Sponsored Content Advertising on DealerRefresh - Share Your Feedback Here

[ryan.gerardi]

In response to a member's recent expressed concern over Sponsored Content Advertising on DealerRefresh, there doesn't seem to be a better time than now to open up a discussion about it. It's something we've put off doing for too long.

While we could spend time building a case for why media sites like DealerRefresh should welcome this type of advertising, that's not the purpose for this thread. If you need justification for that, then maybe start with this piece on AutoConversion.

In short...Readers respond better to sponsored content than they do to display ads. Why would a publisher not want this? It's good for the community.

The purpose for this thread is to open a discussion, specifically about the Sponsored Content Advertising on DealerRefresh, not whether or not DealerRefresh should deploy it. Advertising is one of the primary ways for a media site to keep the lights on, and sponsored content is an ideal form of advertising.

To bring everyone up to speed, @Jeff Kershner and I decided to introduce Sponsored Content Advertising on DealerRefresh about two years ago. This was a big step for Jeff, who was reluctant to permit display ads on DealerRefresh back in 2008-2009, which turned out to be a great thing for DealerRefresh.

a) Refreshers were being introduced to new solutions
b) Solution providers were able to gain more exposure with dealers
c) DealerRefresh was able to grow

But display ads have a limited effect and, over time Refreshers became less responsive to the display ads, advertisers experienced lower ROI, and DealerRefresh struggled to grow. This is why data companies, technology providers, and publisher sites are forced to continually re-invent the wheel, if you will, around display advertising, making them more targeted and personalized.

Despite this, display performance remains relatively weak to other forms of advertising. Naturally, sponsored content advertising evolved into an ideal alternative.

For one, advertisers were able to expand on their marketing message, natively within the publication, as opposed doling out superficial punchlines requiring users to leave familiar territory to learn more. With sponsored content, you can keep users in a place where they are comfortable, and develop a chance to earn their favor.

To give everyone something to get your teeth sunk into:

Display advertising on DealerRefresh produces significant reach in the form of impressions, but these impressions are not behavioral. They are forced, or pushed. As a result, a sponsor's message is not fully absorbed. Statistically, the CTR on display ads is less than 1%.

For non-branded non-promotional content, alas Editorials, Press Releases, Forum Posts, the reach is lower but the engagement levels are through the roof. Users have no issue engaging with non-branded non-promotional content. CTR can range from 25-80%.

While this is great for readers, it's not ideal for advertisers.

With sponsored content however, we see a 6-8% engagement on the low end, and 10-12% on the high end. By engagement, I mean CLICKS, which are BEHAVIORAL ACTIONS taken by users.

What does this tell us?

This tells us that DealerRefresh members are 6 to 12 times more likely to engage with branded promotional CONTENT than they are with display ads. Sponsored Content Advertising on DealerRefresh has proven to be an ideal middle ground for all three parties - Refreshers, Sponsors, and DealerRefresh itself.

That said, we welcome the feedback of everyone on DealerRefresh - Dealers, Vendors, Media Firms, and OEMs, alike. Ultimately, DealerRefresh is about its community. Practically speaking, there are costs associated with maintaining a community. Advertising is one way to alleviate those costs. Sponsored Content Advertising is an effective way of doing so.

PS - Thank you to ALL REFRESHERS, whether you are a dealer, a vendor, a consultant, an OEM, industry ally, or even a LURKER. Without you, we wouldn't be able to have these conversations. Thank you also to ALL OUR SPONSORS - past, present, and future. Without you, we wouldn't be able to make all of this possible. This is what makes DealerRefresh one of the greatest and longest-standing communities in the business.

 

[Steve Stauning]

Way too many words, Ryan.

Those who enjoy DR have a choice: Send Ryan and Jeff a check or live with a few ads (including CLEARLY MARKED Sponsored Content).

Do those complaining about Sponsored Content also complain about the plethora of Pay-to-Play conferences in automotive (that don't disclose this relationship)?

Do they also complain about the Pay-to-Play advertorials disguised as unbiased advice in nearly every industry magazine?

How about the latest paid-for study or conference masquerading as unbiased research.

You are either naive or simply caught up in the need to share your fake outrage at something. Either way, I'm embarrassed for you.

 

[Chris Leslie]

Yeah what steve said. No need for all this.

 

[craigh]

Ditto.
I much prefer an article that says “SPONSORED” on top than the native/deceptive advertising we are bombarded with everywhere else.

 

[Alexander Lau]

I don't mind the pay-to-play. You have to pay the hosting and support bills and have a beer once in a while. I agree with Steve, Chris and Craig on blatant declaration of sponsored content.

Slightly off subject, but I don't favor brand new users creating threads and pinging the organic forums in reference to their own company's blog content (doesn't that seem a little spammy to you guys?). I've seen some of that, particularly https://forum.dealerrefresh.com/threads/does-your-website-provide-concierge-service.5445).

I don't mind those creating a thread with a link to their own website content (especially if its a resource or helpful) or ping a thread created by someone else than those in their own company.

 

[ryan.gerardi]

@Jeff Kershner and I receive inquiries almost daily with people and companies wanting to contribute content, advertise, and/or capitalize on DealerRefresh's reach in this business. As much as we appreciate the interest, we have TWO rules...

Rule #1 - How does it benefit the DEALER community?
Rule #2 - How does it benefit the AUTOMOTIVE community?

To satisfy these rules, content has to be relevant, thoughtful, and authentic. Without these things, we don't event consider the monetary aspect.

If anyone wants to question what we do, then have at it. Almost nobody can appreciate the lengths we go through to vet out the people, the organizations, and the content before we publish to the blog - We actually turn away more opportunities than we pursue.

The forums...well, they are somewhat of a free-for-all. You can post almost anything you want. So long as it abides by the rules, it is accepted.

There is no source or destination in the auto retail business that will provide the level of quality, authenticity, and objectivity as DealerRefresh. Our advertising meets these requirements, and we even require our Sponsors to honor this objectivity.

 

[ed.brooks]

Sponsored content (native advertising) is a fact - DealerRefresh will cease to exist without sponsors who are willing pay to reach their audience. My only word of advice; add " - Sponsored Content" to both the title and the HTML Title Tag to make it more obvious.

From the IAB -

"Regardless of native advertising unit type, the IAB advocates that, for paid native ad units, clarity and prominence of the disclosure is paramount. The disclosure must:

- Use language that conveys that the advertising has been paid for, thus making it an advertising unit, even if that unit does not contain traditional promotional advertising messages.
- Be large and visible enough for a consumer to notice it in the context of a given page and/or relative to the device that the ad is being viewed on. ​

Simply put: Regardless of context, a reasonable consumer should be able to distinguish between what is paid advertising vs. what is publisher editorial content."​

 

[Steve Stauning]

Amazing to me that DR has two forum strings going because one person lacks basic reading comprehension and another chose to take that person's rant in a different direction all because he didn't bother to read the original "offending" post.

It's embarrassing if this is the best content and debate our industry can produce.

I think I'll tap out of the "community" until at least the New Year. I have other things to work on.

Best wishes to all on a safe and happy Holiday Season.

 

[craigh]

Amazing to me that DR has two forum strings going because one person lacks basic reading comprehension and another chose to take that person's rant in a different direction all because he didn't bother to read the original "offending" post.

It's embarrassing if this is the best content and debate our industry can produce.

I think I'll tap out of the "community" until at least the New Year. I have other things to work on.

Best wishes to all on a safe and happy Holiday Season.

Although I understand your point of view, taking your ball and going home has never been the right way to address a problem. 2 members does not accurately represent this community.

 

[Steve Stauning]

Thank for the understanding, but I won't be "taking my ball and going home."

It's not my "ball" and it's not my problem to address. (This is Jeff's and Ryan's baby. They can address the problem if they choose or they can continue to allow the uninformed to bash each other - I truly do not care which way they take it.)

If you enjoy the forums; please stay and enjoy. I don't (and never really have). Would you advise someone to keep doing something they do not enjoy? Life's too short to do something you do not enjoy; wouldn't you agree?

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"I learned long ago, never to wrestle with a pig. You get dirty, and besides, the pig likes it." - George Bernard Shaw