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to manage VCCs? Consumers ‘extremely receptive’ to
MARKETING BRIEFING Consumers ‘extremely receptive’ to ads that are both in context and engaging
Around 91% of Singaporeans recognise the power of contextual relevance in ads, particularly for online platforms.
Online sites have undeniably made it easier for brands to sell their products and services, as there are now more spaces and more brands that can be featured in a single page.
But despite this ease in being able to feature more brands, it doesn’t necessarily translate into better reception from consumers. Ads from brands need to ensure they remain relevant in order to be received well by consumers, as they still deem the contextual relevance of ads important amidst the constantly changing digital advertising landscape.
This was revealed in the latest study by global tech company Integral Ad Science (IAS).
The research, titled The Power of Context, explores how context influences consumers’ perception of ads and brands. It surveyed over 2,000 consumers across four Asia Pacific countries, namely Singapore, Indonesia, Japan, and Australia, amidst the digital advertising landscape’s dramatic shift over the uncertainties brought about by the COVID-19 pandemic.
One of the major findings of the IAS survey saw that Singaporeans were “extremely receptive” to contextually relevant ads, with 91% preferring digital ads to appear alongside relevant content.
Consumers from Indonesia (96%), Australia (86%) and Japan (75%) also shared similar sentiments on preference for digital ads to appear alongside relevant content.
“Consumers value seeing ads that are related to the topics or articles they’re consuming online. Relevant ads are not only more memorable, but also more likely to foster a favourable consumer opinion toward the brand,” the study advised.
Amongst the other main takeaways of the study was that the suitability of ad environments impacts the perception of consumer brands, including the receptivity and memorability of the ads, as well as the overall favourability towards the brand.
The study has highlighted that consumer perception of ads is directly influenced by the content on a page. Roughly nine out of 10 (87%) Singaporean consumers say their perception of an online ad is impacted by the surrounding content on the page.
Over two-thirds of consumers in Indonesia (95%), Japan (71%), and Australia (71%) also revealed the same thought on consumer perception of ads.
Moreover, when shown articles representing different verticals, consumers always preferred contextual relevance. Across the board, consumers paired the advertisements they preferred with articles categorised in the same content vertical.
IAS senior vice president for Asia Pacific Laura Quigley said the data shows that contextually relevant ads impact consumers beyond their immediate response, “forming part of their longer term recall and favourability towards a brand.”
“Contextual targeting represents a major opportunity for brands in 2021 and understanding how context influences consumers’ perception of ads is critical to capture long-term interest. For marketers, this is essential to stand out within increasingly crowded marketplaces and drive action as a result of ads,” Quigley added.
A question of brand security
Previous IAS research has shown that consumer perception of ads and brands is influenced by the quality of an environment, moreso now that the advancements in machine learning and artificial intelligence (AI) enable content evaluation to provide insights into the sentiments conveyed by a given page.
Such advancements allow brands to make more suitable ad placement decisions, which could lead to enhanced brand security and audience reception.
“Brand safety practices have long been essential to marketing strategies. Whilst most brands agree on what constitutes unsafe content, the ideal advertising environment is likely to be unique to a given brand. That’s where brand suitability comes in,” the study stated.
Singaporeans are “extremely receptive” to contextually relevant ads
