What is the Ad-blocking Economy all About?

These days, it seems like ad-blocking and its growing economy are at the center of the digital advertising universe. Likely, due to the fact that this trend has pretty much turned the industry into a nightmarish, never-ending Mad Hatter tea party.

So, in an effort to wrap our heads around this baffling quagmire, let’s take a look at the ad-blocking economy and what it means for advertisers heading into the new year.

1. White Labeling

White labeling is the term used to describe large corporations paying off companies like Adblock Plus to “unblock” their “acceptable” ads even when the software is turned on.

Many big tech corporations have adopted this practice, including Amazon and Google. And as ad-blocking increases, this trend also seems bound to grow in popularity with national advertisers.

If you think this sounds too good to be true, there are plenty of strings attached. After all, if ad-blockers stopped blocking ads and pandered to advertisers then they would pretty much become useless and stop making money all together.

So instead, they have made white labeling insanely expensive — to the point that it’s highly unlikely anyone except national brands will be willing to shell out the money for it. There’s also a screening processing that most ad-blocking companies use for each ad, so it’s by no means a get-out-of-jail-free card.

2. Creative Content & Video Advertising

As the ad-blocking economy grows, advertisers are turning toward other methods of getting in front of target audiences. Namely, native advertising, social media and mobile marketing.

Ad placements on these channels are selling like gangbusters because they offer unrivaled audience reach and ad spend efficiency.

For instance, unlike banner ads, creative ads in videos and content actually engage audiences and get clicks…intentionally…pretty frequently.  Plus, advertisers can get far more mileage out of native ad content by repurposing it for social media, blog posts and landing pages..

As the digital advertising and marketing technology markets continue to evolve, value and ROI are rapidly becoming top factors in advertisers’ spend-efficiency standards. Consumers have more power than ever before, which is why relevant, useful and entertaining experiences are more important than ever for national brands .

3. Mobile Advertising

Mobile advertising is an odd, lumbering beast. It’s growing like a weed and full of potential, but very few companies are maximizing mobile opportunities.

Mobile ads are gaining traction in the ad-blocking economy because in-app advertisements are immune to ad-blocking software, unlike other digital channels.

Key Takeaways

In the end, the most important step to take regarding ad-blocking is to be aware of it. At the end of the day, a growing number of consumers simply do not care for digital ads. So, as ad-blockers gain more power, marketers and advertisers have to look for new ways to reach target audiences with relevant, engaging messages.

As is often the case, a diverse and versatile marketing strategy is the best way to reach and engage target audiences. Although ad-blockers are a reality we all have to face, the good news is that emerging technologies are opening up new, creative opportunities to generate interest and win new business.