Empower's Andrew Susman comments on native advertising in MediaPost's MediaDailyNews.
Business Insider predicts native advertising spending will rise from an estimated $7.9 billion in 2015 to $21 billion in 2018.
This gets us to the issue of disclosure, transparency and deserved trust in the labeling of native advertising. There is a literature of proof that native advertising, unless clearly labelled as such, can hurt a brand’s image by making consumers feel they have been misled.
If marketers want consumers to trust their brand, or suppliers want their brands to trust their products, they must behave in ways that deserve that trust. As Charlie Munger, Warren Buffet’s “The Sage of Omaha’s” partner, and vice chairman of Berkshire Hathaway, says: “The highest form a civilization can reach is a seamless web of deserved trust.”
Perhaps it’s time to take a page from the Omaha Sage.