Originally posted on JakartaGlobe
Next year, companies in Indonesia will be spending more on native advertising, particularly sponsored content, experts say.
“There is a strong trend in the Indonesian market [indicating that] display ads are getting pushed out by native ads, there is a shift,” PHD Media managing editor Roy Simangunsong said during the Jakarta Content Marketing Meet-Up at William’s Dining in Jakarta on Nov. 1.
Companies start to doubt in the effectiveness of display ads, because ad-block services prevent them from reaching potential clients.
According to Roy, people prefer receiving information about brands through more subtle or friendly messages rather than aggressive campaigns, therefore brand companies and publishers need to improve their marketing techniques to produce “creative value that attracts more consumers.” Native ads that are oriented on light users usually increase sales by 30 percent, if oriented on heavy users (who purchase a much more) they only increase sales by 10 percent.
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