Last night I noticed an ad on Facebook for the new Dirty Jobs season and it really struck a chord with me. While I’ve seen event engagement advertisements before, it really began to make sense and also made it more clear why traditional display advertising is dying. The ad (pictured to the side) encourages users to RSVP to the first episode of the season. The result is that users get reminded of the first episode once they RSVP.
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When the Facebook platform launched over two years ago, a new advertising model was built: pay per install. Since then, millions of dollars have been spent on application install campaigns. Many brands are realizing that it’s much more difficult to get users returning on a regular basis to your applications though and as such this model has some serious weaknesses. That’s why many advertisers are turning to the “pay per fan” model.
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A number of the large ad networks have been reaching out to developers to let them know that they essentially have no idea what’s going on. Facebook has taken the latest actions without giving developers any form of early notification and many ad networks feel left in the dark. Those developers that have ad supported business models (the majority of Facebook developers) feel as though their businesses are in jeopardy. The rationale is that if they can’t trust what were previously reliable ad networks, who can they trust?
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A number of applications have been systematically shut down over the past few days due to running aggressive advertisements. Facebook is sending out the following statement to developers, explaining why the apps have been shut down: “Ads are misleading and don’t represent what’s being advertised. Landing pages emulate Facebook features to deceive users and use deceptive billing practice. (Platform Guidelines section #4, 5, 9)”. This is a sign that Facebook is turning up the heat on aggressive ads on all fronts.
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It appears that Social Hour, one of the few ad networks to be completely banned from the Facebook platform, has now relaunched under a new name: Dizzy Networks. According to one source, Social Hour had been looking for a new face for the company and according to the company’s website, they hired Jeremy Olsson, who was previously the Director of Performance Marketing for RockYou. While the company is still focused on trying to convert IQ quizzes, it doesn’t appear as though Dizzy Networks is running as aggressive of advertisements this time around.
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Sheryl Sandberg is speaking today at 11:00 AM EDT. We’ve embedded the stream of the keynote live below. We’re expecting Sheryl to announce “Brand Lift” the company’s new partnership with Nielsen to measure the effectiveness of various advertising campaigns. We actually have some screenshots of Brand Lift in action that we’ll be updating this post with shortly. In the meantime you can watch the stream live below.
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There are two primary types of online advertising: direct sales marketing and branded ad campaigns. Direct sales models like online affiliate marketing or email marketing have already been proven. However large brands have only begun spending billions of dollars online, because there have been very few ways to monitor the effectiveness of campaigns. Let’s say that you set up a Facebook application which millions of users interacted with. How do you then measure the ROI of that program once it’s complete? Given that large companies spend hundreds of millions if not billions of dollars on advertising everywhere, it’s difficult to track the impact of a single advertising program on a user’s awareness of a product or service. That could all change with Facebook’s announcement tomorrow.
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Tomorrow afternoon Facebook will make a special announcement at Ad Week NYC and they’ve been promoting the announcement heavily via the Facebook Marketing solutions page. Apparently the live stream will be posted on the page and while no details have been provided regarding the announcement, it sounds as though a new advertising product will be launched or upgrades to the existing ones will be rolled out.
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Over the past few days Facebook has been pushing out a new version of their ad manager to a select group of advertisers. One of those advertisers, Tradimax, was kind enough to forward over screenshots of the latest ad manager. While we’ve previously written that Facebook has been working on a new iteration of their ad management system, this is the first time that we’ve had access to the screenshots and the first we’ve heard of this system being used by advertisers.
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If you’re a large brand that’s running an online ad campaign are you just going to direct consumers to a pretty landing page? That’s what most companies have been doing consistently although a few brands have begun choosing to promote their Facebook and Twitter accounts over landing pages for the opportunity to “remarket” to their fans. Macy’s is the latest brand to promote their Facebook Page through display advertising campaigns around the web.
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