Personalization is key. It’s an unofficial motto of today’s marketing, and companies more or less consistently follow the principle: Grammarly sends reports to users on how their writing has improved; Nike has a 3D sneaker customization platform; and Hulu adjusts its targeting to provide each user with a personalized stream of shows. It doesn’t stop here: if you aren’t locked in a ramshackle hut in the farthest corner of the earth, you’ve probably noticed how brands contend with each other, trying to get a modicum of your attention.
But where do native ads come in?
What Are Personalized Native Ads?
Let’s cut it to the chase. Unlike my usual self, I’ll try to ignore all tangential subjects that may pop up and remain true to my ultimate goal: describing personalized native ads, the ads du jour.
Native ads differ from other forms of advertising by their unique ability to integrate into content, matching its format, style, and tone, remaining almost invisible to an untrained eye. If you’re into spy films, you can think of these ads as undercover agents who dissolve in the crowd to accomplish the task without being spotted.
Such portrayal describes natives as a powerful tool that can improve your campaign and get your conversion rates off the charts, but you can go further and follow Hamilton's suit: never be satisfied. Natives can be upgraded and show even better results: personalized native ads tailored to individual users based on their demographics, preferences, and behavioral patterns become part of the content experience. Sounds too good to be true, but this is reality of the modern world, and if you're one of the enthusiasts who want to tinker with natives and learn how they work, join Native Hub by Xevio: this education platform can help you transform from a modest novice into a well-versed specialist armed with data-driven insights; if you’re already a seasoned pro, you may want to check them out to see if they have made discoveries you overlooked (spoiler: they probably have.)
The principle behind native ads is self-explanatory, but various platforms approach it with a different flair. For example, on Facebook you often encounter Sponsored labels, appearing near posts that resemble regular UGC. News websites show recommended articles that align with the editorial style. Book-related platforms with a large number of digitalized incunabula may offer you to watch an interactive timeline ad showcasing the evolution of printing and literature, and chances are, you will watch it, even if you initially intended to look through the pages of the Gutenberg Bible of 1455. Why are you so inclined to pore over the timeline you didn't know you needed? The answer is simple and encapsulates the nature of native ads: the art of native advertising is the art of delivering information in a non-intrusive and engaging way.
Less Annoying, More Addictive
We have concluded that native ads leave an indelible impression on users, and people are willing to share them with their family and friends. The study may not be too hot and steaming, but the numbers nudge you to add more value, insights, and details: over 32% of respondents to a poll expounded that they would share natives with their followers, compared to just 19% for display ads. While it is a surprising discovery, the outcome is only logical: this is what you can expect from the market that is projected to hit the benchmark of $421.5 billion by 2033.
Are native ads addictive? In all likelihood, yes. At least this is a general conclusion we can draw from these findings:
- Natives blend in with the content users are already engaging with, achieving a 53% higher viewability rate than standard display ads.
- Outbrain reports that native ads are typically known for a much higher CTR compared to display ads, with natives reaching an average CTR of 0.2%, while display ads struggle at just 0.05%.
- Propeller Ads finds that native advertising often results in significantly higher conversion rates, proving that personalized ad experience incites users to take action.
Of course, you are welcome to corroborate further and provide additional bits, but what more do you need to go native? This type of advertising offers a compelling advantage through seamless integration, better CTR, higher engagement, and, above all, improved conversion rates. In short, if you are looking for a powerful tool to connect with your target audience, native ads are your magic wand.
The Power of Personalization
Personalization is the new sexy, and it’s not me setting the rules: it’s the growing demand of consumers whose wishes and whims evolve with time. Before COVID, personalization was considered a plaything; during the pandemic the tables turned, and the surge in digital behaviors changed the situation and raised the bar.
According to McKinsey & Company, 71% of consumers now expect companies to deliver personalized interaction. Oddly enough, 76% get frustrated if their hopes are not fulfilled. Frustration, however, is only one side of the coin: you can deal with an upset user, but in the end, it may affect your performance. The correlation may not be clear, but personalization and performance go hand in hand: the same findings expose that personalization drives performance and better customer outcomes; faster-growing companies generate 40% more of their revenue through personalization compared to those with slower growth.
Any doubting Thomas out there? No? There's something else to consider: personalization can significantly shorten the buyer’s journey. As a huge music fan, I’m tempted to mention Spotify (and I will continue to do so because the company’s known for a few interesting inventions... Except for the latest Wrapped, perhaps). Once you’re on the main page of the app, you can scroll down and bump into the Add Songs to Your Playlist feature. Such personalized playlists are designed based on user listening behavior: if you listen to too much Turkish rock, you're bound to come across Mor ve Ötesi; if you explore darkwave, you might accidentally fall into the pit of dark Icelandic vibes with Kælan Mikla; past pop choices will lead you to Mika and Eurovision. In short, Spotify analyzes your behavior and predicts your preferences to deliver unique playlists to each user, which may eventually result in quicker adoption of premium services or additional purchases like concert tickets.
Amazon is another noteworthy example. This marketing mogul was among the first platforms that cracked the personalization conundrum and introduced it to a wider audience. A 2013 study by McKinsey demonstrated that 35% of Amazon's sales are driven by personalized recommendations, and more recent discoveries indicate that personalization can drive up to a 15% increase in sales and a 10% uplift in conversion rates.
Why should affiliates know that? The crux of the paragraph can be summarized in one short sentence: personalized advertising accelerates the path to conversion, shortening the buyer's journey.
Nailed It!
Some brands do it better than others, and by it I imply native advertising. Somewhere in the previous paragraph I officially pledged to dedicate more time to Spotify, and as usual, it is bound to steal the limelight right from the get-go.
So, what does it do exactly? Apart from many intriguing features, Spotify creates personalized playlists in collaboration with major brands like Coca-Cola and Barilla, allowing brands to tap into people's lifestyles without being disruptive.
Netflix is the next in line. Its native advertising genius lies elsewhere, namely in its rich, editorial-style content. In June 2014 (yes, it's been a while, but the company has set a precedent, so bear with me), Netflix bought an ad that ran on The New York Times website: it contained charts, video, and audio to supplement text about female incarceration in the U.S. The ad never dragooned people to watch the promoted show, Orange Is the New Black, but it dwelled on the subject corresponding with the main idea of the TV series — women's experiences in prison.
Airbnb, another contender, tends to partner with digital media outlets to craft immersive stories that a) showcase destinations and b) promote Airbnb staying options. Over the years, the company collaborated with National Geographic, Disney and Bear Grylls, the Barbie movie creators, and even Pantone. That requires some imagination, doesn't it?
Netflix’s native ad on Orange Is the New Black (source: The New York Times)
Big companies, however, aren't given an exclusive right to exploit native advertising. Thriving businesses keep turning to native to improve the results further, and you can find the exact details in Taboola's case study.
Smart ‘n’ Safe
Inspired by the aforementioned examples, even the most idle affiliate wants to go on a native advertising spree. If Airbnb managed to pull off a campaign with Pantone, a company that had absolutely nothing to do with traveling and tourism, you can do too. Personalization can indeed be powerful, but only when it's done ethically and transparently, in a way that prioritizes the user experience.
Here's your checklist.
Keep it legal.
Privacy laws like GDPR and CCPA are constantly evolving. According to them, brands must ensure they collect, store, and use data in compliance with current regulations, always obtaining clear user consent. Work closely with legal or compliance teams to regularly audit ad strategies and tools. Not sure? Ask your legal team who can decipher complicated legalese before your marketing wand gets you zapped.
Match the mood: align with user intent.
Deliver content that's actually useful; abstain from peddling winter gloves to someone who's packing for a conference in Dubai. When your ads match what users are searching for, they are considered mild recommendations, not vexing interruptions.
Segment like a sorting hat.
Smart audience segmentation is one approach that will keep you ahead of the curve. When you send relevant messages to the right people, you get your reward.
Label it loud & proud.
There's nothing wrong with labels. Users value honesty, so don't withhold the fact that the content you're posting is sponsored or promotional. Remember, blurred lines between paid and editorial content erode trust; a clear distinction between the two only amplifies it.
These little tips are mentioned here to remind you that native ad personalization is not a weapon you can throw in all directions. As with any powerful tool, it can improve your campaign performance, strengthen brand credibility, and build long-term loyalty, but you should treat its potential responsibly not to squander it away.
Conclusion
Native advertising is your real — and quiet — MVP that can fit into content feeds and speak directly to user interest. When done smart, such ads can effortlessly convert random users into buyers who only welcome them.
So, whether you're channeling your inner Spotify, Netflix, or any other platform, remember: the best personalization feels like a service, not surveillance.
