How Much Does Native Advertising Cost?
According to Crazy Egg, a company that builds marketing software tools, a native advertising campaign can cost $250 to $200,000.
Why the tremendous variance?
It mostly has to do with domain authority, but you'll learn more about that in a little bit.
First...
What is Native Advertising?
Native advertising is when marketers use other platforms (or their own) for advertising a product or service but format the ad in a way where its design, layout, and content would not be perceived as an advertisement.
Confusing, right?
This is an article on Women in the Self-Driving Autonomous Tech Industry.
This is a native advertisment in Forbes.
Can you spot the difference?...
I can't tell!
And that's where the brilliance lies; SAP, a multinational software corporation, uses the opportunity to establish its position in the field of leadership, not to push its product.
Native ads can be used seen in most media formats:
- traditional print publications
- digital print publications
- television
- online streaming videos
- social media channels and posts
- search engine results pages
They're everywhere!
But that's because they're a great way to inform an audience about your product or service and provide credibility depending on the platform's credibility that you're advertising on.
High-quality native advertisements always meet these qualifications:
- they deliver valuable and relevant content
- they are entertaining
- they align with their platform's audience
When a native advertisement meets these criteria, it's difficult to tell they're an advertisement; on the other hand, they stick out with ease when they don't.
What are the Different Types of Native Advertising Platforms?
Now that you know what an effective native ad looks like now we're going to talk about the different types of native advertisements you can create.
- Native displays. These display ads are the standard type of native advertising. These adverts are commonly found at the bottom of an article under "Recommended Articles" that take users to other pages.
- Native content. Native content ads usually take the form of blog or vlog content published by the host publication. They're identified as advertisements because they use a "Promoted Content" tagline.
- Native ad network. An ad network is a company that connects advertisers to various websites that are open to hosting native ads. Using a native ads network is a great way to communicate with a publication willing to host your advertisement and cater to a similar demographic that you are marketing to.
- Native ad exchanges. Like native ad networks, exchanges are marketplaces that act as an intermediary for buying and selling advertising, media, and space; however, exchanges use a bidding system and function more like an open market than networks do. This allows advertisers to buy ad space across multiple websites simultaneously, while networks are more like brokers purchasing space then selling it to you.
What Factors Affect the Cost of Native Advertising?
The factors that affect the cost of native advertising are:
- Domain authority
- Relevance and quality of an ad
- Price negotiation
- Development and production
How does domain authority affect the cost of native advertising?
Back to where we started! Good ol' domain authority, so how does domain authority affect the cost of native advertising?
The more of an authority a website is, the more money it commands for advertising. Here's a quick breakdown by our friends at Crazy Egg:
| Domain Authority | Averge Cost |
|---|---|
|
96-100 |
$101,66.67 |
| 90-95 | $33,536.36 |
| 86-89 | $21,681.33 |
| 80-85 | $26,166.67 |
| 70-79 | $7,726.67 |
| 60-69 | $2,839.58 |
| 50-59 | $1,427.41 |
| 40-49 | $372.19 |
| 30-39 | $287.17 |
| 20-29 | $405.79 |
| 10-19 | $68.43 |
Higher domain authority typically correlates to more prestige and more eyes balls on publications. These are what some of the most prestigious journals charge for native ads compared to other well-known but not as prestigious publications.
| Publication | Average cost for Native Ad |
|---|---|
| Time Magazine |
$200,000 |
| National Geographic | $150,000 |
| Buzzfeed | $100,000 |
| PSFK | $150,000 |
| Arstechnica | $75,000 |
| Refinery 29 | $30,000 |
| U.S News | $30,000 |
| Real Simple | $30,000 |
| C-Net | $30,000 |
| National Journal | $25,000 |
How does Ad relevance affect the cost of native advertising?
Like other forms of advertising, ad relevance plays an essential role in the cost of native advertising. Publications, especially smaller ones, are more likely to work with you if your content aligns with their content.
How does Price negotiation affect the cost of native advertising?
When dealing directly with publications, there may be room to negotiate and lower the cost of potential advertisements. While some publications may have strict guidelines, it never hurts to ask if they're open to negotiations.
How does Development affect the cost of native advertising?
Development might be the second most significant factor of cost behind domain authority.
Why?
It's pretty standard for publications to create native advertising for marketers to ensure the style ad layout is similar to their everyday content. Publications will charge you more for creating content, so keep this in mind and budget accordingly.
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Hi there! I'm Justin, a former content writer here at SavvySME. I’m originally from Miami, Florida, USA, but now reside in Western Australia. After university, I pursued a professional baseball career and over the course of four years wound up playing in the United States, Australia, Switzerland, and Croatia. I fell in love with Australia and now call home! Off the field, I originally gained writing experience as a remote Digital Marketer and Content Writer for a Miami marketing firm. When my sports career ended, I traveled around Australia, formed my own copywriting service, and eventually settled into a position at SavvySME. After working at SavvySME, I feel better equipped to meet the needs of my clients (mainly small business-owners and artist). When I’m not working with clients, I’m building out content for my blog and practicing Brazilian Jiu-Jitsu. I'm happy to chat or answer any questions you may have about writing, copy, or copywriting.
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Yee Trinh, Cofounder at SavvySME
Great overview of native advertising costs, thanks Justin!