A recent study released by eMarketer showed that ad spending on social networking sites for 2008 came below the expected figure at 1.2 billion dollars. In a move to offset this trend, and increase the site’s profitability, Facebook is gearing up to test Connect. This new initiative seeks to help users take their “friends” on cyber journeys to other sites, while developing an alternate sales channel for Facebook to capitalize on.
Connect is designed to have users “opt-in” to follow their friends online to other sites. By doing this, Facebook can turn around and sell this precious data to marketers interested in reaching a well defined audience. The first test for Connect came through a partnership with CNN during the presidential inauguration day where Facebook users could watch the event live and chat with their respective friends on a Facebook forum-like scenario.
The challenge is on. Facebook will have to get more creative with technology in order to find better ways to capitalize on their growing international network. Users don’t just click on banners anymore, since they are too engaged in the many applications offered by Facebook. Trends indicate that the best approach is to offer something that gives users a real benefit. It seems Connect might be on the right track. |
