Advertising on Facebook

Interesting piece on Facebook in the Globe and Mail

So-called “click-through rates” – the proportion of times a user clicks on an ad to get their browser to go to another site – are notoriously low on Facebook: roughly 0.035 per cent in the U.S., according to research provided by the digital marketing agency Resolution Media. (By some estimates, Google’s click-through rate on ads is about 10 times greater.)

“Finding ROI [return-on-investment] on Facebook is a bit tricky,” agreed Mr. Bandurski.

Until now, Facebook has served up advertising only to people who “Like” a particular brand, or to friends of those users. But this week it began experimenting with ads that pop up in users’ Facebook feeds – even if they haven’t agreed to accept messages from that advertiser.

The practice is likely to upset not just the network’s users, but some of the companies that have invested heavily in getting people to “Like” them so they can send out their marketing messages.

It makes sense.  When I am on Google I am looking for something.  When you are using Facebook, you are looking for friends which is why I have always wondered why brands advertised there.

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