12 Comments »We’ve now received multiple reports that SocialReach advertisements are now being displayed across Facebook applications once again. This is just one day after they were shut down for violating the terms of service. As “The Harmony Guy” posts in our comments, “The ads are a bit modified to placate some of Facebook’s concerns, but on the backend, SocialReach ads are still requesting detailed user information with the session information of the application hosting the ads.”
We have no word about whether or not SocialHour is back but it’s clear the down time was a temporary thing. One thing is becoming clear: Facebook is a bit conflicted about what to allow on the platform and which terms to enforce. Arbitrarily enforcing platform terms is not the best way for Facebook to proceed. If they are going to enforce the terms they need to draw a firm line and have a three strikes and you’re out policy. See update below.
A few commenters yesterday claimed that the disabling of SocialReach and SocialHour would substantially impact Facebook for the worse. Not only would it remove hundreds of millions in revenue but application developers would not be able to reach internal projections. Dan posted a comment stating that, “We are in the middle of a recession and any attempt at negatively impacting the online world is truly an attack on the growth of our platform. I understand you think you are making a positive difference, but think about the number of jobs, revenue and pain you just caused numerous companies.”
Such an argument is absolutely ludicrous as far as I’m concerned. Yes, developers will generate less revenue but preying on ignorant consumers is not the most legitimate business model. Does anybody believe that venture capitalists are investing in developers’ ability to monetize applications through questionable activities? If they are then they aren’t a legitimate venture capitalist. Investors invest in companies that will eventually develop sustainable business models and this sort of monetization strategy is not sustainable.
I have yet to see the latest SocialReach advertisements so I can’t comment on what the ads are promoting and whether or not they’ve substantially modified their creative. Most developers know about the company’s extremely aggressive strategies that regularly push the limits of the terms (if not violate them). Have you seen the latest iteration of the advertisements?
Update
SocialReach just contacted us to let us know that none of the advertisements in circulation are not from their site and if there are any “SocialReach” ads, they’ve been illegally placed. The company says they are still removed from the platform.
Update 2
SocialReach just spoke with us to notify us that Social Cash is serving up similar ads which are confusing many users. Honestly it appears to be a finger pointing game at this point. Social Cash however prefers to differentiate themselves by stating that they follow Facebook’s terms. This contrasts many of the extremely questionable activities other ad networks were participating in.
While we don’t currently have a position regarding Social Cash’s activities on a technical level since we haven’t analyzed them thoroughly enough, I’ve personally stated on numerous instances that ad networks which serve up deceitful mobile ads are unethical in my book, period.
Social Reach, Social Hour, Social Cash… All are of shit.
We use it, but we all know that the ads displayed are ugly, irrelevant, useless, tricky and ressource intensive.
Don’t forget RockYou, Cubics, SocialMedia, Adparlor .. did I leave out any networks that DON’T run deceptive ads? These posts are biased.
you post that piece of shit comment and not mine? you’re a chump…
Clearly you have a highly limited knowledge of both the VC world as well as basic logic. The ability to generate revenue by preying on ignorant consumers is the foundation of marketing. Please grace your readers with an essay on how major corporations from McDonald’s to Nike provide full disclosure to their consumers prior to purchasing. I’d love to see that. I can just imagine the new McDonald’s campaign**** Try our new Big Mac. It kills you much slower than our other fat laden menu offerings…. Or Nike’s new slave sweatshop Air Moab. You’ll jump higher than a five year old losing their fingers in one of our sewing machines in Indonesia. Sounds tempting…. Let’s discuss some recent VC investments in companies that are questionable in practice… Cash4Gold- North of 100MM from VC’s this year, Mobile Messenger- North of 125MM last year from Silverlake… Before you go spouting off your pseudo-educated knowledge you should read a book or two and get a job. You might just learn how the industry really works and then your comments on Facebook will hold relevance. As to your comments on what VC’s are looking for in an investment, here’s a free lesson…. THEY ARE LOOKING TO MAKE MONEY… PERIOD. After you’ve secured an Entrepreneur In Residence at Sequoia come talk to me… Joker.
@Dan, there’s a difference between ethical venture capitalists and “vulture capitalists”. You can get funding for just about anything … doesn’t mean it’s right. While I’m not a fan of hate comments we still post them but typically I don’t respond to them. It’s one thing to have an argument and it’s another to personally attack someone. I will not respond to any comments that are of a personal nature but I more than welcome a healthy debate. Let me know if you are up for that.
@Jason, I haven’t seen these same ads on those networks. If you have examples please forward them over. I only write about the things I hear about and you are one of the first to mention this.
Wow… We must not be reading the same blog. A hate comment or personal attack is :
Fardeen GHULAM - June 10th, 2009 at 4:07 pm
Social Reach, Social Hour, Social Cash… All are of shit.
We use it, but we all know that the ads displayed are ugly, irrelevant, useless, tricky and ressource intensive.
My comments were rather clear.
1. Please show me examples from major brands where they are offering full disclosure regarding their products and don’t utilize some form of deception.
2. Where have you amassed your wealth of knowledge on the VC markets? Have you previously worked for a VC?
3. Given your response would you define Silverlake as Vulture Capitalists?
4. What previous job title did you hold at a company where you directly purchased media online and didn’t employ some aspect of deception or lack of full disclosure?
If you can’t answer any of these questions my only point is that you are generally not qualified to make the assertions that you put forth on this blog.
So Social Reach ratted out Gratis?
As a developer I’m glad to see this change made. Any company that finger points should look at itself as well.
Nick, you really dont have a clue what you are talking about. You jumped the gun and said social reach was back displaying these ads and made yourself look like a fool. Did you stop and think for a second that other networks may have the technology to create the same banners? Did you do any research or did you just follow the comments from your other blog? There are 5 companies all running banners with profile pictures in them. Do some research before you post another blog.
Is it really finger pointing when you are calling out, and trying to turn people against, someone for something that others are doing as well?
For the record, I made my comment after seeing traffic from socialreach.com. I just did another check and did not find any SocialReach ads, but I did encounter SocialCash ads, and they too have problems, which I’ll post about on my blog as soon as I get the details typed up.
In response to come of the comments, Nick made his update after receiving multiple reports from users, one of them being me. I just updated my blog with information on why I was still seeing SocialReach traffic (which is still happening, by the way). I don’t see how that kind of reporting makes someone a “fool” - quite the opposite.
Also, Jason mentioned SocialMedia - I’ve posted previously about how their SocialBanners work and issues I have with them.
Finally, as my last report indicates, I doubt SocialCash is also abiding by the TOS.
great post jason:
Jason - June 10th, 2009 at 4:11 pm
Don’t forget RockYou, Cubics, SocialMedia, Adparlor .. did I leave out any networks that DON’T run deceptive ads? These posts are biased.
can anyone refer me to all the apps that facebook has kicked out for violations.
thanks
joe