Agencies are lagging behind both brands and publishers in the move towards creating native advertising campaigns.

62 per cent of publishers already offer native ad placements, according to a survey of 1,000 people in the industry for The State of Native Advertising 2014 report, with a further 16 per cent on course to offer it by 2014.

The study from native ad exchange Hexagram and research company Spada found that 41 per cent of brands have already taken up the offer of more customised advertising experiences, with 66 per cent of those creating their own branded content. Meanwhile, just 34 per cent of agencies said they currently offer native to their clients.

According to the survey, native already represents an average of 20 per cent of publisher revenues, with 10 per cent growth expected within the year.

Ethics and complaints

Many people are sceptical about the ethics of branded content disguised as journalistic materials, just 56 per cent of brands and 50 per cent of agencies view signposted paid-for content positively. 18 per cent of publishers and 29 per cent of brands have received complaints about the practice, the study found.