Technology

Why news consumers are a goldmine for advertisers

Sponsored by SmartNews  •  December 20, 2024  •

Reggie Riley, head of U.S. ad business, SmartNews

Amid overwhelming amounts of content, advertisers face the challenge of capturing audiences’ attention effectively in the era of information overload. While many brands aim to reach a broad audience, targeting consumers deeply engaged with news offers distinct advantages. These individuals are informed, attentive and more likely to respond to relevant messaging — making them an especially valuable audience for advertisers.

News consumers’ active nature makes them valuable to advertisers

News consumers are not passive; they actively seek out information and often spend significant time engaging with trusted sources. This active engagement makes them a prime target for advertisers. 

For example, The New York Times has reported strong advertising performance metrics driven by its highly engaged readership. Brands like Apple and Lexus, which frequently advertise in the Times, benefit from being associated with a trusted and premium news environment. This connection enhances their brand credibility and delivers higher ad recall and engagement rates.

Studies show that individuals who consume news regularly tend to spend more time engaging with content and trust credible publishers more. This provides advertisers a longer timespan to capture this audience’s attention, while brands gain credibility by being advertised in those trusted environments. News consumers also respond favorably to contextually relevant ads, leading to higher CTRs and conversion rates.

Engagement — and targeting engaged users — is key to conversions and ROI

Engagement is a critical metric in digital advertising — encompassing factors like time spent on content, attention levels and CTR. These indicators are essential for assessing a campaign’s success. Notably, news consumers often demonstrate higher engagement levels than general audiences, making them a valuable target for advertisers. 

A study from Lumen Research revealed that news consumers are 2.5 times more likely to pay attention to ads when consuming trusted news content than ads displayed across social media platforms. This heightened attention is directly linked to better recall and action, as news consumers actively seek information and are more receptive to thoughtfully curated ads.

Additionally, studies indicate that consumers’ engagement with online media directly influences advertising effectiveness. Engaged users are more likely to have positive experiences with ads, which can enhance brand perception and increase the likelihood of desired actions.

Furthermore, attention metrics have become essential for successful advertising campaigns. Measuring how engaged and focused consumers are on an ad provides deeper insights into whether the message truly resonates, leading to better optimization of advertising strategies.

This underscores the importance of targeting engaged news consumers, as their attentiveness to content makes them more receptive to thoughtfully curated advertisements. This creates an environment where brands can foster meaningful interactions, leading to stronger ROI.

Advertising in trustworthy environments benefits advertisers’ credibility, too

Trust is vital in advertising. Consumers often view news platforms as more trustworthy than social media and other digital spaces. This trust benefits advertisers, as associating their messaging with credible news outlets can positively influence brand perception. 

Ads placed within high-quality journalistic environments are more likely to be received favorably because consumers trust the source of the content they are engaging with. As a result, news platforms offer an opportunity for advertisers to ensure their messages are delivered in a safe and trusted environment.

For example, Coca-Cola often advertises in premium environments like The Wall Street Journal and BBC News to associate its brand with positive, reliable content. Coca-Cola aims to reinforce its positive brand image by choosing platforms that consumers trust. 

So, even global brands like Coca-Cola recognize the importance of trust in advertising and strategically placing ads in news environments that align with their messaging and enhance brand equity. Research shows that this strategy boosts Coca-Cola’s brand perception, with audiences reporting more favorable opinions and a greater likelihood to purchase.

Contextual relevance increases consumer appeal while solidifying brand safety

Whether political developments, health trends or cultural shifts, news content is inherently contextual and often directly aligned with the interests and concerns of its audience. This creates an opportunity for advertisers to craft campaigns that resonate with the moment and are tailored to current events. 

For example, during election cycles or global political shifts, The Economist taps into the heightened interest in political news by positioning its campaign around the theme of being curious thinkers — an appeal to consumers valuing insightful and well-researched journalism. This strategy drives higher engagement, increases subscriber and customer loyalty, delivers higher subscription rates and increases brand visibility and appeal among thoughtful consumers. 

Brand safety is another benefit of targeting engaged news consumers. Because this audience is actively engaged with content, they’re more likely to notice and interact with ads, translating to better ad performance. Campaigns also tend to see higher CTR and conversion rates, resulting in stronger ROI, due to news consumers’ increased likelihood of responding to contextually relevant ads.

And, by placing ads within trusted news environments, advertisers ensure their messages are delivered in a brand-safe space, reducing the risk of negative associations while enhancing the brand’s credibility. The nature of news allows advertisers to craft timely, relevant messages that resonate with audiences. This contextual alignment ensures that the ads are in tune with the interests and concerns of the consumers at any given moment.

News consumers represent an engaged audience receptive to advertising

As digital advertising evolves, one thing is clear: Not all audiences are equal. News consumers represent a highly valuable demographic — engaged, informed and ready to act. By targeting these individuals, advertisers can see improved results, from higher engagement and better ROI to more relevant and timely messaging. News platforms offer a unique opportunity for advertisers to reach an audience that is engaged and actively seeking out content, making them more receptive to meaningful, contextually relevant advertising. With the right approach, savvy advertisers can leverage the power of news consumption to create impactful campaigns and build long-term trust with their audience.

Sponsored by SmartNews

https://digiday.com/?p=564204

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