Yahoo goes native with Gemini ads

   

Yahoo goes native with Gemini ads ...

Yahoo Gemini ads are the new PPC innovation from Yahoo which are designed to help advertisers reach an additional 30% of users through native advertising. Not only are they a great way for brands to reach a new audience, they also represent a statement of intent from Yahoo with regards to paid search. The initial feeling is that this is Yahoo’s first stage of a breakaway from the search alliance.... Watch this space!

Gemini ads are a very exciting prospect for those of us who work in PPC; they allow us to manage slick looking native ads targeted using audience profiling and allow us to buy the space on a Cost Per Click basis. Here at equimedia there's been a bit of a debate as to which sector this sits in - PPC or display? The PPC team won the argument and this opportunity sits with us!

Native advertising – what is it? 

In a nutshell, native advertising is an online advertising technique that allows you to advertise in a way that fits naturally in the form and function of the placement or platform where it appears.

Translated? Ads that 

look more like the content in the surrounding environment

than a traditional ad.

Advertisers do need to label the ad as a paid for placement in an effort to make it clear for the user. You’ve probably already seen the little yellow ‘Ad’ box when searching on Google (arguably a native ad), a #sponsored label on brands’ Instagram posts or the sponsored disclaimer within popular news apps. 

Google ad example

Image Source: 
Google

sponsored label on brands instagram

Image source: Instagram

sponsored disclaimer on the daily mail

Image source: Daily Mail app

Why does Yahoo care? And should you care? 

Over the pond in the US native advertising is an even hotter topic than it is here with both publishers and advertisers taking more and more notice. Data from the US market suggests investment in native advertising will exceed $10 billion by the end of this year and indications are that this type of placement will continue to go from strength to strength. 

native advertising revenue

Source: 
BI Intelligence

The popularity is being fuelled by data that suggests improved performance of native formats in comparison with standard banner ads:

  • Users are 25% more likely to look at a native ad than they are at a banner
  • Users look at native ads 53% more frequently
  • Users are more likely to share a native ad with others (32% vs. 19% for banners)
  • Users are 18% more likely to purchase having viewed a native ad than a banner ad

Source: 
Sharethrough & IPG Media Lab

In the UK stats are harder to get a hold of, but there’s no doubt in the growing popularity of native ads, with their appearance everywhere from YouTube to Spotify.

And it seems Yahoo is very much behind native too. CEO, 
Marissa Mayer, last week gave her opinion that the growth of native advertising could be accelerated if the ad blocking trends continues.

Will it work? 

There's no doubt that Gemini ads are more suited to certain verticals than others. The results we’re seeing certainly reflect that, and for advertisers who are maxed out in PPC they do present a good opportunity to gain additional conversions or traffic.

Our clients in the financial sector are always looking to grow their customer base, and Gemini ads provide this opportunity. So far we’ve found that Gemini ads in this sector can be difficult to get right. This may be because it's not a natural partnership - the nature of the sector means it's very difficult to source engaging and relevant images that capture the imagination of the user and generate efficient results in terms of sale conversions.

If the KPI is traffic or brand awareness, these ads can have positive results. What we have seen for several financial verticals is that Gemini Ads have a halo effect in getting fresh users to clients’ sites, where we can then use remarketing and alternative messaging to drive additional conversions.

The charity sector is definitely one sector that looks like a great fit for Gemini ads. Image rich ads allow charities to convey their messaging with greater impact to the user, helping to increase their supporters and spread the message (people love to share images). See how we’ve used this approach for 
The Donkey Sanctuary ad!

the donkey sanctuary ad

We’ve seen exceptional results for the charity sector, and firmly believe the key is finding the right image – this has to be stimulating and provoke an emotional reaction that prompts a visit to the charity’s site or at the very least, leaves a lasting impression. A lot of early predictions claimed Gemini ads would give Yahoo and Bing some additional volume. However, initial
results and projections across the industry as a whole (including the US) seem to show that this traffic isn't eating into Google’s share of traffic but coming at the expense of Bing. Gemini ad performance can only improve as Yahoo, clients and agencies build their experience, and begin to optimise campaigns. Gemini ads look as if they will be Yahoo’s new flagship product and will eventually boost their search activity as they partially break from Bing. One thing is certain and that is Yahoo Gemini ads aren’t going away and we will be making it a big part of future activity for all our clients. Watch this space…

   

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