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High-Roller Decision Makers Want More Brand Awareness

Posted on 6.17.2014

Everywhere we look there seems to be an advertisement, and there is no end in sight.

A new study commissioned by Purch and conducted by Advertiser Perceptions, delves into the growth of both native and programmatic advertising as well as sheds light on some of the challenges that both present. The study was conducted in Q1 2014 and targeted U.S. marketer and agency advertising decision makers that spend more than $1 million on digital advertising.

Among the most important findings is that spending on native and sponsored content advertising is expected to triple from 2013 to 2015. The reason that programmatic spending is not included is because nearly 78 percent of high-level decision makers stated that they already use the software to purchase digital ads.

Part of what native and programmatic advertising have in common is advertisers' desire for improved brand awareness and performance through each method. In fact, the study found that 71 percent of native and sponsored content advertisers have branding as the main focus of their campaigns and 65 percent have sales and conversions as a high priority objective. Conversely, 75 percent of programmatic campaigns are assessed by performance metrics which include sales and conversion rates and 51 percent also include brand lift within their assessments.

While the amount of money spent on native content advertising is expected to triple by 2015, the study found that there are still some obstacles that remain. Forty-six percent of respondents say that insufficient reporting and return on investment (ROI) metrics are obstacles with these types of ads. Also, 24 percent said that native content advertising is not turnkey efficient which ultimately means more time and money must be spent on them.

"Advertisers' desire to create brand lift, while also driving sales, has cemented the use of both native and programmatic for publishers and marketers alike," said Mike Kisseberth, CRO of Purch. "The take-away for digital content providers is that to stay ahead of the curve, you must find ways to customize and innovate on both of these offerings to achieve, and exceed, the branding and performance metrics put forth by advertisers."

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