The Performance and Success Problem of Facebook Advertising

With more than 800 million active users (" Facebook F8, ” 2011), Facebook is currently the world's most well-liked social network. The considerable range of audiences supplies marketers with an ideal platform to post promotions and advertising. Activities adding marketing techniques with Facebook features will be referred to Fb marketing. Statistics show that (Bullas, 2010) the quantity of Facebook Ads has passed the milestone of just one trillion, a powerful proof of the demand for this technological platform. However , the return of advertisements on this platform are unable to entertain marketers' expectation on account of several second-rate mechanisms of Facebook promoting. This dissertation will evaluate problems regarding the efficiency of Facebook advertising present solutions to them. A conclusion may also be drawn.

Recent exploration (Bullas, 2010) indicates the click through rate, which is a key metric of the response to an online industrial, of Fb advertisement is merely 0. 05% on average, considerably below the physique of Google which is 8%. A possible purpose of this tremendous disparity is definitely the conditions pertaining to the breakthrough of these banner advertisements. Although Facebook allows advertisers to deliver marketing information direct for their target audience in accordance to age group, gender and interest (Castle, 2009), the info is less than up-to-date that reflects the user's immediate requirement which users are able to meet through reading advertising campaign. Little viewers is drawn to click the link in case the marketing information presented on users' homepages cannot successfully matches with the need. With no delivery of advertising data through clicks, the effectiveness of this sort of marketing methods is limited.

Another problem concerning Fb marketing's success is the lifestyle of " click fraud” referring to planned clicks on sponsored links with the intention of malicious...

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Castle, M. (2009). Advertising Productivity of Yahoo vs . Facebook . com. Retrieved November 4, 2011, Web site: http://smallbusiness.chron.com/advertising-efficiency-google-vs-facebook-29060.html

Facebook F8: Redesigning and hitting 800 million users (September twenty-two, 2011). Retrieved November 3, 2011 from L. A. Times, Web site: http://latimesblogs.latimes.com/technology/2011/09/facebook-f8-media-features.html

Layton, J. (March 6th, 2007). What is this just click fraud that may be costing Google billions. Retrieved November 4, 2011 from HowStuffWorks. com, Web site: http://computer.howstuffworks.com/click-fraud.htm

Jansen, B. M. (July, 2007). Click Fraud. Retrieved The fall of 3, 2011 from The Philadelphia State School, College of Information Sciences and Technology Website: http://faculty.ist.psu.edu/jjansen/academic/jansen_click_fraud.pdf