Native Ads Not Being Labeled Correctly
The use of native advertising has grown dramatically in the past few years.For the unfamiliar, native ad formats are designed to mimic the look and feel (matching the form and function) of the platform within which it is displayed.
Native ads have been very effective for advertisers and publishers alike, but "matching the form and function" can result in a content and context experience which may confuse or mislead users - particularly as these native ad experiences do not always feature the required disclosures.
The Native Advertising Institute (NAI), in fact, recently released two studies indicating that nearly one in ten news and magazine publishers openly admitted that their publications had not labeled online native advertising.
The Native Advertising Trends in News Media 2017 report (PDF), a collaboration with the International News Media Association (INMA), found that more news media publishers (11%) said they weren’t labeling their native ads compared to last year (7%). In another report from NAI and INMA that focused on the magazine industry, the number of publishers not labeling native ads was 10% — a bit lower than last year’s 11%.
“It’s great news that native advertising is becoming a more integrated and accepted part of the publishers’ offerings. However, it’s bad news if it becomes so integrated into the the product that the audience cannot tell it from editorial content,” noted Jesper Laursen, founder and CEO of the NAI.