Creating a new revenue base for advertising can be a tricky business, as sometimes companies have to bet on new techniques in favor of effective ones to increase its audience. In this case, Yahoo has taken such an approach with native ads, with its Gemini platform using both mobile search and in-stream/native display ads as a way to reach out to marketers. However, this appears to have paid off, according to a report from Marketing Land.
During a recent IAB event based in Phoenix, Arizona, Yahoo provided details on consumer research regarding native ad consumer claims. The company stated that 60 percent of consumers who use Yahoo services “feel positive about native ads.”
Through the chart above, it’s easy to see what marketers are effectively buying into for the year, and display continues to lead the charge with 87 percent, followed by social with 85 percent. However, the big notable change is with the native part of the chart, as it shows an increase from last year, going up from 70 percent to 79 percent.
The 614 Group recently found that 69 percent of marketers see native ads as a valued asset, and a following July 2014 study of “Advertiser Perceptions” indicated that 80 percent of advertisers were intending to use some form of native advertising within its program.
Another chart, pictured above, indicates that Yahoo saw an impressive 3.6 times increase in branded search activity through native ads, up from 56 percent to 204 percent. In addition, advertiser site viewthrough also saw a boost, nearly four times to 181 percent.
Fully integrated native ads appear to be the most effective, as Yahoo estimated that four seconds is the average time spent per article, and 3.2 seconds are spent per ad. That indicates 83 percent of time spent looking at a native ad, along with the article.
In addition, eMarketer has noted that the market for native ads in general will see a healthy boost, as it will be worth nearly $5 billion in just a couple years’ time, by the end of 2017.
More findings on the report can be found here.
