After the IPO, Facebook has grown with every passing day. Not only has it launched much-needed features, acquired products to make its networks experience complete but also at the same time it has fixed it’s advertising strategies. Pundits who had till day criticized the Facebook advertising model and brands who were wary of Facebook ads will have to do a reality check. Facebook has not only enhanced ads on its network but is now experimenting with targeted ads on external websites on the Internet.
Facebook’s Targeted Ads
Some time back, Facebook had announced that it is launching Facebook Exchange, which will provide brands an opportunity to display targeted ads to their fans on Facebook. Facebook Exchange which has been already lauded by marketers, is a real-time bidding ad system where visitors to a third-party website are marked with a cookie and can then be shown real-time bid ads related to their web browsing by Facebook. For example, if you have recently visited an ecommerce store that has tied up with Facebook for this program and you leave the store without buying the product that you had intended to, the next time when you visit your Facebook you would see an ad related to the store you had visited and maybe with a discount on the product that you had intended to buy.
Facebook’s quest to give marketers their value for money didn’t stop with the launch of Facebook Exchange. According to Inside Facebook, Facebook is displaying ads and sponsored stories on the sidebar of Zynga.com. A space that was always occupied by Google Adsense. Facebook also added an entry on it’s help center “Facebook Advertising on Zynga.com” that says a user has the right to remove the ads he is not interested in and that Facebook is not selling any user data to advertisers.
Can Facebook Become The Largest Advertising Network?
Facebook for now has expressed that it is trying out the Facebook ads and sponsored ads only on Zynga.com. But it would be any marketers guess that this is one more way for Facebook to increase it’s yearly advertising revenue. However, it has to be seen when Facebook will make this feature open for other brands but undoubtedly this feature will bring more smiles on to the faces of brand managers. For instance, if you are a Bollywood music lover then chances are that you will log into Saavn via Facebook login to browse for new songs. While you are browsing songs of a particular singer then chances are that you would see ads which will be selling tickets of the singer’s music concert at a discount or may be movie tickets of the movie whose song you have been listening to. Facebook has opened up various ways for marketers to engage with customers effectively.
With this move, Facebook has not only given confidence to marketers but has also given stiff competition to Google’s Adsense. Till day Google had been the leader in ad revenues but the new move by Facebook may change the equation completely. Facebook has the behavioral data of 900 million users, which is enough to disrupt the online advertising space.
Facebook has been slowly nailing the online advertising space along with advertising on its network and it has been only a few months after the IPO. Do you think that Facebook could be the leader in online advertising over the Internet?