Now 5 years old, Facebook is considering selling its users data to companies for marketing purposes. As the most powerful social network with over 150 mln active members, in 170 countries, Facebook is planning to sell the information contained in its incredible database. Companies could acquire specific data on users and develop targeted marketing campaign. Indeed this could be an extremely powerful tool however this opportunity poses some privacy issues.
Facebook is not new to advertising. It actually had struggled with the previous and controversy Bacon advertising campaign of 2007. In that case each time a member bought a book, movie or ticket online, every member of his network was informed automatically. The campaign was then suspended due to serious privacy concerns.
Facebook database, not only is accurate and vast but also extremely updated, since users frequently update profile / status and also gives information on their network.
Furthermore, Facebook plans to introduce engagement ads in the log-in page. Members by signing in will be presented with an ad and the opportunity to “interact” with it. Facebook would then share and introduce the ad also to the user’s friends. Companies will be able to select members, based on the information that Facebook provides on the user, and create instant focus group to test, promote their products and receive real time feedback.
It’s true that as of today Facebook hasn’t been able to monetize its vaste usage; now, still remaining a free platform, it is definitely exploring more opportunities in order to increase advertising revenues.
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