Native Ads vs. Display Ads-Which is Better in 2021?

SAGAR SRIVASTAV | July 19, 2021 | 58 views

Native Ads vs. Display Ads
What are the significant differences between native ads and display ads,and how do different businesses utilize each type? Get all the answers in a detailed, concise, and systematic manner.

Businesses have various options to advertise their product or service that helps to attract the audience’s attention and boost engagement. Two of the most preferred, prominent, and globally adapted methods are native ads and display ads.

But, the time has changed, and the popularity of native marketing has increased compared to display advertising. So, let’s discover the key differences between both and find out why marketers have shifted towards native ads.


Native Advertisements

Native ads are designed to look, appear, and function as the original content of the website. Native ads amalgamate with the website content without confusing the viewers from the original content and increase the possibilities of getting a click. Sponsored content and promoted content are excellent examples of native ads.

Native advertising is less intrusive than traditional ads that help inproducinga high click-through rate (CTR) and increase conversions. It provides an excellent opportunity for innovative exposure, which users enjoy without any complexities. Native ads boost your marketing strategy and gain consumer trustquickly.

Types of Native Advertisements

Here is the most prevalent native ads type that marketers utilize to achieve native advertising objectives.
  • In-Feed Units
  • Paid Search Ads
  • Recommendation Widgets
  • Custom Ads
  • Promoted Lists
  • In-Ad with Native Element Units

Survey about Native Advertisements

  • According to a study, website visitors looked at native ads 53% more frequently than display ads.
  • 25% of visitors remember seeing native ads whereas, for display ads, it is 20%.
  • Native ads register a 9% higher lift for brand affinity and an 18% lift for purchase intent than display ads.
  • Native ads receive 53% more views than traditional display ads.
  • Two out of three Generation X and Z consumers trust branded content more than traditional advertising.
  • US native ad spend expected to increase by 21% in 2021 to a value of $57 billion.
  • The native advertising sector is predicted to grow to $400 billion by 2025.
  • Native advertising is the second-best top-performing channel for video campaigns, according to US publishers.
  • Native ads recommendations are 27% more trusted than social ads.
  • Native ads create an 18% increase in purchase intent.


Display Advertisements

Display advertising is a strategy of attracting a website's audience, social media platforms to make a particular move. These are often comprised of text-based, picture, or video ads that motivate the user to click a landing page and take action. These ads usually appear in different shapes and sizes that can be presented inseveral formats. It shows that it helps in selecting the style and formats of the ad. In addition, its visually alluring quality makes it unique and assists in building brand awareness.

With the help of the Google Display Network, you can access numerous sites and target the right audience by adding ads on appropriate websites. You can track clicks and conversion through Google Ads or Google Analytics for more granular performance. It also allows for remarketing opportunities and helps in familiarizing your target audience with your brand.  Display advertising is relatively cost-effective comparatively other advertising channels such as radio, television, etc.


Types of Display Advertisements

There are various kinds of displays ads that helpcapture the target audience's attention, and drive conversions. Let’s take a look at some common kinds of display ads.

• Discovery Ads
• Social Ads
• Retargeting Display Ads
• Responsive Display Ads
• Traditional Display Ads


Survey about Display Advertisements

• 33% of internet users find display ads completely intolerable.
• The average click-through rate for the Google Ad Display Network is 0.46%.
• Responsive display ads are used more than images.
• 43% of PPC marketers say display ads are their least effective channel – yet 84% of marketers are still investing in display ads.
• The most popular display ads are “banners and others,” which includes native ads and social media ads.
• This 2019, 83.6% of U.S. digital display ad dollars will transact programmatically.
• Internet display advertising will be 21.3% of the total global ad spends by the end of 2021.
• Total display ad spend expected to hit 177.6 billion globally.
• The global Programmatic Display Advertising market size is projected to reach USD million by 2027, from USD million in 2020, at a CAGR of % during 2021-2027.

It has become the subject of debate which advertising is superior and beneficial. Both advertising strategies are practical, and result-driven dependingon marketing objectives and how you utilize them. You can go with native advertising if you want to execute a creative and resourceful campaign for your business.Native adswill perform better if you know your target audience can easily be found on different sites, and the same native ads would reach them all. In addition, if you involve native ads in your marketing strategy, it enhances loyalty to your brand and convinces people to share the content with their friends and colleagues.

On the other hand, display ads can be productive, and profitable if you want to experiment and optimize for better performance in the future.Furthermore, display ads are undoubtedly powerful if your campaign goal is retargeting. You can benefit from ad networks which make the phenomenon of placing ads on various sites faster and easier.You can also reach several market segments that don’t go to the same online destination by implementing a display advertising strategy.

Unquestionably, you can implement both strategies. However, it depends on the business to choose which marketing strategy is best for your campaign and give maximum results to reach your objectives. Just make sure you are aware of the benefits and drawbacks of both advertising strategies before selecting.

Frequently Asked Questions

Are native ads better?

The effectiveness of native ads depends upon your business objective. However, it does wonders for marketers in lead generation and hasa click-through rate (CTR) which is eight times higher than for display ads.


What are the top three features of native ads?

Native ads help avoid banner blindness, meet the audience's requirements, and keepthe transparency of the ads maintained.


Are display ads effective for B2B business?

Of course, with the proper implementation of display ads,B2B businesses can boost their leads and experience profits.It also allows the marketer to stamp the market with its creative alternatives like interactive displays, videos, etc.

Spotlight

Nativo Inc

Nativo empowers brands and publishers with the world’s most advanced technology for content. For brands, Nativo enables storytelling at scale with the largest native reach and reveals insights that unlock return-on-content. For publishers, Nativo enriches monetization with the most comprehensive platform for next-generation ad formats and breakthrough technology for accelerated webpages. Nativo’s mission is to equip advertising for the age of content, improving the web experience and creating meaningful connections for today’s digital consumer.

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