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BizReport : Advertising archives : February 11, 2013

How native ads are changing the online space

With more consumers going online from more places, there is a growing demand for content. Ad content, entertainment content and news content are leading the way. Along with a new type of ad - a native ad, which acts as content with an advertising twist.

by Kristina Knight

Diaz Nesamoney, CEO, Jivox: With rich media ads going multi-screen, there is an increased need to support new ad formats like the IAB rising stars and supporting dynamic content for native ads. This is an enormous transformation within the industry.
New rich media ad production and serving platforms have been built from the ground up to support the next generation of rich media advertising on any screen, and as such are rapidly being adopted.

Kristina: How are new advertising formats such as native advertising and the IAB Rising Stars changing how audiences perceive and interact with content?

Diaz: There are two things these new ad formats are bringing to the display advertising market:
1) The need for larger more expressive canvases for brand storytelling. In the past, brands haven't had ad products online that allow them to create exciting and engaging user experiences-- these new ad formats help do just that.
2) User expectations of "value add" in an ad is much higher than it has ever been. Users seem to respond well to ads that offer them either valuable information that assists with their purchase process or ads that provide content that may inform, entertain or educate them on the product.

Kristina: Why are native ads getting more attention?

Diaz: Newer kinds of advertisements like native ads and ads formatted according to IAB Rising Star standards are blending content with advertisements in ways never before possible. By taking on the look and feel of the non-sponsored content, audiences can easily choose to engage with ads in a way that feels natural and effortless. This results in a positive audience experience that is simultaneously unobtrusive and effective.
For example a recent Volkswagen campaign blended branding in the ad unit with stories, videos and pictures by VW enthusiasts. The idea was to appeal to Volkswagen lovers who could consume that content and have brand exposure without a "hard sell" or an obtrusive ad experience.

You can read part one of my chat with Diaz, including his thoughts on rich media ad trends, here.

Tags: ad trends, advertising trends, Jivox, native advertising, online advertising

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