Dive Brief:
- Nativo, a native advertising startup, announced a new $20 million venture capital round of funding, adding to its previous $11.2 million.
- Advertisers are showing an interest in increasing sponsored content spending.
- Nativo’s digital ad network works with 350 web publishers.
Dive Insight:
Like the digital ad industry, venture capital is showing an interest in native advertising, adding $20 million to the coffers of Nativo, a sponsored content technology company, bring its total funding to $31.2 million. Another native ad company, TripleLift, announced a $10.5 million funding round a few weeks ago.
Nativo offers a digital ad network for 350 web publishers, including Time, WebMD and TEN: The Enthusiast Network. In a Wall Street Journal article, Nativo CEO, Justin Choi, noted three trends that are making sponsored content a sought after commodity: marketers are investing more in their own content marketing efforts, the rising number of mobile users visiting websites is pushing advertisers away from banner ads and towards sponsored content, and media companies continue to look for new revenue streams.
Choi said, “Native is definitely not a trend. It has a feeling like it belongs now as part of the media mix.”