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BizReport : Advertising archives : March 30, 2015

Expert: Look for native to continue strong growth

Although some say native advertising as an unknown entity, it isn't slowing the adoption of the ad format. Rather, according to one expert, native is seeing strong growth that point to even higher adoption rates.

by Kristina Knight

Kristina: What is it about Native that draws more advertisers to the format?

Lon Otremba, CEO, Bidtellect: Probably the biggest single driver is that, if executed properly, Native advertising executions will typically out-perform traditional display, and even search, often quite handily. Also, many advertisers are already sitting on lots of content of their own, and find Native is an ideal way to distribute that content to their benefit.

Kristina: Bidtellect's exchange is now seeing 500m bids/day, that is amazing.

Lon: The growth in Native programmatic inventory available on our exchange has been breathtaking. We're actually now tracking auctions per day as a more accurate assessment of the traffic through the exchange, and we are now seeing on average in excess of 350 million per day. In October that number was more like 50 million per day. My guess is it will be over a billion per day within four or five months.

Kristina: What is driving this kind of growth?

Lon: The biggest driver of that growth is a rapid increase in Native programmatic supply as well as demand. From the supply side, we see is expanding in three buckets: direct publisher integrations; SSPs like Pubmatic and Rubicon, who now are identifying Native inventory in their own publishers; and exchange-to-exchange integrations between our own Native exchange and other Native exchanges. On the demand side, a rapid increase in programmatic Native buying, as well as insertion orders running through the platform, has been a direct result of the supply increase, as advertisers have not been limited by inventory and have been dramatically been scaling up their buys accordingly.

More from Lon and Bidtellect tomorrow, including the trends to watch in native.

Image via Shutterstock

Tags: advertising, advertising tips, Bidtellect, native advertising, RTB advertising

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