Facebook is the most preeminent social networking site in the world. It is not the first and probably won’t be the last, but it is likely the most important.
Facebook usage is massive because users spend large lengths of time on the site. If Facebook was a country, and its users were citizens, then it would be the second largest country behind China.
Facebook Graph Search.
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The next largest announcement from Facebook was its Graph Search. For online marketers, Facebook’s Graph Search puts a different spin on social data. If you think about it, it almost becomes an overnight search engine for consumer reviews and recommendations, except from people you know or are connected with through the social network.
Facebook’s new search engine opens up an opportunity for both search and display advertisers to combine search intent with social data, and then serve ads within its own environment. With more than 900 million Facebook users, I suspect that the adoption of Facebook’s search engine will grow incrementally over time.
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Facebook Exchange
Although there is action in the search world from Facebook, I think its entry into the world of programmatic buying will be the defining event of 2013.
Already we are hearing reports of increased CTRs, better performance, and cost effectiveness for quality inventory. Savvy marketers should be focusing on getting comfortable with what the Facebook Exchange has to offer from a targeting perspective.
With the amount of time spent on Facebook by today’s users, frequency and reach also play a huge role in the potential of the Facebook Exchange.
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comScore has reported that 15% of all time online is spent on Facebook. This gives advertisers a real opportunity to reach audiences during multiple stages of the consumer funnel and, more importantly, for both branding and direct response campaigns.
Full funnel retargeting fits nicely into the Facebook Exchange. On one hand, marketers can utilize site retargeting, reaching customers that previously visited their site, and on the other hand, advertisers can apply search data to targeting to grow their audience pool and reach new customers.
The Facebook Opportunity
According to Triggit, 60% of consumers that leave an advertiser’s site are exposed to a retargeted ad on Facebook in the first hour. There is simply so much activity and time spent on the social networking site that it’s almost impossible not to reach a customer within a relevant time period. As Graph Search takes off, there will be even more search data to marry with display campaigns.
Whether you are a marketer promoting a product, special promotion or brand message to create awareness, Facebook’s environment is an opportunity for all types of advertisers. The fact that Facebook has entered into the real time bidding market is a huge testament to the expected growth over the next decade.
As for search, we’ll see how its Graph Search plays into ad targeting, as we are at the dawn of a new era in programmatic buying and search.