\ guide The Comprehensive Guide to Native Advertising The Comprehensive Guide to Native Advertising A Vocus eBook Paid For and Posted by XYZ iPad 10:15AM Promoted by XYZ Sponsored by XYZ GET VOCUS. VOCUS GETS BUSINESS. GET STARTED NOW AT VOCUS.COM The Comprehensive Guide to Native Advertising The Comprehensive Guide to Native Advertising A Vocus eBook Native advertising – the purchasing of sponsored content on social networks and online websites – dominated digital marketing conversations the past year. Market research company BIA/Kelsey estimates that U.S. native ad spending on social sites might have reached $2.36 billion in 2013, or 38.9 percent of total U.S. paid social ad expenditures. How can you effectively work native advertising into your marketing mix? This eBook highlights some techniques brands are using to do just that. It will show you the rich native advertising ecosystem of publishers, vendors, social networks and search engines that help companies create, manage and track content. Finally, we’ll show you the ethical issues to avoid with sponsored content. The Federal Trade Commission (FTC) recently held a meeting with brands and publishers to discuss native advertising – and while some issues were highlighted, others were raised. Your brand can use this set of tools, as long as the ads disclose sponsorship so that consumers are better informed. iPad 10:15AM The Comprehensive Guide to Native Advertising What is Native Advertising? In The New York Times example below, the post is clearly labeled as “Paid For and Posted by Dell.” A survey from Online Publishers Asso- ciation says native ads include “con- iPad 10:15AM tent integrated into the design of the publishers site, living in the same domain, as well as content either provided by, produced in conjunction with or created on behalf of our advertisers that runs within the editorial stream.” In native ads, there is a clear delinea- tion, labeling the unit as ad content. The Interactive Advertising Bureau defines six types of native ad units in its must- read, “Native Advertising Playbook”: And Buzzfeed integrates their native advertising in the O Social media in-feed units (such as Facebook’s ads form of posts written by the brand, which is delineated as a with a social context) “BuzzFeed Partner.” O Paid search O Recommendation widgets (often seen as “From Around the Web”) O Promoted listings O Standard ads with native elements (banner or box with text or placed at beginning of post) O Custom campaigns created with the client This graphic shows an “in-feed” example, from Forbes’ homepage. It looks like other articles, but is clearly called out as a “Forbes BrandVoice.” The disclosure indicates spon- sored content, in this case by Gyro, a B2B marketing firm. Edelman Public Relations’ Chief Content Strategist Steve Rubel sums it up succinctly: “I’d define native advertis- ing as taking that which is organic and flipping it around into advertising.1” Native ads aren’t unique to online publications like Forbes or Mashable. Facebook’s ads (and, for now, their “sponsored stories”2) and Twitter’s “Promoted Tweets” are examples of sponsored content appearing in social networks. Unlike the Facebook banner ads, content ads such as photo posts 1 Conversation with Steve Rubel, 1/2/14 2 Sponsored Stories will “sunset” on April 9th of 2014, http://allfacebook.com/sponsored-stories-sunset-april-9_b128224 The Comprehensive Guide to Native Advertising are paid promotions of actions that a user’s friends take on While debate on content marketing vs. advertising the platform, including check-ins, “likes” or RSVPs. They can go on all day, the form is considered native appear directly in the News Feed. Page owners can target advertising, implying a payoff for the marketer as well as ads via Facebook’s ad manager. the consumer. A brand may have their own account on Twitter, How Does Native Advertising Fit but much of their content is not seen because most people are not on Twitter at any given Into the Marketing Mix? moment. A Promoted Tweet shows up Many brands struggle with how native ads should fit within in the stream for users who follow that their larger marketing strategy. Native ads straddle several account or are targeted based on the user’s tactics, including social engagement, owned media, and expressed interests, geography or device. of course, paid advertising. But how does it help a brand The Promoted Tweet is noted as “promot- achieve its objectives? ed,” but appears natural within the user’s stream, “integrated into the design” of the site. “When we think about the distribution, amplification and ultimately, the engagement with content – that’s where Edelman PR’s Rubel says, “If you look at search content with we think about our client’s goals,” says Edel- paid search results, that’s the model. If you look at Tweets man Digital’s Executive VP of Emerging and Promoted Tweets, that’s the model. And it’s working.” Media and Technology Adam Hirsch. Hirsch notes ways in which native Content Marketing vs. Native Advertising advertising can assist a marketer at the top of their funnel with Currently, many firms are using “content marketing” to acquisition and brand aware- reach customers. Native advertising has a lot in common ness, as well as ways to generate with content marketing; however, content marketing is leads and conversions. typically text, video or other media that is intended to inform the customer, providing something of value. Brand building and awareness are at the top of the traditional Much of content marketing builds brand over time. This sales funnel. Creating articles that run paper itself is an example of content marketing - a neutral in relevant publications can help make point-of-view piece of content that is not selling a customers aware of your products, services and specific service or product, but educates marketers as a offerings. Publishing content in a Forbes, The New York service from Vocus. Times, or BuzzFeed environment delivers lots of attention and possibly perception change or consideration regarding Alternately, native advertising is material that is spon- products or offerings. sored. While it may offer valuable content, it is still an ad trying to offer a product, service or point of view. Often Sponsored content can generate conversions and create times, native advertising is used to expand the reach of leads. For example, social media in-stream ads can have content marketing – to get more eyes on the content similar targeting ability to email and marketing automa- produced by a brand. tion, according to Hirsch. Forbes Chief Product Officer Lewis DVorkin reminds us “Facebook amplification has been pretty great for us that what we consider “content” is often marketing in because you can optimize for engagement or conversions disguise. The Michelin Guide for travel and accommo- that you can track,” says Hirsch. “[Facebook offers] content dations was started to encourage travel (and inevitable that you’re able to amplify in a segmented and personalized tire replacement). The Comprehensive Guide to Native Advertising way. Through first-party targeting with their custom‘ audi- “In ‘old school lead’ generation, depending on industry and ences’3 product, through third party use of pixels or retar- company, the cost of leads can range from a few dollars geting, Facebook is providing the ability to target users on to thousands of dollars,” says Hirsch. “With hyper-targeted exclusive social segmentation sets based on what they’re networks, psychographic targeting and retargeting, you can talking about or what their interests are.” bring your cost-per-lead down significantly.” Measuring results and seeing what types of content resonate on which Native ads can also help your brand with bottom of the funnel networks and platforms is an absolute must in native adver- activity by converting existing and new customers. For tising, as “best practices” are not yet established. example, a brand can create sponsored content ads directed specifically at Facebook users who are already customers. The Ecosystem of Native Adver- You can also target via “look-alike” audiences who share characteristics with your existing fans and customers. tising Providers The native ad ecosystem includes content creators, such as The level of targeting is so sophisticated that, in Hirsch’s companies, brands and agencies, who create the content words, “You have an opportunity to share an article about either alone or in conjunction with the publishers, as well as your brand only to journalists who work at The New York the search and social networks and vendors offering adver- Times and Wall Street Journal or whatever stakeholder tising space. This diagram shows how they work together. audience you’re targeting.” Facebook also allows retargeting via its Exchange product. If someone has come to your website to view a prod- Content Platforms uct or service, you can retarget them so that when they Content Recommen- return to Facebook they receive an offer or message in the Publishers Content Distribution dation, Outbrain, Forbes, Mashable, BuzzFeed etc. Sharethrough, Taboola, AddThis and native News Feed stream. Many Facebook targeting func- Nativo, others many others tions are offered in the updated advertising manager inter- Native ads "In-Feed" Articles, Videos, Boxes under/near placed in-feed on content.Titles like face, but some require working with third party Facebook publishers' sites "Content From around the Web" Exchange partners. Twitter has similar offerings. The company announced Social Networks Facebook,Twitter, Search LinkedIn, Tumblr, targeting based on interests in 2012 and recently launched Google, Bing, Yahoo, Content Creators YouTube, etc. the ability to retarget users, and is expected to offer a custom others Brands themselves Agencies Content showing Sponsored Search Publisher studios (like Huff inside the user's audience product similar to Facebook’s.