Facebook’s ads: now 68 percent more likely not to be forgotten
(By Alexei Oreskovic)
Pop quiz: what was the last ad you saw on the Web?
According to Facebook’s head of advertising products Gokul Rajaram, you would be exactly 68 percent more likely to remember the pitch if the ad was “social”.
Rajaram said that Facebook’s various types of social ads, which can include product endorsements from a Facebook user’s friends, offer the cure to the so-called banner-ad blindness that many Web surfers seem to suffer from.
“Ultimately no one wants to get a message from the brand. You would much rather hear a message from your friend,” he said at the TechCrunch Disrupt conference in San Francisco on Wednesday.
Not only is there a 68 percent greater brand recall with Facebook’s social ads compared to its plain vanilla online ads, Rajaram also said that consumers who see a social ad are 4 times more likely to purchase the promoted product.
And he noted that the majority of Facebook’s page views now feature ads with a “social” element.
With 750 million users on Facebook, that’s a lot of ads.
How much more money Facebook can reap from its social ads, Rajaram would not say. But it’s no secret that business is growing fast at Facebook: as Reuters reported exclusively last week, revenue in the first six months of 2011 doubled to roughly $1.6 billion.