A report, recently published by eMarketer, presents its predictions by juxtaposing 2018 numbers with 2020 estimates. It concludes that in 2020, native advertising will be more programmatic and mobile, but less social. That said, social native advertising still commands around 75% of native spending, however, that figure is expected to go down by 2020.
This bodes well for native advertising tech companies moving forward, especially content demand-side platforms (DSPs). The industry’s outlook is rosy indeed - as social’s share of voice declines programmatically, it’s the non-social technology platforms that will benefit the most.
However, the report goes on to warn that fragmentation in the market could be a problem for buyers, with so many vendors globally. It’s the DSPs that solve for this fragmentation, by consolidating the supply vendors under one platform, that have the greatest growth outlook moving into 2020.
In addition, the report cites MediaRadar’s H2 2018 numbers which show that new advertisers using native have stagnated. This, according to the report, indicated that the native market is mature. The MediaRadar report also found that in H1 2018, 473 advertisers placed native ads for the first time each month, on average. However, it also shows that only 11% of online advertisers are placing native ad units.
Is Programmatic Native Advertising Mature?