The Business of Digital: Chapter 2 - The Age of Content - The Science Behind Why Native Ads work

1. The Science Behind Native Ads Tyler James Director of Sales & Business Development  tjames@sharethrough.com @toTJ

2. na·tive ad·ver·tis·ing n. Native advertising is a form of paid media where the ad experience follows the natural form and function of the user experience in which it is placed SCIENCE BEHIND NATIVE ADS

3. Deliver Better Ads Sponsored by Promoted Post Promoted Tweet Promoted Pin Sharethrough Sponsored Story Native Is The Predominant Advertising Strategy For The Modern Web SCIENCE BEHIND NATIVE ADS

4. SCIENCE BEHIND NATIVE ADS Sharethrough Powers In-Feed Native Ads For The World’s Best Sites

5. SCIENCE BEHIND NATIVE ADS The Business Of Feeds In-Feed Native Advertising Is Already A  $10B+ Market Business Insider, Feb 2015 Dollars(Billions) 0 10 20 30 2013 2014E 2015E 2016E 2017E 2018E 11.9 10.7 9.2 7.5 5.6 2.9 3.4 2.721.310.8 5.7 3.92.71.91.31$1.0 $0.8 $2.9 $5.6 $1.0 $1.3 $6.8 $1.3 $1.9 $9.2 $2.0 $2.7 $10.7 $2.7 $3.9 $11.9 $3.4 $5.7 Native Display Sponsorship Social

6. In-Feed Native Ads Are   The Ideal Medium for Brand Advertising on the Modern Internet Our Hypothesis

7. Neuroscience Study Methodology We Partnered With Nielsen Neuroscience Lab EEG EYE TRACKING TEXT ANALYSIS ACADEMIC RESEARCH SCIENCE BEHIND NATIVE ADS

8. 1. Native Ads Are Read, Not Just Seen 2. Native Ads Influence The Brain We Learned A Few New Things About Native Ads SCIENCE BEHIND NATIVE ADS

9. Banners Are Seen Native Ads Are Read

10. The Human Brain Processes Text Differently Than Images Detail Shapes Movement Shapes Movement Detail 15 Degrees Nielsen/Sharethrough, “A Neuroscience Perspective,” 2015 Peripheral FocusDirect Visual Focus SCIENCE BEHIND NATIVE ADS

11. No Visual Focus Out-Of-Feed   Banner 2013 IPG Media Labs Brand Study SCIENCE BEHIND NATIVE ADS

12. In-Feed  Banner Nielsen/Sharethrough, “A Neuroscience Perspective,” 2015 Minimal Visual Focus SCIENCE BEHIND NATIVE ADS

13. In-Feed  Native Ad Nielsen/Sharethrough, “A Neuroscience Perspective,” 2015 Direct Visual Focus SCIENCE BEHIND NATIVE ADS

14. In-Feed Native Ads Receive Twice As Much Visual Attention As Banners Out of Feed Banner In-Feed Banner Native In-feed 2x Nielsen/Sharethrough, “A Neuroscience Perspective,” 2015 and 2013 IPG Media Labs Brand Study Visual Focus SCIENCE BEHIND NATIVE ADS

15. Nielsen/Sharethrough, “A Neuroscience Perspective,” 2015 Banners Are Processed As Images SCIENCE BEHIND NATIVE ADS

16. Native Ads Are Processed As Text Aa Nielsen/Sharethrough, “A Neuroscience Perspective,” 2015 SCIENCE BEHIND NATIVE ADS

17. Native Ads Influence The Brain

18. Our Brains Are Constantly Making Associations DeliciousFrozen Ice Cream Truck Childhood Summer SCIENCE BEHIND NATIVE ADS

19. The “Art Of Persuasion” Is The Science Of   Creating Associations PerformanceSports LeBron “Just Do It” Athlete Nike SCIENCE BEHIND NATIVE ADS

20. Native Ads Are Uniquely Suited to Forming and Strengthening Brand Associations Nielsen/Sharethrough, “A Neuroscience Perspective,” 2015 SCIENCE BEHIND NATIVE ADS

21. SCIENCE BEHIND NATIVE ADS Native Ads Engage More of the Brain

22. SCIENCE BEHIND NATIVE ADS

23. Banners Only Engage One Side Of The Brain Image Processing Multi-Tasked Focus Metaphorical A BETTER STATE of LIVING EXPERT ADVICE TO HELP HANDLE WHATEVER LIFE THROWS ATYOU PRESENTED BY SCIENCE BEHIND NATIVE ADS

24. Native Ads Engage Both Sides Of The Brain Image Processing Multi-Tasked Focus Metaphorical Text Processing Single-Task Focus Literal ContextMeaning SPONSORED BY 10 Ways To Handle Whatever Life Throws At SCIENCE BEHIND NATIVE ADS

25. E=mc2 To Influence People Brands Must Engage  The Whole Brain E=mc2

26. SCIENCE BEHIND NATIVE ADS Native Ads Influence The Brain • To influence people, brands must engage the whole brain. • Native ads are ideally suited to forming and strengthening brand E=mc2 E=mc2 2x Visual Focus Native Ads Are Read, Not Just Seen • Native ads receive 2x the visual focus of banners • Native ads receive direct focus on the text The Two Key Takeaways We Learned Two Important Things About Native Ads and the Brain 21

27. PRESENTATION NAME - XX/XX Thank You To Learn More visit: www.NativeAdScience.com Tyler James Director of Sales & Business Development  tjames@sharethrough.com @toTJ