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Facebook Growing Independent (Sort Of), Bids Adieu to Microsoft Ads (Non-US)

mohkim

By mohkim

2 months ago

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image thumb29 Facebook Growing Independent (Sort Of), Bids Adieu to Microsoft Ads (Non US)

If I am not mistaken, Microsoft has been one of the major investors in Facebook, but that shouldn’t matter in business, especially if you are growing by leaps and bounds. Well as the last week closed in, Facebook experimented with its ads, showing a boot to the huge ads from Microsoft and what a lame reason was given. Apparently the removal of ads was credited to some bug which run rampant on Facebook as phishing scams and God knows what, but the social network did take a bold step and stated that the International Markets had bid adieu to the banner ads.

Now this is only been initiated in the International markets since the ads from Microsoft continue to appear on the social network in the United States. But I guess that too is for the time being and will eventually be replaced given that these ads have more to offer as the platform continues to build up its inventory. This new methodology is going to help marketers place their own ads for a given region, this could help them create more demographic centered advertisement and fetch exactly the right consumers/users they are looking for. The new format might actually prove fruitful for advertisers in gauging what ads actually perform given that they will be having items like enabling users to like ads and see who else has liked them, pretty much like the same functionality you have for Facebook Status updates, etc.

Now all these moves will help marketers target Facebook users more efficiently and have a further reach compared to the traditional advertising methodologies used. However the winner over here is definitely the idea of reducing the CPC which might actually improve the performance of how ads sell. This is primarily very beneficial for the present but is bound to rise in the long run in my opinion. Why? Well a better performance would eventually result in the higher demand next to the improved sales. Facebook isn’t losing much, but Microsoft is definitely losing a bit but that too is temporary, given that the software has huge stakes in the social network, better ad sales would mean higher revenue pouring in to the treasury and improving the price if stocks.

For me this is just a turning point, as Facebook looks forward to grow more independent. I mean it has grown past 350 Million users and the platform continues to expand, independence is of course a very logical move from where I see it.

Tags: ads, facebook, microsoft

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Comments (2)

joankw
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By joankw2 months ago

Thanks for keeping an eye on this and keeping us up to date. Great article.

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AdviceMaven
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By AdviceMaven2 months ago

I think that FaceBook does a great job at displaying ads in a subtle way. The way they suggest that you visit certain businesses pages right underneath friend suggestions makes it look like they're just being nice and letting you know about the page rather than displaying an ad (it's brilliant but a little sneaky) I had no idea that Mircosoft was managing ads for FB.

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