Rakuten Marketing, a leading technology company that enables brands to increase sales through data-driven marketing, released its latest Rakuten Marketing Insights report. The report is titled “Consumer Online Ad Sentiments: What Needs to Change About Online Advertising.” The survey findings reveal global consumer attitudes about online advertising, including their annoyance with ad frequency and their desire for better ad personalization – both of which contribute to the low tolerance of advertising that has cost $22 billion in revenue from ad blocking.
More than 2,500 global consumers responded to an online questionnaire distributed by third-party research company, Qualtircs. The survey was completed between April 17- April 21, 2017.
Rakuten Marketing is acting on these findings by launching a leadership movement to Save the Web. Through this initiative, Rakuten Marketing would help advertisers and publishers create positive ad experiences by providing insights, technology, and strategies that better reflect the relationships consumers want to have with their brands.
82% Consumers say that Ads Interrupt Online Experiences
Over the last 20 years, there have been many innovations in AdTech, but, according to the survey, most consumers believe online advertising has stayed static or gotten worse over time. The majority of consumers, 82 percent, also say that too much advertising interrupts their online experiences, particularly ads that pop-up and cover content, pre-roll video ads, and ads that are delivered through push notifications.
Tony Zito, CEO, Rakuten Marketing said, “The findings from this research revealed important data on the current state of consumer sentiments about online advertising. Access to free content online is one of the most valuable propositions the internet offers, but the advertising that funds it needs to get better. At Rakuten Marketing, all of the investments we make are towards better understanding the advertising that meaningfully influences consumers, so we can improve overall performance, and solve this problem.”
Frequency is also an issue for consumers. 56 percent felt that a single brand was advertising to them too frequently. Perhaps most troubling is that 67 percent of consumers associate online advertising with other disruptive content, including fake news.
Web sites are Abandoned due to Bad Experiences!
- 69 percent of consumers say online advertising needs to change.
- 50 percent proactively ‘opt-out’ of online ads.
- 40 percent abandon websites because of bad ad experiences.
- 48 percent believe websites are responsible for improving online experiences, followed closely by 36 percent who believe the responsibility lies with brands.
This means advertisers and publishers need to be aligned on solving this problem to protect their online revenue opportunity.
Ads showing Better Discounts and Opinions Engage Shoppers Better
Not all consumer sentiment about online advertising is negative, according to the Rakuten Marketing Insights report. Seventy percent of consumers polled recognize advertising can enhance their shopping experience when it connects them to more options and better discounts. Many consumers proactively engage with certain native ad experiences and prefer advertising that is personalized to their likes, lifestyles, and interests.
Most Shoppers Trust Influencers while Making a Purchase
- 57 percent of consumers follow an online blogger or social influencer.
- 88 percent of those who follow an influencer have made a purchase the influencer recommended.
- Nearly 90 percent seek out discount codes on voucher/coupon sites before making a purchase.
The key takeaway – 81 percent US consumers want brands to know that advertising is acceptable when the ad content is useful and doesn’t interrupt their online experience.
Save the Web Promotes Safe Advertising Ecosystem for Engaging Interactions
Through its Save the Web initiative, Rakuten Marketing is challenging the industry to improve brand, publisher, and consumer relationships by increasing the amount of good advertising that brings value to consumers, without the disruption. The goal is to promote greater transparency, create more meaningful consumer engagement, decrease ad blocking, and increase revenue opportunities.
Zito continued, “Rakuten Marketing operates at the cross-section between brands and publishers and the consumers they serve, making us uniquely positioned to lead an industry change that unifies their interests. We are passionate about driving the education, communication, and action needed to create a more positive and profitable web.”
By releasing this report, Rakuten Marketing empowers marketers to verify how they perform across multiple channels. As programmatic and AI technologies proliferate further into AdTech, marketers are set to deliver complete data-driven personalized ad experiences. The mission of the marketers in 2017 is to engage consumers across screens, platforms, and traditional publishers. – and influence them to purchase. Rakuten Marketing is committed to transparency, providing consumer journey insights that are used to continually optimize performance.