5 Dec 2019
Advertising will never die.
Companies will always need to reach new customers, maintain their brand image, give exposure to their product.
For a lot of media, F2P (free-to-play) games, and actually most online websites, their entire business model is wrapped around the idea that ads will finance the content. Sometimes even it is the unique stream of revenues.
Heading back two decades ago, a large number of people in 'developed countries' (IMF/UN definition) were able to afford a personal computer with an Internet connection, thus having their first online experience and facing what happened to be the first online ads.
With the years passing by, the ads experience became better, along with the user experience of the websites. Eventually, Facebook landed in everyone's daily life, collecting data for business purpose, namely ads targeting.
What happened next is the shift to smartphones. Nowadays more than 50% (source: Statista) of online browsing is done on mobiles. And on that medium, ads got to another level. Instagram is the most breathtaking and vivid example of that, thanks to native ads.
Ads displayed on Instagram take the shape of regular content or stories. The only thing is that it doesn't come from your friends; it's "sponsored content". I realized it a couple months ago, counting that on average 1 publication out of 4 aka 25% of what I see on Instagram, is ad content… Help yourself and count them in your own feed.
Photo by Jakob Owens on Unsplash
With native content (i.e. embedded), not only Instagram can provide the best engagement rate on the market (4.3%, source: UnionMetrics), but it has brought a new era of advertising. Instagram has the capability to display a proper ad, to a relevant audience, without the latter consciously recognising it as publicity.
However, this is still intrusive content. It is literally unwelcome, uninvited to the end-user navigation. Of course it shan't be compared to other mobile ad formats, such as interstitials or banners that are completely imposed to the viewer's eyes.
The future of online advertising should be able to respect users in their browsing, whilst finally acting as a key stakeholder in the digital wellbeing of the people.
At PalmUp we are dedicated to bringing new mobile ad formats that do exactly that: a basis for non-intrusive, rewarding and sharable content.