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Facebook to incorporate TV-style ads into our News Feeds

By David Tom
Jul 31, 2013
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  1. Television advertisements reel in the big money, and Facebook now has plans to tap this lucrative business. The company intends to incorporate TV-style commercials into its social networking website, which will reportedly retail between $1 and $2.5 million per day,...

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  2. MilwaukeeMike

    MilwaukeeMike TS Evangelist Posts: 2,122   +723

    That'll be annoying, but they have to do something. FB doesn't make much money compared to other big tech companies, and they've actually lost money 2 out of the last 4 quarters.
     
  3. tipstir

    tipstir TS Ambassador Posts: 4,684   +86

    Too much adverts on FB, but they have to make money as they don't have you join for a membership fee and it's pretty much open social network idea. Youtube has video ads before any video plays, you do have the option to skip the ads. To much in your face ads will keep some members away.
     
    H3llion likes this.
  4. Tekkaraiden

    Tekkaraiden TS Maniac Posts: 903   +52

    I've never understood their business model or understood why they are worth so much.
    They have no products or services and pretty much survive just on ad revenue.
     
  5. LukeDJ

    LukeDJ TS Addict Posts: 414   +112

    Well, every form of media ever basically runs on this model. Companies are willing to pay a lot of cash to get their product plastered on our screens :p
     
  6. MilwaukeeMike

    MilwaukeeMike TS Evangelist Posts: 2,122   +723


    you're not alone... when Facebook went public there was some talk about how it was going to be huge and people were going to make tons of money. When it happened their price went up to around $45 and then went down and stayed down. Compare that to companies like Amazon, Google, Apple etc who have stock prices in $300-$400 range.

    The reason people thought FB was going to be huge was because not only to they have like a billion users, but they have personal info on all their users. Any website that gets as much action as FB is a winning lottery ticket waiting to be cashed in. The problem is people don't want their info used as a means to focus advertising, so FB has been stuck with this goldmine of information with no way to use it. Hence the low stock price and profits that barely make ends meet.

    They're slowly finding ways to push ads to their users, and it wouldn't surprise me if one day they even offered a version of FB completely ad free for a small fee of like $3/month.
     
  7. alcarin2030

    alcarin2030 TS Enthusiast Posts: 105   +12

    People still see ads on the internet? Odd.
     
  8. Ranger1st

    Ranger1st TS Enthusiast Posts: 268   +77

    FB is going to profit themselves out of a client base, Greedy window lickers.
     
  9. Skidmarksdeluxe

    Skidmarksdeluxe TS Evangelist Posts: 3,174   +761

    It's hardly surpising. 99% of FB's income is generated from ad's hence it's service remains free to users. It can't be a bad deal if your'e a FB user.
     


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