What Is Sponsored Content? Everything You Need To Know: Look familiar? These phrases indicate sponsored material. These phrases indicate that a brand has spent money to create content for you. Guess what?
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Sponsored content can be a type or media used to promote a brand. It is paid for by an advertiser but created by an influencer or publisher.
This content is more engaging when sponsored by a company/influencer that targets your core audience. They already discuss topics that align with your brand. If this is done well, mentions of your brand feel more natural than an intrusive advertisement.
Instead of seeing only an advertisement, viewers should feel like they have learned something from the sponsored content. This will make your brand more trustworthy, memorable, and credible.
Trust is critical to engaging potential customers regarding sponsored or branded content. Marketers who sponsor content from trusted publishers see a 50% greater brand lift than those who create their own content.
Research shows that quality content is an effective way to market your product. Content marketing generates threefold more leads than paid search advertising.
What Is Sponsored Content? Everything You Need To Know
Sponsored content puts your company’s name in front of people searching for it. It is a compelling way to share more information with people because it contains valuable information and fits the context.
Continue reading to find out:
- What is sponsored content?
- Three aspects of sponsored content
- Nine examples of sponsored Content
What is sponsored content?
Sponsored content refers to premium content that a publisher is paid to create and distribute. It is a form of native advertising compatible with the webpage’s content.
Sponsored content, in other words, is an advertisement that looks natural and fits nicely on a platform.
Why is sponsored content so prevalent in marketing?
- Sponsored content makes your brand more credible and trustworthy. It is placed alongside other items that the viewer likes.
- Sponsored content enhances the user experience, not disrupt it
- Paid media can often be disruptive as it builds on the past. Sponsored content allows you to get exposure and not interrupt people.
- Sponsored content doesn’t have to be restricted to one format or media type.
- Sponsored content can be mutually beneficial. A content creator with an audience gets funding, and a product creator who needs customers gets an audience gets funding.
Sponsored content is at its core: A partnership between two brands that pay for sponsored content. Another brand, influencer on social media, or publisher shares the content.
Sponsored content is so easy that it has been around for over 100 years.
It all started with soap operas.
Radio was the king of radio in the 1920s. Radio stations created Serial programs that told stories similar to today’s true crime podcasts. Producing content was expensive back then, just like now. Radio stations reached out to household goods manufacturers for sponsorships.
Procter & Gamble became the first company to agree and started advertising their soap laundry detergent Oxydol on the radio. The shows were a huge success and became synonymous with the advertisers that sponsored each episode. This gave them the name “soap operas”.
Sponsored content is available on dozens of channels and in many forms today. Popular options for modern sponsored content include podcasts, articles, and television spots.
Three things to know about sponsored content
The digital landscape is constantly changing the way that sponsored content works. You can bet that sponsored material will continue to evolve as new ways of consuming content become available.
Sponsored content is constantly changing, so many definitions of sponsored content are incomplete or incomplete. There are three aspects to be aware of when defining sponsored content:
- What is the difference between native advertising and sponsored content?
- Sponsored content formats
- Sponsored content is similar to other content in the feed.
1. What is the difference between native advertising and sponsored content?
Sponsored content differs from native advertising in that it is a form of native advertisement specific to a sponsorship partnership between two brands. This is similar to the expression, “all squares, but not all rectangles, are rectangles”.
Sponsored content can be considered native advertising. However, not all native advertising can be classified as sponsored content.
Sponsored content, however, is content. Sponsored content is a video, photo, or article that looks exactly like every other video, photo, article, etc.
What’s native advertising?
The Native Advertising Institute states that “Native advertising” matches the form, feel, and function of the media in which it appears.
Sponsored content and native ads are not disruptive. Both sponsored content and native ads look natural on a website.
This holds (mostly) for native advertising. The Interactive Advertising Bureau defines native advertisement as:
“paid advertisements that are so coherent with the page content and assimilated in the design that the viewer simply feels they belong”
The IAB has identified 6 types of native advertising.
- Advertisement in-feed – Sponsored content
- Paid search ads
- Widgets for content recommendation
- Promoted listings
- In-ad with native elements units
- Advertisement custom
The majority of native ads include:
- Headline
- A brief description of the content or a snippet of it
- Photo
- Websites that match fonts, colors and themes
Sponsored content is somewhere between native advertising and branded content. Although it shares some elements, sponsored content is its own thing. (Source)
2. Sponsored content formats
Sponsored content can include any content, as sponsored content doesn’t have to be restricted in any way. Sponsorship is what separates sponsored content.
Sponsored content includes:
- Articles
- Listicles
- Videos
- Photos
- Infographics
- Sponsored tweets (Twitter).
- Sponsored Pins (Pinterest).
- Carousel Ads
- Insta TV Episodes
- Snapchat stories
- Stories on Facebook
- YouTube videos
- Podcast episodes and series
- Plus!
This list shows that sponsored content on social media is widespread. Each social media platform offers a different type or form of content. Every social media platform has a large number of users. Sponsored posts are a natural fit for social media feeds.
A 2018 study from Content Marketing Institute
- Social media was the top-ranked paid method B2C marketers used to distribute content.
- Three out of four respondents (77%) used sponsored content on social networks to reach 68% of the 68% who responded.
- 33% of respondents used sponsored material on websites other than their ones
3. Sponsored content is similar to other content in the feed
It’s much more likely that you will survive a plane accident than it is to click a banner advertisement. Full-page ads, banner ads, and promoted listings are no longer performing well.
Studies from 2018 have shown that people do not hate all advertisements, but they hate intrusive adverts. Sponsored content is a way to solve this problem by placing ads where people are already looking.
A sponsored post on a Facebook or LinkedIn timeline looks like any other user’s status update or photo uploaded above or below the sponsored article. Sponsored content displayed within average content diverts attention from the sponsor and directs it toward the post.
The page’s content matches the content, and the reader is comfortable. The content makes them feel natural, and traditional advertising doesn’t seem so strange to them. This exposes the brand to new audiences.
New audience exposure drives:
- Brand Awareness
- Relevance
- Trust
- Traffic
- Leads
- Conversions
- Customers
Sponsored content is similar to editorial content (nonadvertising-based content). They are so similar that in 2015 Contently discovered that consumers couldn’t tell the differences between them.
This created a difficult situation. It is important for consumers to know what they see when they look at an advertisement. Brands should be able to create engaging sponsored content. The Federal Trade Commission (FTC), stepped in to offer some assistance.
The FTC hasn’t yet figured out exactly how to regulate sponsored material. They state instead that:
- Brands and influencers must be clear about when they have a “material relationship” with a brand.
What does the “clearly stated” refer to?
This means that brands must disclose whether a post has been sponsored. Disclosures must be made by the FTC as follows:
- Unambiguous language
- As close as possible, the ads
- A font and color that is easy to read and stands out against the background
- Video content that is long enough to be readable and understood
- In audio content, read at a speed that is easy to understand and follow.
This mandate has led to many influential people, key opinion leaders (KOLs), and brands using social media platforms to use a hashtag to not to be subject to regulatory issues.
Hashtags like:
Examples of sponsored Content
What are your options if you are interested in creating sponsored content? What has your competition doing? What does it take to make your content differently depending on the platform where you post it?
Here are nine examples of sponsored content
- Hot Ones & TUMS (YouTube)
- NowThis & BlackRock
- BuzzFeed & Hot Wheels – BuzzFeed
- Taco Bell (Snapchat Filter)
- Vanguard & Shopify (Podcast).
- Moonmountainman and liveagreatstory (Instagram Post)
- UEFA Champions League & Heineken (Instagram story)
- Affinity.co (LinkedIn)
- UPS (Facebook).
1. Hot Ones & TUMS (YouTube)
Hot Twos is a popular hot-wings interview show that’s wildly spicy. It can be found on YouTube. For their ninth season, they formed a partnership to TUMS. This partnership is both funny and appropriate as it centers on spicy food that needs an antacid.
YouTube sponsored content is available in several flavors:
- Adroll for pre-video
- In-video segments “presented or sponsored by” (as shown above).
- Adroll in-video
The sponsored content is relevant to all the video’s contents, and the intro “clearly declares” the sponsorship. A TUMS pre-video advertisement precedes the show. It also includes TUMS when guests are having a difficult time with hot wings.
2. NowThis & BlackRock
This has partnered with global investment manager BlackRock to release a sponsored video series on financial well-being.
The video series Invest In Yourself was created by NowThis, a popular news site, and BlackRock, an investment firm. BlackRock sponsors the series because it is consistent with their investment and financial security business.
Sponsorship doesn’t affect the content except for the “Sponsored” tag at the website and in each video. The video series is located at the intersection of NowThis and BlackRock. This makes sponsored content both relevant and effective.
3. BuzzFeed & Hot Wheels – BuzzFeed
Hot Wheels sponsored BuzzFeed to discuss children’s playtime
BuzzFeed sponsored content comes in the form of listicles or sponsored articles. The posts indicate that the post was paid for and who the sponsor is. Sponsored BuzzFeed posts always relate to the brand featured.
BuzzFeed sponsored content shows how brands can use this type of advertising to increase trust, awareness, and relevance. BuzzFeed creates a partnership with a brand that is an authority in the topic and their content.
4. Taco Bell (Snapchat Filter)
Taco Bell sponsored a Snapchat Filter for Cinco de Mayo. It was viewed over 224 million times! Image via NY Daily News
Snapchat, the most popular photo/video sharing platform, has a feature called “filter”. This allows users to alter their surroundings or face for a particular photo or video.
This Taco Bell filter has been viewed by more than 224 million. Sponsored content, such as the taco-face filter, can enhance the user experience instead of interrupting it like traditional advertising.
Snapchat-sponsored content is available in two formats:
- Sponsored Snapchat filter: These filters are placed on the user’s camera or face in order to promote a service.
- Sponsored Snapchat Stories: sponsored content that is inserted between stories of other users to promote a brand/product
5. Vanguard & Shopify (podcast)
Shopify sponsors Vanguard, a Shopify Studios weekly podcast.
Podcasting continues to gain popularity. The monthly listenership of podcasts is 32%, which is a large market to tap into. 48.8% now makes up podcast advertising.
Sponsoring a podcast that is related to your business is a great way to raise awareness and increase relevance.
The Vanguard & Shopify case highlights how communities and subcultures can make money today. Shopify allows small businesses to make more money. The fit is perfect!
6. Moonmountainman and liveagreatstory (Instagram Post)
Jacob Moon (traveler, photographer) has teamed up to create this sponsored Instagram post.
This post has the hashtag #LIVEpartner. Jacob (@moonmountainman) and @liveagreatstory both focus on the idea that life is a journey. They are perfect partners because of their common values.
Like other social media platforms like Instagram, sponsored content can be found in several formats.
- Sponsored Instagram Posts: A brand partners up with an influencer for one post on their Instagram account. The caption and product of the brand or company are usually included in the post.
- Sponsored Instagram Story: Instagram Stories are photos and videos that appear for only 24 hours before disappearing. Brands can sponsor ads that are incorporated into the stories.
- Sponsored Instagram Ads: These ads appear in your feed just like sponsored posts. The difference is that these ads appear in your feed regardless of whether you follow the brand or user. Because you follow the user, sponsored posts will appear in your feed.
The sponsored Instagram post is consistent with Jacob’s content and does not detract from the user’s experience scrolling through their Instagram feed. It helps to build brand awareness for Live A Great Story and gives them instant credibility among Jacob’s fans.
7. UEFA Champions League & Heineken (Instagram story)
This sponsored Instagram Story features the return to the UEFA Champions League partnered by Heineken
Heineken used the UEFA Champions League return to create this sponsored Instagram story. It is possible to target people who are interested in European football (like me! This is a great opportunity to promote Heineken, the preferred beverage for UCL viewing.
Sponsored stories are not pop-ups or intrusive ads. This content is only displayed in the Instagram stories that users have created. The sponsored content is displayed naturally in the Instagram feed and does not interfere with the user’s use of the app.
8. Affinity.co (LinkedIn)
LinkedIn sponsored content is a great format for creating sponsored content. LinkedIn, unlike other social media platforms is intended for business use, and not recreational.
It is nearly impossible to distinguish a user-generated post from a sponsored one due to the professional focus of LinkedIn’s feed. These posts look the same and function the same. They are also consumed in the same way as any other content on the site.
LinkedIn-sponsored content will direct you to the business’s profile and not take you off the larger LinkedIn site.
9. UPS (Facebook).
UPS-sponsored Facebook content is similar to any other Facebook post in your feed
Facebook-sponsored content can be compared to LinkedIn and Instagram-sponsored content. It is consistent with the design and function of the other content on the website. Because it is spliced with other content, it doesn’t interfere with your site experience.
How To Distinguish Sponsored Material
Sponsored content can be engaging and efficient, but it is sometimes confused with native ads.
Native advertising refers to when a brand creates content that is centered around their product. They might then pay a publisher or website to share the content in a way that flows naturally within their list of content.
Here’s a sample of a native advertisement that was featured on Huffington Post’s homepage. The post about senior entitlements, aside from the advertisement attribution in the headline, is intended to appear on the page as a regular news story.
When clicking it expecting a regular posting, you are sent to a branded piece that highlights the services and discounts offered by Money Nation.
Sponsored Content vs. Native Advertising vs. Sponsored Content
Both sponsored content and native ads are designed to look natural on a website’s pages. A native ad is created and paid for by the advertiser, while sponsored content is produced and distributed by another brand.
You might consider using a native ad to direct readers to a product page to increase sales or traffic. However, too quickly leading them down a conversion path could cause audiences to lose interest.
A piece of sponsored content from a trusted source may be better than an advertisement because people might scroll past it or turn off when they see the content.
It can be hard to identify content ideas and brands to sponsor once you are ready to sponsor content. Here are some great examples to help you get inspired.
Other Examples of Sponsored Content
Sponsored Photo and Video Content
Most consumers want to see videos from brands, so it’s not surprising that sponsors are paying more attention to video and photo content. These are some great examples of photo and video posts:
Michelob Ultra
Michelob sponsored a Tastemade video that featured the beer as a component in a shrimp ceviche taca. This video shows how beer can be used as flavoring ingredients and includes its name in the caption.
Michelob was able sponsor the relevant content and receive a natural product plug, without having to alter Tastemade’s video recipe style.
This content doesn’t only appeal to beer-lovers, but also Michelob fans. Even if you don’t drink beer often, it is possible to make this recipe using Michelob Ultra.
A local restaurant may sponsor a recipe video that a food blogger creates to showcase a meal they prepare at their restaurant. A recipe video that lists ingredients might be sponsored by a similar food or ingredient vendor.
Nude By Nature
This Youtube video shows a Global Ambassador from Nude by Nature giving a tutorial to a London newspaper beauty reporter from the Evening Standard.
This sponsorship is a good fit with the aesthetics of the Evening Standard’s Beauty Section.
Companies that sell beauty products might find this type of tutorial helpful. Readers interested in learning more about makeup and its use may find this tutorial helpful.
A few viewers may even wish to purchase the exact products they saw in the tutorial so that they can recreate the model’s look.
Seedip
Imbibe’s Instagram account showcases photos of Seedip a non-alcoholic spirit.
The caption directs viewers to the account’s biography, where they will find the link for a recipe with Seedip as an ingredient. The caption also describes the drink and uses hashtags such as #sponsored to indicate that the content was paid.
Another example of how sponsored content that is aligned with your brand can create a more natural-feeling campaign.
Sponsored posts can be beneficial to other companies in food and beverage. A local wine brewery might sponsor a social media post highlighting a new wine line. This could increase awareness and help to make the brand more attractive to the restaurant’s customers.
Sponsored podcasts
Podcasting is on the rise. We found that 17% (or more) of marketers in 2018 planned to include podcasting into their marketing strategy.
While GE has created its shows, many marketers are now focusing on podcast sponsorship. Marketers can gain exposure by sponsoring podcasts without needing to create their content.
These are just two examples.
Rise and Grind
Shark Tank’s Daymon hosted the 10-episode podcast. The series was broadcast in conjunction with John’s book Rise & Grind.
It was in line with John and ZipRecruiter because it featured interviews with entrepreneurs and business leaders, career and interview tips, and motivational advice. Although ZipRecruiter is mentioned occasionally, the content is mostly editorial.
Here’s a mini-episode of the podcast “Motivational minute: Take the shot.”
Sponsoring a podcast with executive-level advice and tips is an excellent way for companies working in B2B.
Sponsored podcasts can also help you reach new audiences with similar interests when they listen to an interview.
My Brother My Brother and me
The My Brother, My Brother and Me podcast, also called MBMBaM, a comedy show that touches upon news and pop culture. They choose a topic related to the advertiser or use product placement strategies.
In 2016, they hosted a “Family Fun Hour” sponsored in part by Totinos. This was one of the most extreme and memorable examples. They gave a short history of Totinos and discussed their favorite snacks. The episode also featured games that involved Totino’s food. This strategy was considered a new one at the time and was noticed on sites such as Vulture.
Although this is a rare example of product placement taking up most of the show’s time, it shows how content creators can create something new and still be centered around products.
Sponsored Influencer Content
80% percent of marketers believe that influencer marketing is an efficient strategy. Many marketers have participated in co marketing with influencers. Some have even sponsored their content.
Instagram is one of the most popular platforms for influencer marketing. These are just a few examples of brands sponsoring influencer content:
CR7 Footwear Sponsors Cristiano Rinaldo
In this post, Cristiano Rinaldo, is a soccer star who shares a photo of himself in CR7 Footwear.
Cristiano is not a stranger to sponsored posts, and has perfected the art of natural product plugs. Fans might feel that they are seeing behind-the-scenes photos of Cristiano reading and lounging with a book rather than his shoes.
Because Cristiano is an influencer and major athlete, this post may have viewers trust his endorsements of footwear, even though they aren’t athletic.
Sponsorship of an athlete is a great way to promote products outside of their specific industry.
Selena Gomez is a Coach
This is an example of Coach sponsoring an Instagram post by Selena Gomez (the former most followed person on Instagram). She shares the details of her Coach outfit in the caption.
This is a great example of promoter and sponsor alignment. Coach is a fashion company, and Selena Gomez shares her fashion looks and thoughts on social media. This might seem like one of her regular posts, where she casually shares what’s on her body.
Sponsored content can be a great way to promote your products on a smaller scale.
Lulus Sponsors Lexi Mars
Influencer Lexi Mars published some sponsored Instagram posts for Lulus. These posts show Lexi Mars wearing some of the brand’s outfits and showing off accessories.
tags Lulus in her posts, just like other influencers. This allows her followers to visit their profiles, learn more about the brand, and possibly follow them.
Below is a video of her trying on Lulus dresses. She captions the video with “outfit ideas to graduate.”
This sponsorship, like the Selena Gomez example shows, is well-suited for both the clothing company’s and the influencers’ brands.
Lexi posts photos of her outfits regularly and also videos with fashion tips. This video will not be unusual or forced on her fans. Fans familiar with her style may not feel disturbed by the advertisement.
Lexi also emphasizes that these are graduation clothes, so she may engage her followers who are graduating and those looking for inspiration on Instagram for graduation dresses.
Boutiques, physical shops, and eCommerce shops might find this type of valuable influencer strategy if they want to promote seasonal or event-related clothing.
Tractor Supply Sponsors Stella
This sponsored post is @ADogNamedStella. Stella’s owner films Stella exploring the Tractor Supply shop with her family. The video shows Stella and her family playing with toys and other items. There are also plenty of shots taken throughout the store. The friendly staff is also seen playing with the dog in this video.
The video includes some shots of the store, but the main focus is on the dog’s story. This makes it a little more interesting than a marketing video.
Tractor Supply may spread awareness by sponsoring the content for a popular dog influencer with over 284,000 followers.
Unlike many sponsored articles that often focus on online services for products, this content creatively showcases a physical business. Sponsored content such as this can be a great way to showcase products in small shops or those that don’t have an online shop.
Sponsored articles
Sponsored articles are a tradition that has been around for many years. They were once common in print publications but have leaped online news sites and blogs.
A study by Neilsen & Mode Media found that consumers spend 2.5 minutes reading a sponsored article. This is roughly the same time they spend reading an editorial piece.
Here’s an example of sponsored content from the Huffington Post.
Sleep Number
Huffington Post readers can take a quiz on sleep science and view a slideshow in a sponsored piece by the Sleep Number mattress company.
This piece is not like the Huffington Post native ad that was shown above. It has the same design and layout as all other editorial posts on this website. It includes editorial newspapers and credibly sourced information, including a fact from CDC.
The post’s meat only mentions Sleep Number. They also have sponsorship language at either the end or the middle of the post. This makes the post feel less like an advertisement and more editorial.
This example would seem valuable to those interested in learning more about the science behind sleep.
It feels more credible and engaging because it includes scientific facts and quizzes. Because they are associated with editorial content on sleep, a user might believe that Sleep Number is the best mattress company.
Sponsoring editorial content such as this might be a great strategy for businesses with an audience interested in reading blogs or news online.
A gym might sponsor a piece about fitness tips for seniors in their local newspaper’s health section. A piece like this might help people learn more about staying fit and encourage them to sign up for the gym.
FTC Sponsored Material
Sponsored content is still considered advertising, even though it may be more valuable than traditional ads for customers. However, there are specific guidelines that must be followed. The Federal Trade Commission’s online marketing and advertising guidelines will still be applicable.
It can be difficult to acknowledge that sponsored content has been acknowledged on social media platforms. The FTC published an online announcement in 2017 reminding brands and influencers to identify when they have a “material relationship” with a brand.
Companies and influencers must disclose when another company has paid them in exchange for publishing endorsements or sponsored content.
Many influencers and brands use hashtags such as #ad and #sponsored to avoid regulatory problems. If there’s no other way to reveal sponsorship in a post, it is now possible to use #ad or #sponsored. Hashtagging is a popular method on Instagram. It currently has more than 2.5 million posts marked with the hashtag “#sponsored.”
It will help if you read all FTC regulations that may impact your campaigns. Here are the most important guidelines when publishing or posting sponsored content.
- Make sure that the content does not contain misleading claims or lies. A supplement company should not claim that their vitamins cure any disease if they aren’t proven effective.
- Clearly states when content has been sponsored and who the sponsor is. This disclosure will let audiences know which aspects of the content were paid for.
- Make sure your disclosure font is legible if your content is found on your website or the sponsor’s site. It should be clear and distinct from the body copy. If a CTA is used on a homepage, it should be noted that the content is sponsored, promoted, or presented by a company.
Disclaimer: The above should not be taken as legal advice. Talk to a lawyer.
Tips to Create Sponsored Content
Here are some tips for working with sponsors to create compelling and exciting content:
- Sponsor content that delights and attracts your audience. They will continue to consume the content if it is enjoyable and may click on your links.
- Choose a publisher, influencer, or company with a similar audience and mission when searching for content creators. People will be more likely to purchase a product if they see an endorsement or sponsored posting from an entity they trust. This will make product mentions and plugs less like ads.
- You can work with the sponsor to choose a topic that aligns with your goals and your audience’s needs. For example, sponsoring a tutorial by an influencer showcasing your products might be a good idea for a makeup company.
- First, create engaging content, and second, product plugs. People might not listen if your content is solely about a product.
- You can sponsor content that goes beyond the blog format. Make sure you include podcasts, videos, and photos. Both marketers and consumers are increasingly interested in these three areas.
Conclusion: Sponsored Content improves brand lift
Sponsored content puts brands in touch with consumers in non-invasive and cost-effective ways. This increases brand reach, builds trust, and enhances credibility.
How?
People like familiar things. This is the mere exposure effect. Sponsored content helps us to become familiar with brands and products and develop a preference.
There are shows we enjoy, social media platforms we love, and hobbies we follow. We associate sponsored content with things we enjoy. This form of confirmation bias increases brand lift.
Sponsored content can be a powerful and versatile tool for brands. Sponsored content can be a game-changer when it is effective.
Studies show that people retain branded content twice the time as they do traditional advertisements. However, creating your brand videos, blogs or podcasts takes a lot of bandwidth.
Sponsored content is a tradition that has existed for decades. It started in print publications. Sponsorships have moved from print to the internet as online marketing has changed how we consume content. Sponsored content is now even more popular.
You might wonder, however, “What makes sponsored content so much more attractive than traditional online ads?”
This post will answer this question by explaining what sponsored content is. We will also share some best practices and examples of sponsored videos, podcasts, and social media. We’ll also share some tips for sponsoring great content and still complying with federal advertising guidelines.
Sponsored content is a great way to reach new customers and gain trust. Sponsored content is not like native ads. You don’t need to sacrifice bandwidth to make it.
When you seek someone to sponsor, keep your eyes open for brands or people who align with your mission and feel like a natural match.
If you are interested in branded content but don’t want to work with a sponsor, offer engaging examples of native advertising.