Facebook Inc (FB): This New Ad Concept Facing Another Delay

Page 1 of 2

Facebook Inc (NASDAQ:FB), for all of its foibles in the year-plus since it went public, has been commended for its efforts in monetizing its social network. Advertising has been a constant challenge, and especially with the exponential growth of mobile over the last couple years. Facebook has started making some headway in advertising with its Facebook Exchange ad system, and it has been working hard to develop its advertising presence on mobile devices without being too intrusive on the small screens.

Mark ZuckerbergEarlier this year, Facebook Inc (NASDAQ:FB) made public its latest advertising idea, but it is apparently facing yet another delay. Facebook started selling its video-advertising concept with partners late last year, pushing 15-second video ads for at least $1 million each to be broadcast to a certain swath of Facebook users  if certain “slots” are bought during the day. The initial idea was to begin rolling out these new video ads in users’ news feeds this spring, but then that got pushed back to the summer.

Now, with Facebook currently working on some new features that it would like to add to the videos, continued development of the software could delay the rollout until sometime in the fall, according to a couple of reportedly high-placed sources. There is a debate as to whether the ads could roll out as they are now and have the new features added later as a software update. But apparently the winning argument right now is to roll the videos out with the features concurrently to enhance the value proposition for partners.

Talk is that these video ads, which will run with no audio in a user’s news feed unless the user opts to turn on audio, in which case the video would then restart at the beginning and expand across the width of the news feed, could run advertisers as much as $2.5 million for one 15-second spot, based on the intended  demographic of the Facebook Inc (NASDAQ:FB) audience. But is there a user experience metric to be considered here?

While this could be a hefty source of revenue for Facebook Inc (NASDAQ:FB) – after all, it is estimated that companies  will spend more than $4 billion on video advertising this year and $5.5 billion next year – there are those in the advertising business who  caution  about Facebook getting overzealous with vids, as they  are the easiest to distract and adversely affect user’s experiences compared to text ads or those with photos.

Page 1 of 2
blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

The Top 10 Most Expensive Digital Cameras to Snap Stunning Shots With

The 10 Highest Quality Fast Food Restaurants In America Today

The 8 Best Halloween Decorating Ideas to Spook Up Your House

10 Marvel Women that Should Get a Movie Right Now

The 20 Best Remixes of Popular Songs that Will Make You Forget the Originals

7 Most Expensive Cities in the World

5 Least Expensive Cities in the World

10 Celebrities Who Believe In Scientology

10 High Margin Food Products to Build a Business Around

The 10 Most Expensive Clothing Stores in the United States to Get Decked Out At

The 5 Biggest Kickstarter Scams That Swindled Backers’ Donations

The 10 Most Expensive Boarding Schools In the World

50 Crazy Facts About Japan You Won’t Believe

Top 10 Least Expensive Hybrid Cars to Save the Planet With

The 10 Biggest ‘Gate’ Controversies in History

The 10 States with the Highest Nursing Shortages Leaving Their Hospitals Depleted

The 10 Best Value Investment Blogs that Every Investor Must Read

The 6 Cheapest Boarding Schools in Europe 2015

The 5 Most Expensive Cars To Insure in the World

The 10 Most Common Genetically Modified Foods

10 Self-Made Billionaires Who Came From Nothing

The 10 Most Expensive Cities to Live in North America

The 13 Most Expensive Headphones in the World to Represent

The Top 20 Wealthiest Soccer Teams in 2014

4 BuzzWorthy Cannabis Stocks And Some Smoking Derivative Plays

The 10 Healthiest Fast Food Chains in America to Dine At

The 5 Most Expensive Cat Food Brands You Can Spoil Your Kitty With

The 6 Best eCommerce Platforms for Small Businesses

The 10 Worst Mistakes an Entrepreneur Can Make

The 5 Most OP Characters in League of Legends to Carry Games and Crush Foes With

The 5 Best Foods to Eat Before Running that Will Help You Pound the Pavement

10 Glaring Plot Holes in The Walking Dead that a Zombie-Filled Bus Could Drive Through

The 5 Biggest Celebrity Stoners Who Love Their Reefer

The 10 Most Overrated Movies Of All Time by Out-of-Touch Critics

Top 6 Least Expensive Cruise Destinations For 2015 that Will Take You to Paradise

10 States with Lowest Substance Abuse Rates in America

The 14 Most Watched TV Finales Ever

The 10 Best Selling Role Playing Games of All Time for PC

10 Most Influential Papers In Economics

Top 8 Biggest Charities in the US

10 Worst Celebrity Career Moves Ever

Top 10 Best Paid Tennis Stars in the World

Top 6 Cities For The Ultra Rich to Live in Comfort

10 Cities with High Demand for Nurses

6 of the Worst Greeting Card Messages Ever Crafted

How to Make Money in ArcheAge and Build Your Empire

10 Foods To Eat To Lower Cholesterol Levels

The 10 Most Hated Television Characters of All Time

The 30 Worst Halloween Costume Ideas Ever Brought to Horrible Life

10 Vocational Skills in Demand Today with Jobs Waiting to be Filled

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!