Press Release: MediaRadar Study - Native Renewal Rates Up to 40% in 2018
NEW YORK, NY (November 30, 2018)— MediaRadar, the leading advertising intelligence and sales enablement platform, today released its latest trend report on digital native ad spend from January 2016 to June 2018. The study reviewed thousands of ads from over 3,000 sites.
Market Reaching Maturity
According to the analysis, in the first half of 2018, an average of 473 advertisers placed native ads for the first time each month.
“There is room to grow in this category but the market has definitely matured,” added Krizelman. “To win in a mature market, publishers need to build out native capabilities, infrastructure, and products to meet the demand from advertisers. As they do this, I expect the number of sites winning native campaigns to increase.”
Native renewal rates are up to 40% vs. just 33% in 2017
For brands that returned to a site 60 days after their initial campaign, the average renewal rate was just 40%. This is up from 33% in 2017.
“Renewal rates for native are an area that publishers have been looking to improve,” said Todd Krizelman, CEO & Co-Founder of MediaRadar. “There were definitely gains in 2018, though more can be done to ensure that the growth is long-term. This year’s numbers certainly demonstrate improvement, but there’s still a long way to go for publishers.”
Native is consolidated to just 10% of sites where brands advertise
According to MediaRadar’s data, brands running native ads are doing so on a small portion of sites, placing native content on just 10 percent of the websites where they are advertising. Roughly 11 percent of brands advertising online are placing native ads at all.
Media & entertainment is the top native category by spend
The use of native advertising varies by industry, with media and entertainment companies being the biggest spenders. Based on the number of campaigns from January to August 2018, the top-five verticals using native were, in order:
- Media & entertainment -- Media & entertainment companies spent $269 million. The biggest spenders were Comcast, Hulu, and Cox.
- Technology -- The technology category spent $75 million on native, with Microsoft, Google, and Grammarly leading the pack.
- Finance & real estate -- Together, finance and real estate spent $75 million, with Bank of America, Discover, and Charles Schwab being the top-three advertisers.
- Professional services -- Top advertisers included HomeServe, Stitch Fix, and Kelley Blue Book. The category invested $57 million in native.
- Retail -- Amazon, Walmart, and Best Buy topped all native advertisers. In total, retailers put forth $46 million.
MediaRadar offers a suite of tools that provide sales intelligence for media and ad tech sales teams, as well as new business development executives at agencies. MediaRadar products are built to support digital media companies (dotcoms and mobile), broadcasters and traditional media companies (magazines and newspapers), as well as ad tech brands and media-buying agencies.
The platform’s intelligence capabilities are powered by a proprietary combination of AI and machine learning. Through its technology, MediaRadar tracks multi-channel ad campaigns for millions of brands, distilling them into actionable, competitive insights, brand analysis, and prospecting reports – all in one easy-to-use platform. Users leverage these insights to identify the best prospects, build and nurture stronger relationships with clients and close more business.
To download MediaRadar’s native advertising trend report, visit: https://mediaradar.com/trend-reports/in-depth-look-into-current-state-of-native-advertising/.
MediaRadar revolutionizes ad sales by helping sales executives spend their time pitching and closing deals, instead of researching and preparing. MediaRadar also helps sellers determine the best prospects to pursue, which offerings to pitch, and how to position themselves most effectively against their competitors. This SaaS sales-enablement platform is built on the most comprehensive and up-to-date database of multimedia advertising information available. Connect with us on Twitter, Facebook, and LinkedIn.
For more information about MediaRadar, visit www.mediaradar.com.
Chris Harihar of Crenshaw Communications, on behalf of MediaRadar