Articles by: "Jason Kalin, Chief Business Officer – Nativo"

4 Improved monetization paths for publishers in 2025

December 16, 2024 Jason Kalin, Chief Business Officer – Nativo

In 2024, the publishing and broader digital landscapes faced seismic shifts, many of which were beyond publishers’ control. New privacy regulations, continued identifier loss, and Google’s indecision on third-party cookies have left publishers grappling with uncertainty when it comes to how they translate their audience relationships into meaningful, monetizable ad experiences. That uncertainty will follow the industry into the new year and beyond.

Yet, amid this turbulence, publishers can still chart their own course toward sustainable revenue growth. The key lies in leveraging new tools and strategies to improve monetization while still staying true to editorial missions. Let’s explore four promising opportunities for publishers in 2025.

Tapping into AI for better ad experiences

The implications of generative AI extend well beyond content. New capabilities are also changing the way publishers approach ad experiences. With AI-driven tools, publishers can enable their advertisers to create tailored creative that aligns with individual audience preferences, increasing engagement and commanding higher premiums.

Dynamic ad creative has long been an underused tool. Now, with advancements in AI, publishers have a growing array of options for implementing real-time adjustments to ad content. With OpenAI revamping Sora and other text-to-video AI tools hitting the market, generative AI will increasingly extend into the realm of video ad customization based on the surrounding content or the visitor’s interests.

Native advertising is also poised to benefit significantly from AI. By generating and testing multiple headline variations, optimizing ad copy, and ensuring contextual relevance, AI empowers publishers to elevate native ad performance. These tools not only boost returns for advertisers but also streamline content creation processes, making premium advertising formats more accessible for advertisers and lucrative for publishers.

Using predictive modeling to unlock new revenue

For publishers, any unique signals they are able to draw from their first-party data and pass along to buyers are key to growing revenue. The importance of being able to package this first-party data and pass it into the bidstream to DSPs cannot be overstated.

When it comes to deriving value from first-party data, the increased sophistication of predictive modeling represents a game-changer for publishers seeking more-sustainable revenue growth. Using their valuable first-party data, publishers can create sophisticated models that anticipate user behavior and use the insights from those models to improve both content and ad delivery.

One of predictive modeling’s most compelling applications lies in audience extension. By analyzing their existing audience’s attributes and behaviors, publishers can identify similar audiences beyond their platforms. These audiences can be targeted off-site, with a portion of the resulting ad revenue feeding back to publishers.

Additionally, combining first-party data with contextual and engagement signals allows publishers to predict ad performance with greater precision. This approach enhances the value of inventory by ensuring ads resonate with the intended audience, thereby driving higher yields.

Finally, beyond immediate monetization, predictive modeling helps publishers expand their audience base. By leveraging data to attract and retain new users, publishers not only grow their first-party data assets but also position themselves for longer-term revenue gains.

Building profitable commerce media partnerships

The paths of digital publishing and commerce media are becoming more deeply intertwined as we move into 2025—and that’s a good thing for both sides. Strategic partnerships between publishers and commerce platforms can unlock new revenue streams across the board while enhancing the consumer experience. It’s one of those notorious but rare win-win-win scenarios.

Consider the partnership between Best Buy and CNET, through which curated CNET editorial content complements the Best Buy shopper journey. By integrating expert reviews and recommendations into its platform, Best Buy offers a richer user experience without having to develop content capabilities internally. Meanwhile, advertisers can share ad spaces across Best Buy and CNET, “allowing them to see the impact of their advertising campaigns through a full-funnel, closed-loop media solution.” For CNET, this means new valuable audience insights and ad revenue are being unlocked simultaneously. This isn’t terribly dissimilar from the benefits Yahoo sought to unlock with its partnership with Lowe’s back in 2022.

Publishers are uniquely positioned to provide the educational and inspirational content commerce platforms need to engage customers at the top and mid-funnel stages of their journeys. By joining forces, publishers and commerce platforms can deliver cohesive advertising solutions that cater to performance-driven and branding objectives alike, while also aligning with the needs of their respective audiences.

Unlocking the underleveraged mid-funnel

All three of the previously mentioned opportunities point toward a broader pivot that publishers should be making in 2025: deepening their focus on monetizing the mid-funnel, where consideration is born. The mid-funnel represents a crucial, often-overlooked stage of the customer journey that is a natural fit for publishers looking to derive the greatest possible value from their audiences and content.

By analyzing behavioral patterns and preferences, AI and predictive modeling can empower publishers to target audiences in the mid-funnel—those who are aware of brands but have yet to establish their consideration set—with greater precision. Likewise, commerce media partnerships further enhance mid-funnel monetization opportunities by spotlighting and placing value on publishers’ ability to create engaging, informative content that complements commerce platforms’ transactional focus.

Finally, as an important new piece of the puzzle, emerging mid-funnel measurement tools are not providing unprecedented visibility into mid-funnel performance. These solutions allow publishers to easily quantify the impact of content-driven campaigns on brand consideration, pre- and post-campaign, offering insights that can inform campaign enhancements around this important metric of success.

As publishers navigate the evolving digital landscape in 2025, they’re more in control of their own destinies than it might sometimes seem. By embracing generative AI, predictive modeling, commerce media partnerships, and a deepened focus on the mid-funnel, publishers can unlock sustainable new or improved revenue streams. These strategies not only enhance monetization but also preserve publishers’ ability to produce the vital content that informs and enriches society. In this regard, the above strategies aren’t just opportunities—they’re responsibilities.

Advertising | Supporter Spotlight

4 ways media execs can turn the death of cookies to their advantage

July 24, 2023 Jason Kalin, Chief Business Officer – Nativo

After what seems like an endless amount of anticipation, Google will begin phasing out third-party cookies in Chrome in six months, and fully within the next year.

At this point, today’s media executives have spent years being told that they need to prepare themselves for the deprecation of third-party cookies in Chrome. They’ve been assured that the significant limitations of third-party cookies mean their demise is no great loss in the first place, and they’ve been given step-by-step instructions for transitioning away from third-party cookies altogether.

The assurances are true. And the bits of advice are practical. But there’s more to the story—and it’s time for us to mentally take the next step on the journey to a cookieless digital ecosystem.

What if—just what if—the loss of third-party cookies is actually an opportunity for publishers to strengthen themselves for the long haul and position themselves for growth, rather than mere survival? While so many in the online ecosystem are busy calculating the anticipated downside of third-party cookie deprecation, there’s an opportunity for future-minded media executives to be flipping the narrative and telling ad buyers why cookieless targeting will be a boon to their campaigns.

Let’s take a look at four points that media companies should be emphasizing to buyers as our industry transitions toward cookieless targeting tactics.

Reinvigorating appreciation for quality

Moving forward into a cookieless reality, the publishing industry is going to see renewed energy being put into contextual targeting, richer and more content-focused ad formats, and publisher-powered insights around user behavior, personas and people’s affinity toward content and brands. In other words, the value of content is coming back to the foreground, and that’s incredibly good news for today’s publishers.

Media execs that lean into what they know about their visitors—who engage with certain content, including native articles and who have a high propensity to click on native display or interact with brand content and sites—are going to be able to offer unique targeting options to advertisers. Moreover, they’re going to be able to demonstrate the quality of their audiences as a result of the quality of their sites, enabling them to assign higher value to their inventory.

Driving greater return on ad spend

Those that lean into cookieless targeting are also going to be able to demonstrate greater CPA and CPC performance for advertisers. That’s because certain cookieless targeting options, particularly ones that leverage publisher data to predict user behavior and directly connect buyers and publishers based on expected results, are able to eliminate third-party data fees. Media companies can promote to advertisers the added price efficiencies on non-cookied inventory, which results in higher win rates at lower clearing CPMs.

Offering more-efficient campaigns

Going one step further, cookieless targeting built around the power of publishers and their insights means advertisers can save the time and expense associated with onboarding data. That’s a big selling point for publishers that embrace the cookieless ecosystem and the value of their audience data. Furthermore, these publishers can help advertisers find new users to build retargeting pools, while also obtaining greater reach and reduced latency by serving Safari and iOS users (i.e., users lost within cookie-driven campaigns).

Moving consumers from consideration to action

Finally, let’s talk outcomes: By reprioritizing content and content-driven ad formats within the advertising ecosystem, cookieless targeting lets advertisers find new prospects in the consideration phase and drive them to their site to increase click-through conversions and strengthen retargeting tactics. In other words, publishers can help their advertisers get a much better handle on their mid-funnels and ensure these high-value consumers are given every incentive to take action.

The final push into a cookieless digital ecosystem is approaching fast, and given the headlines of the past three years, it’s understandable that most publishers are feeling trepidation. But the reality is that cookieless tactics and solutions are precisely what today’s online publishers need to realign their advertising offerings around the true value and quality that they can deliver. Ultimately, for the publishers that embrace it, the move to a cookieless world will be what drives long-term sustainability.

Advertising | Revenue | Supporter Spotlight

Pathway to driving incremental branded content revenue

May 15, 2023 Jason Kalin, Chief Business Officer – Nativo

In a previous post, we predicted that there would be a rapid expansion of brand content with the adoption of generative AI and discussed how publishers can utilize this adoption to fuel growth. I wanted to expand on some strategies publishers can implement to start the conversations with brands and agencies about using the content they have already invested in to drive brand consideration.

Publishers can leverage a brand’s non-promotional content and powerful storytelling to drive new and incremental revenue. Consumers across different mediums are actively engaged with long-form content, increasing brand recognition. Here’s a pathway for publishers that want to help brands use content in order to optimize the revenue potential for their businesses.

Content: A vehicle for influence

Before we jump into the strategies, why should you care about prospecting with content? Here are some numbers to help convince you that consumers rely on content to make purchase decisions:

According to Content Science, 70% of consumers prefer to learn about products and services through content rather than traditional advertising.
According to Nielsen, the average time spent on sponsored content is two minutes and thirty seconds. That’s roughly the same as purely editorial content.

In today’s digital age, consumers are inundated with display and video advertisements. But when it comes to product and service information, branded and sponsored content takes a backseat to these traditional digital formats. The data suggests that consumers are looking for authentic and informative content they can engage with rather than being sold to.

Long-form branded content allows brands to tell their story, provide helpful product and category information, and ultimately guide consumers to make an informed purchase decision on their terms. As a result, companies are changing their marketing strategies to focus on creating content that informs consumers throughout the purchase journey. And publishers are the ideal partner to repurpose, optimize, and scale a brand’s content to connect with a brand’s audience.

Content sells itself

Content marketing has proven to be a game-changer; according to HubSpot, 70% of marketers are actively investing in it. Still, only a few industry partners offer solutions to scale this content outside the brand’s owned channels. The increase in investment in content marketing reflects the fact that marketers not only build trust by providing valuable and informative content but that it also positions them – and the brands they represent – as industry leaders.

Tested tactics to drive revenue

Repurposing content opens up a unique opportunity to create impactful prospecting strategies. One tested method is to pull content from brand marketing channels and create proactive mocks that showcase their content on a publisher’s site.

The best outreaches we have seen involve a multi-touch approach to showcase brands’ content within a publisher’s environment, utilizing content sourced from Facebook, Instagram, blogs, ebooks, whitepapers, transcribed videos, and podcasts. These mocks can be used for prospecting new business or encouraging existing clients to invest in incremental budgets. This outreach allows brands to see how their content can be repurposed for maximum engagement.

Pro tip: streamline the process

The most impactful way to showcase the power of a brand’s content presented in the context of your site is to show marketers what that would look like. Most methods require publishers to do that directly from their CMS requiring development and design resources to create a mockup without actually pushing it live. Alternatively, publishers can use native ad servers to do this work. This way, publishers can upload the creative and content, and generate a preview link. Some platforms include content ingestion tools, which will help streamline this process further. The link can then be shared directly with the client or included as a screenshot in slides.

An alternative method would be to build a mock template in PowerPoint or another design software and copy content into the template. The problem with this method is it requires the manual and time consuming process of finding the content, pasting it into your template, and making design adjustments.

In conclusion

Content is emerging as a critical driver of influence in today’s digital world. Writing content and promoting it on different platforms builds trust and creates an authentic relationship with consumers. But creating quality content is a major investment. Taking the time to repurpose that content and automate the process correctly can help publishers partner with brands so that they can more readily scale their content and drive brand consideration.

Innovation | Marketing | Perspectives

Brand content will explode with AI. Are publishers ready to capitalize?

January 25, 2023 Jason Kalin, Chief Business Officer – Nativo

As artificial intelligence (AI) continues to evolve, we see more and more examples of AI-generated content in our daily lives. It is only a matter of time before brands start to adopt these tools to scale their content creation and power their content marketing strategies. This trend will continue to accelerate as AI gets better at producing quality content.

For publishers, this presents a huge opportunity. Brands will need help distributing the influx of new content, and publishers are in a prime position to provide that assistance. But are we ready? Do we have the infrastructure in place to handle the increased demand?

Only time will tell. But one thing is for sure: the world of brand content is about to get a whole lot bigger, and publishers need to prepare by focusing on strategies to scale their sponsored content programs.

Content is about to get a whole lot bigger, thanks to AI creation

Companies will no longer be limited to having just a few people write their content. Instead, with automated content creation, brands can scale their content quickly and easily – and leverage their content resources to refine the messaging. This means less time spent creating individual pieces of quality content, allowing for more ideas and creativity to be explored on a grander scale. Companies may find themselves communicating with consumers in ways they never thought possible before.

This dynamic change in how brands approach content creation will undoubtedly open up new opportunities and heighten engagement between brands and customers. The content marketing problem will shift focus from resources required to generate impactful content to finding distribution partners that can prove a shift in brand consideration. We expect big changes on the horizon as AI-written content takes on an increasing presence in the market.

Brands will need help distributing all this new content to drive consumer consideration

With the ever-increasing influx of content, brands are truly facing a looming challenge. How can they keep up with the speed and quantity of new content while making sure it has an impact and drives consumer consideration? How will they know which content connects most with consumers?

The answer lies in strategic partnerships with publishers. For brands to be successful, they must find reliable partnerships that allow them to reach their target audiences quickly and efficiently. Brands need experts and strategists who understand how to reach their customers and how to leverage optimization technologies to ensure the right brand content is served to ensure that readers are guided through the buyer’s journey. Reporting will shift from traditional advertising and attribution metrics to content and consideration insights such as lift studies, engagement, and audience insights.

Publishers are uniquely positioned to capitalize on this trend as they have a captive audience

This shift to AI-written content presents an opportunity for publishers to act as mediators between the content and its audience. Publishers have a captive audience and the expertise and experience necessary to ensure that all content reaches the right people in the most efficient manner possible. They can help brands successfully scale their content distribution quickly, efficiently, and accurately so that their message gets out loud and clear. Moreover, leveraging first-party data about their audience enables publishers to provide critical insights into how content is being consumed, as well as its impact on moving readers through their buyers’ journey.

But they’ll need to find innovative ways to scale their operations

We can expect content to explode around us, and for publishers to capitalize on this trend, they need to find effective ways to run their ad operations and make their sponsored content programs scaleable. That means if a publisher relies on manual processes, custom codes, and complex CMSes to run these premium programs they won’t be able to keep up with the sheer volume of sponsored content campaigns thrown at them. To meet the demands of our new digital landscape, organizations must figure out how best to automate their processes to scale sponsored content for brands.

How can publishers prepare for this explosion of content?

To meet the needs of brands adopting AI technology to scale the production of their content, publishers should focus on streamlining in a few key areas:

Campaign setup

Implement their own AI Content tools to suggest variations on existing content that can continually feed into optimization and reporting providing invaluable insight into content performance.

Also, with many publishers running sponsored content through their website CMS, we have found that programs run in this manner cannot meet high demands when sponsored content is sold at scale.

Campaign optimization

Machine learning optimization technology: AI will help draft the content, and publishers can provide content variation recommendations. When you feed this data into an optimization engine, campaign performance will inevitably see a lift and deliver valuable metrics into the type of content that resonates with a brand’s audience.

Opportunity awaits

Taking these steps now can give publishers a major edge in the rapidly changing landscape of brand content distribution. As AI-generated content becomes more prevalent, publishers can capitalize on this trend by finding innovative ways to scale their operations and become strategic mediators between brands and audiences.

Disclaimer: This article was written in part by AI.

Advertising | Marketing | Perspectives | Revenue | Supporter Spotlight

How sponsored content can strengthen revenue in a downturn

November 16, 2022 Jason Kalin, Chief Business Officer – Nativo

Amid growing uncertainty about the economic environment, it is wise for publishers to consider how to thrive and strengthen their revenue during the potential downturn. With economic uncertainty ahead, it is vital to understand how brands look to invest in marketing during 2023 to build a portfolio of offerings that support these strategies.

The situation

Typically marketing budgets decrease during an economic downturn. However, based on research done by Deloitte earlier this year, marketing spend has grown substantially over the last year. And, despite uncertainty at present, some bright spots stand out.

In the same Deloitte study, marketers stated they plan to increase their spending on DEI initiatives by 10.8% on average. And Hubspot reports that 83% of marketers are investing in higher-quality content. They also report that 80% of marketers expect to maintain or grow their budget for various inbound marketing activities – including content marketing, SEO, social media, and more – to reach and influence consumers at every stage of the buyer’s journey.

This data shows us that publishers would be wise to strengthen their content offering. These can include native advertising, sponsored content and even contextual targeting, all of which are ideal to help brands deliver their stories across publisher channels to reach these audiences.

The consumer perspective

Even at a potential downturn, brands seek opportunities to attract, delight, and engage. Therefore, it is essential to consider the reader and consumer preferences to support these efforts. So we must ask ourselves: what do consumers prefer? Ultimately they want to focus on the content they are trying to consume.

According to an eMarketer report, over 40% of American adults think online ads seem to be aggressively following them. And this has led consumers to take control of their digital experience, with close to 47% of internet users now using ad blockers because they think there are too many ads online, according to GlobalWebIndex.

However, according to a survey by Time Inc, close to 90% of younger internet audiences from Gen Z, millennials, and Gen X say that they prefer custom content, including native ads online, instead of traditional ads. This is an opportunity.

This data shows that consumers are actively seeking ways to improve their web browsing experience and limit the distractions from the content they are seeking. We believe this will lead advertisers to start looking for strategies that do not distract from the reader experience to reach these consumers and improve campaign performance.

A crisis of trust

Unfortunately, these days display ads just aren’t that effective: click-through rates are at just 0.05% across all platforms. This decline started years ago, and it is because consumers have lost trust in display; in fact, over 54% of users say that they don’t click banner ads due to a lack of trust.

Now, let’s look at social media. One reason that platforms like Facebook have come to dominate digital advertising is that they are able to provide advertising experiences that are seamlessly integrated into the consumers’ content. They offer opportunities for long-form editorial engagements, lower funnel activities like click-to-download, and short-form top-of-funnel branding executions, such as Instagram stories.

But the reviews of social channels are not all bright either. Consumers increasingly distrust social platforms. According to Statista, 66% of consumers express concern about the accuracy of the content they see on social media.

Even with this in mind, however, marketers are looking to invest more in short-form content. Hubspot found that 33% of B2C Marketers already invest in short-form content. While another 33% have yet to, but plan to do so for the first time in 2022.

What we see is that there is an appetite for this content. And, given growing distrust in social media, brands may be actively seeking ways to scale their efforts on the open web.

What do publishers offer to the industry? Trust

Publishers have built a robust ecosystem and relationship with their audiences. As we have said before, this trust can be utilized as a point of differentiation, especially when competing against programmatic offerings. When ad dollars are invested into more strategic initiatives, publishers must lean into the inherent trust they have built with their user base.

In a study by OpenX, 77% of people say they trust articles they see on open web websites more than those they read on social media channels. Pair this with the fact that 70% of consumers prefer to learn about new products and services through content rather than traditional advertising, publishers have the winning formula to provide high-value solutions to advertisers.

The winning formula

To thrive during any potential downturn, publishers need to create offerings that support the strategies brands are investing in for 2023. At the same time, they must maintain the inherent trust they have built with their audiences. To do that publishers must consider the following:

Privacy First

Focus on solutions that don’t rely on third-party targeting. Rather than using invasive data practices, use content to attract, delight, and engage. This allows you to provide contextually relevant advertising solutions so brands meet their customers where they are in the purchasing journey.

Prioritize Premium

Brands will look for unique ways to reach their customers, break through the noise, and remove the blindfolds of banner blindness. For digital publishers, that could mean leaning heavier on executions, such as sponsored content that allows brands to tell their stories, from new products to use cases and any DEI initiatives. Give brands the ability to scale their story beyond their audience and benefit from the trust publishers have built with their readers.

Integrate Short-form Content

As mentioned above, brands seek to invest in short-form content. To build a diverse revenue portfolio, publishers can offer solutions to run executions similar to Facebook and Instagram stories or TikTok’s short-form videos. This will allow advertisers to scale these strategies outside social channels within trusted environments.

With a downturn ahead, or not, aligning to meet brands where they are seeking to invest in 2023, will result in a win for publishers. Understand that content moves the needle for consumers. Advertising that places quality messages within trusted content will rise above the clutter. In particular, short form content offerings will allow publishers to integrate the social environment brands are seeking into the publisher site experience.