Native advertising is a type of advertising that blends in with the content of the platform where it is displayed. It is designed to be less intrusive than traditional forms of advertising and aims to provide value to the reader or viewer. In recent years, native advertising has become increasingly popular among marketers due to its ability to generate higher engagement and conversions. However, measuring the success of native advertising can be a challenge for marketers. In this blog post, we will discuss the key metrics that marketers should track to measure the success of their native advertising campaigns. These metrics will help marketers to understand how their campaigns are performing and make informed decisions about future campaigns. By tracking these metrics, marketers can optimize their native advertising campaigns to achieve their marketing objectives and drive business growth.
Click-Through Rate (CTR)
Click-through rate (CTR) is one of the essential metrics to track when measuring the success of a native advertising campaign. It refers to the percentage of people who clicked on an ad after seeing it. In the context of native advertising, CTR is crucial because it indicates how well the ad blends in with the surrounding content and how compelling it is to the audience.
A high CTR indicates that the ad is relevant and engaging to the target audience, and it’s generating interest in the promoted product or service. A low CTR, on the other hand, suggests that the ad may not be resonating with the audience or that it’s not visible enough.
Calculating CTR in native advertising involves dividing the number of clicks by the number of impressions (how many times the ad was displayed to the audience). A good benchmark for CTR in native advertising is around 0.3% to 0.5%. However, this can vary depending on factors such as the industry, ad format, and target audience.
To improve CTR in native advertising, marketers can test different ad formats, headlines, and images to see what resonates best with their audience. It’s also important to ensure that the ad is clearly labeled as sponsored content to maintain transparency and build trust with the audience. By optimizing CTR in native advertising, marketers can increase the chances of achieving their marketing objectives and drive business growth.
Engagement Metrics
Engagement metrics are essential for measuring the success of native advertising campaigns. These metrics track how the audience interacts with the ad and provide insights into how well the ad is resonating with the target audience.
Examples of engagement metrics in native advertising include time on site, shares, likes, comments, and social media mentions. Time on site measures how long the audience spends on the advertiser’s website after clicking on the ad. Shares, likes, and comments indicate how many people are engaging with the ad and may help to increase its reach. Social media mentions provide insights into how the audience is talking about the brand or product on social media.
To track and analyze engagement metrics in native advertising, marketers can use various tools such as Google Analytics, social media monitoring tools, and native advertising platforms’ built-in analytics. By analyzing these metrics, marketers can identify which ad formats, headlines, and images are resonating best with the audience and adjust their campaigns accordingly.
It’s worth noting that engagement metrics alone may not provide a complete picture of the ad’s success. For example, an ad with high engagement may not necessarily translate to high conversions. Therefore, it’s essential to balance engagement metrics with other key metrics such as CTR and conversion rate when evaluating the success of native advertising campaigns.
Conversion Rate
Conversion rate is a crucial metric for measuring the success of native advertising campaigns. It refers to the percentage of people who completed a desired action, such as making a purchase or filling out a form, after clicking on an ad.
In the context of native advertising, conversion rate indicates how well the ad is driving the desired action and whether it’s achieving the campaign’s objectives. A high conversion rate indicates that the ad is effectively converting the audience into customers, while a low conversion rate suggests that the ad may not be resonating with the audience or that the landing page may not be optimized for conversions.
To calculate the conversion rate in native advertising, marketers need to track the number of conversions divided by the number of clicks on the ad. Conversion tracking can be set up using tools such as Google Analytics or native advertising platforms’ built-in tracking.
To improve conversion rate in native advertising, marketers can test different landing pages, ad copy, and call-to-actions. They can also ensure that the landing page aligns with the ad’s message and that it’s optimized for conversions, such as having a clear value proposition and prominent call-to-action buttons.
By optimizing conversion rates in native advertising, marketers can increase the return on investment (ROI) of their campaigns and drive business growth. It’s important to note that the conversion rate should be balanced with other metrics such as CTR and engagement metrics to get a complete picture of the ad’s success.
Cost Per Acquisition (CPA)
Cost per acquisition (CPA) is a metric that measures the cost of acquiring a new customer through an advertising campaign. In the context of native advertising, CPA refers to the cost of acquiring a new customer through clicks on the native ad.
Calculating CPA in native advertising involves dividing the total cost of the campaign by the number of new customers acquired through the ad. CPA is an essential metric for evaluating the profitability of a native advertising campaign, and it’s particularly useful when measuring the effectiveness of campaigns that focus on driving conversions or sales.
To optimize CPA in native advertising, marketers can test different ad formats, targeting options, and bidding strategies to find the most cost-effective way of acquiring customers. They can also optimize landing pages and calls-to-action to improve conversion rates and decrease CPA.
It’s worth noting that CPA can vary depending on factors such as the industry, ad format, and target audience. Therefore, it’s essential to establish a CPA benchmark for each campaign and continuously monitor and adjust the campaign’s performance to achieve the desired results.
By optimizing CPA in native advertising, marketers can improve the ROI of their campaigns and achieve their marketing objectives more efficiently. It’s important to balance CPA with other metrics such as CTR and engagement metrics to get a complete picture of the ad’s success.
Return on Investment (ROI)
Return on investment (ROI) is a metric that measures the amount of return generated from an investment relative to its cost. In the context of native advertising, ROI refers to the return generated from the native advertising campaign relative to its cost.
Calculating ROI in native advertising involves subtracting the cost of the campaign from the revenue generated by the campaign and dividing the result by the cost of the campaign. ROI is a critical metric for evaluating the profitability of a native advertising campaign and determining whether the campaign is generating a positive return.
To optimize ROI in native advertising, marketers can focus on improving key metrics such as CTR, engagement metrics, conversion rate, and CPA. They can also test different ad formats, targeting options, and bidding strategies to find the most cost-effective way of reaching the target audience and driving conversions.
It’s worth noting that ROI can vary depending on factors such as the industry, ad format, and target audience. Therefore, it’s essential to establish a ROI benchmark for each campaign and continuously monitor and adjust the campaign’s performance to achieve the desired results.
By optimizing ROI in native advertising, marketers can improve the profitability of their campaigns and achieve their marketing objectives more efficiently. It’s important to balance ROI with other metrics such as CTR and engagement metrics to get a complete picture of the ad’s success.
Other Key Metrics
Apart from the metrics mentioned above, there are other key metrics that marketers should track to measure the success of their native advertising campaigns. These metrics include:
- Viewability: Viewability refers to the percentage of the ad that is actually viewed by the audience. In native advertising, it’s essential to ensure that the ad is viewable to the audience to maximize its impact. Marketers should aim for a viewability rate of at least 50% to ensure that their ads are getting enough exposure.
- Scroll depth: Scroll depth measures how far the audience scrolls down the page to view the ad. In native advertising, it’s important to track scroll depth to understand how much of the ad is being seen by the audience. Marketers can use this metric to optimize the ad placement on the page and improve its visibility.
- Time on site: Time on site measures how long the audience stays on the website after clicking on the ad. In native advertising, it’s important to track time on site to understand how engaged the audience is with the website and the ad’s message. Marketers can use this metric to optimize the landing page and improve the user experience.
- Social sharing: Social sharing measures how many times the ad is shared on social media platforms. In native advertising, social sharing can increase the ad’s reach and visibility and generate more traffic to the website. Marketers can encourage social sharing by creating shareable content and including social sharing buttons on the landing page.
By tracking these key metrics in native advertising campaigns, marketers can gain insights into the ad’s performance and make data-driven decisions to optimize the campaign and achieve their marketing objectives. It’s important to balance these metrics with other metrics such as CTR, engagement metrics, CPA, and ROI to get a complete picture of the ad’s success.
Final Thoughts
Measuring the success of native advertising is essential to ensure that marketers are getting the most out of their campaigns. By tracking key metrics such as click-through rate, engagement metrics, conversion rate, cost per acquisition, and return on investment, marketers can gain insights into how their campaigns are performing and make informed decisions about future campaigns. It’s also important to keep in mind that native advertising campaigns are not one-size-fits-all, and what works for one brand may not work for another. Therefore, it’s essential to continuously test and optimize campaigns to achieve the desired results. By implementing the key metrics discussed in this blog post, marketers can effectively measure the success of their native advertising campaigns and drive business growth.
