Facebook & Advertising Essay
In the last couple of years, Facebook, founded in 2004 by Mark Zuckerberg, has gone from a college photo-sharing site to a burgeoning business- networking platform for self-promotion, advertising and multimedia interaction. With new apps and add-ons, Facebook users can send each other a virtual drink, create and host events, advertise their businesses through social ads, and more. When Charlie Gibson hosted the debate for the 2008 presidential candidates along with Facebook, the little networking site became a powerhouse in the online-marketing community.
But will Facebook ever drive the Business of advertising ? How can Facebook Ads compete with Google Adwords and become the leader in the Business of Advertising ? …show more content…
Even if many Facebook users say that they tend not to pay attention to the ads that are currently there, they also say that they might respond more to ads that were relevant to them, just so long as the ad don't make it more difficult or annoying to use the site.
Moreover Facebook has something that Google will never have that makes them incredibly valuable: demographic indexing.
Demographic indexing picks up where Google left off with Adwords. Indeed Adwords allows advertisers to target customers by geographic region and keywords. Both pieces of information allow for instantaneous semi-relevant advertising on any of Google’s products (Search, Gmail, Calendar, etc.) or keywords on publisher’s websites (blogs, news portals) by embedding a tiny snippet of code to index what is on the page.
Facebook’s advertising system contains all the components of Adwords on their internal pages (Facebook.com) but adds a layer of targetable information for advertisers: demographics and interests. Most web sites have no demographic data and nice click-through on their ads because their anonymous users are just passing through as they browse for information.
By filling out a full profile, the Facebook