The
article above outlines how Facebook is trying to refine its digital advertising
strategy to target customers more accurately while balancing privacy concerns.
Facebook’s forthcoming strategy seems to be to tap into users’ interactions
with friends on Facebook in order to harness the power of a personal
recommendation, which is typically more compelling than even the most targeted
of ads.
The
company is trying to change the perception that CTR is the most effective way
of measuring ads and is encouraging ad buyers to measure impressions instead.
It
will be interesting to see how receptive the market is to this rationale. While
Facebook’s strategy is entirely logical, adopting it may not be palatable to ad
customers accustomed to focusing on CTR. With over a billion users, it’s
certain that both Facebook and advertisers will continue to strive for ways
harness the social network’s vast potential.
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