Native ad formats match both the form and function of the user experience in which it is placed.
    • 4. • Native Advertising Examples • Native Advertising Definition Why are we talking about ‘Native’ now ?
    • 5. 1) Shift in people’s behaviour.
    • 6. Q4 2011 2000 2004 2008 2012 1,200,000,000 800,000,000 400,000,000 Personal computer Tablet Smartphone Source: Business Insider Global Internet Access Device sales chart, Jan 2013 Smartphone Adoption
    • 7. Source: Comscore Media Metrix, July 2012 — July 2013 July 2012 July 2013 8:12 7:18 15:45 5:51 A Seismic Shift to Mobile
    • 8. Time spent in mobile applications, not internet browsers. Source:: Mobile Total Monthly Minutes, comScore, September 2013
    • 9. 2) Explosion of new, non-standard advertising opportunities.
    • 10. What does this mean for brands and marketers ?
    • 11. 63% of brands feel native ads increase customer engagement with their messages (Yahoo!)
    • 12. Business Objective Ticket Sales Marketing Objective Get people excited about Paris Target Audience ABC1 Adults in London
    • 13. STORIES ARE WAITING #WhenInParis Get People Excited About Paris Leverage Facebook & Twitter video ads to deliver reach & frequency alongside TV Reach & Frequency Video Views Engagement OBJECTIVE STRATEGY KPIs
    • 14. NATIVE VIDEO #WhenInParis Powered by : Facebook’s Page Post Video Twitter Promoted Tweets with Youtube Video
    • 15. Over 20m ABC1 Adults saw the TV ad at least once. Facebook reached over 5M users in London at a frequency of 3. Facebook drove over 169,000 video views with the new Page Post Video Ad reducing CPV by 85% The campaign delivered over 488k engagements, with an average engagement rate of 3% RESULTS #WhenInParis Twitter TV Targeting delivered unprecedented engagement rates of up to 7%
    • 16. Planning Native Advertising. How will we measure success ? How can we communicate our message ? Who is our target audience and where are they ? What are our objectives ?
    • 17. Thanks !