What does your company’s social media advertising look like? Do you advertise on Facebook or a different social media site? If you’re working on your social media advertising strategy for 2012 and contemplating whether to advertise on Facebook, this information will be of significance to you. Read on for more…
To understand where Facebook advertising is heading, TechCrunch interviewed Facebook Ads Product Director, Gokul Rajaram. Mr. Rajaram explained in the interview that Facebook hopes to see future Facebook ads be either a social ad or sponsored story. What is the difference between a social ad and sponsored story? A social ad contains a brand message, whereas a sponsored story doesn’t. An example of a social ad: A local sushi restaurant is being advertised and social context appears just below the ad, such as “Jesse likes this.” An example of a sponsored story would be 20 of your friends like that particular sushi restaurant. Make sense?
Mr. Rajaram went on further to say social ads result in action. According to him, social ads cause “people to be 68% more likely to remember the ad and increase the likelihood of an individual buying a product by 400% when compared to standard display methods” (Angitotti). So why is Facebook advertising valuable to your business? Well first of all, Facebook holds the number one position for most frequently used social media site. Secondly, Facebook advertising allows your company to take advantage of the social aspect of online marketing. Think of it this way: when people see that their friends like a specific product or service, they are more likely to purchase that product or service because they trust their friends. It is all about social reinforcement; we are heavily influenced by our peers, and that is what differentiates Facebook from other types of advertising.
After reading about Mr. Rajaram’s interview, are you more interested in advertising on Facebook? Why or why not? Do you think Facebook’s future advertising plans will help the company grow in revenue?
About Alan Moore: Alan is an Internet Marketing Consultant with ReachLocal Baltimore. His mission is to help you increase your revenues and decrease unproductive advertising expenses through proven, online marketing strategies. He manages over $1.4 million in yearly marketing budgets and has worked with local businesses, agencies and the US government. Give him a call at (877)655-3438 to schedule a free consultation.