Negative Search Trends Create Opportunity for Discovery Networks

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Search has always been the go-to channel for performance marketers, who have had to ‘pay up’ for advertisements to capture sales from bottom-of-the-funnel users who need their brand or product.

In recent years, we’ve seen major changes in the digital marketing industry. Let’s start with consumer behavior—users have the option to conduct their online research through content that is intelligently served on discovery and social networks as opposed to using mainly search.

After years of constant growth in search advertising—now, for the first time ever—iProspect report a decline in paid clicks of 8 percent, decline in click-through-rate (CTR) of 17 percent, while the cost-per-click (CPC) is higher than ever before.

The industry could shift away from search.

negative search trends

Search CPCs have been rising steadily over the past few years, and have now reached a point where they are just too expensive for many advertisers who cannot afford to allocate more budget towards that media channel. They’re looking for new ways to diversify their media mix and find new avenues to scale their performance activity with better ROI.

Advertisers now have the opportunity to favor discovery networks or native ads—and now that Taboola has opened its gates for brands and agencies of all sizes, using it’s self-service platform, it’s a game changer. You can now sign up for a Taboola account, set up your creatives and start your campaign, all in a few clicks.

Non-intrusive formats yield better performance.

negative search trends

Internet consumers are much more receptive to native formats—they are non-intrusive, unlike banner ads, and provide true value by helping consumers discover a relevant product or service. Advertisers love these formats because the engagement rates are 4X that of other channels, and the post-click metrics such as time-on-site and pages-per-session are remarkably high.

Some advertisers use Taboola for upper-funnel activities like brand awareness, product launches and so on, where there’s a need to introduce a new product or service while others use it strictly for direct response, performance marketing activities looking to generate leads or sell goods online.

There’s a bright future for native advertising.

Emarketer, the digital research firm, is estimating that native ad spend will grow to $28.24B by 2018. This means that advertisers and agencies should quickly adapt, and become more knowledgeable and experienced with this channel to leverage the opportunity for a new revenue stream.

Taboola Partners is a program designed for agencies (currently available in the US only) which helps agencies take the first step in the new world of discovery and native ads with dedicated support, training, and product. Click here to learn more.