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e’ve been talking a lot
about native advertis-
ing recently and for a
good reason. BIA/Kelsey
estimates that $11 billion will
be spent on social ads by 2017
and more than 40 percent of
that will go to native ads. So,
native spending in the context
of U.S. social media advertising
will climb to $4.57 billion in
2017, from $1.63 billion in 2012.
In every year in the forecast
period, native spending will
grow at a faster rate than
At our recent Native Advertising Summit in Washing-
ton, D.C ., we had over 50 attendees trying to figure out
how to capture their piece of this revenue pie.
One presenter was Ron Josey, Managing Director,
Sr. Internet Analyst, Equity Research at JMP Securities
who elaborated on the native ad spending numbers.
Josey said that native is a combination of mobile, video
and search. These three formats are embedded in native
throughout. Alone, mobile and video are the fastest
growing advertising areas.
The three-year (2013-2016) CAGR for mobile alone is
almost 60 percent. Their forecast also calls for drops in
banner ads, classifieds, email and sponsorship. There-
fore, if these formats are in a decline as a media com-
pany you’ll need to position yourself to capture revenue
from the formats of mobile and native advertising to
make up the difference.
Marketers are still catching up to the changes in
consumer behavior across TV, radio, desktop, print and
mobile. In one eye-opening slide, Josey displayed the
2013 consumer time spent with a medium vs. ad spend-
ing in that category (see chart).
There was a close balance in TV, digital (except mo-
bile) and radio. However, the shocker is that print and
mobile were extremely lopsided. Time spent with print
is only 5 percent (of total time) whereas the ad spend-
ing for print is at 21 percent (of total ad spending). On
the flip side, time spent with mobile is at 20 percent and
the ad spending was a low 5 percent. What this means
is that eventually the market will balance itself out and
that print ad spending will decline to meet the time
spent with the medium. On the other hand, there is a
huge opportunity to capture lost print dollars through
mobile ad spending.
So why so much talk about mobile when it comes
to native advertising? Well, because mobile is the ideal
medium for native advertising. On mobile’s smaller
screens, the stream is the experience. And, advertising
can be built into that stream. You see native advertising
every time you use Facebook, Twitter or any other social
media on a mobile device. Native advertising is the only
type of ad served on social mobile.
As explained in a recent Business Insider article, “
In-stream native ads look, feel, and function seamlessly
across mobile and PC, which is precisely what brands
want, as they seek to build cross-device campaigns.”
“Twitter started the native-social ad trend with
Promoted Tweets in early 2010. The social network is
now among the most influential voices in arguing that
TV and digital ad spend can work hand-in-hand. Twitter
now offers a suite of three different in-stream native ad
“Now, LinkedIn is making major investments in its
native strategy and Pinterest is piloting native ads on its
“We believe image- and video-sharing networks such
as Pinterest, Vine, and Snapchat will soon be offering
some of the most effective types of native ads, centered
on pictures. Photos are the most shared type of content
on the Web; 43% of global Internet users have shared a
photo in the past month.”
Sixty-seven percent of agencies and marketers said
that they are somewhat or very likely to spend on native
advertising in the next six months. Just this fact alone
should alert you that now is the time to go native.
Sales & Marketing
Go Native, Go Mobile
Newspaper of the Year
– YOUR TIME
I t’s the big one Elizabeth....the annual Newspaper of the Year/General
Excellence contest has begun! LMA’s annual contest crowns just a select
few to wear the Newspaper of the Year crown – one in each of six circula-
tion classes – four for non-dailies and two for dailies.
The criterion for this contest is, in simple terms, excellence. Judges examine
the newspaper on the whole and look at things like content, connection to com-
munity, writing, editing, photography, layout, design, balance of advertising and
editorial, and typography. A win here is not only a feather in the cap of the team
driving the success but also brings tremendous marketing clout to your brand.
The NOY 2014 contest requires submission of three separate issues – your
choice of one from three different months, June 2013, December 2013, and May
An online entry system, compliments of Newspaper Toolbox, enables elec-
tronic entry and an easy to use submission process. Full details and online entry
HURRY! Deadline is mid-August.
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