Sunday, November 25, 2012

Your activity on Facebook = ads outside of Facebook

Facebook ads are cheap because people rarely click on them. Thus, Facebook is trying a new scheme. The giant social network is going to use the data it has about your likes and dislikes to show you ads outside of Facebook. This is the first real confirmation that the company is going to roll out an advertising network that extends beyond just its own walled garden, and it could turn out to be one of the biggest factors in the success or failure of Facebook’s revenue-growth strategy.

It will be interesting to see whether Facebook will be able to generate more revenue through this new model or whether privacy issues will abound and Facebook users will rebel against the new proposal.

http://gigaom.com/2012/11/23/facebook-makes-it-official-an-external-advertising-network-is-coming-soon/

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