Print 14 comment(s) - last by Rasterman.. on Jul 5 at 11:54 AM

Facebook tracks your likes and dislikes, and targets the correct ads to you  (Source:
Facebook raked in $2 billion in online display advertising revenues this year

Hearing that Facebook is a social networking superpower is old news, but Facebook has stepped out of that narrow category and dipped into several other business pursuits such as advertising, and it has succeeded in that as well. In fact, the social giant surprised quite a few traditional advertising groups at an annual industry get-together in Cannes, France recently.

Facebook, which launched in 2004, has grown by leaps and bounds in recent years. The site has over 750 million active monthly users at present, and the number of features offered constantly increases to keep the site relevant with consumers' changing needs/wants.

Online advertising has certainly changed the industry. Large corporations like Ford and Nestle to small companies are realizing that their advertisements have a better presence online, and especially on social networking sites because of data mining. 

Sites like Facebook use data mining to collect information about the people using their services. For instance, when a Facebook user posts a link or an article, Facebook takes note of that and uses that information to send them ads that would interest them. This has worked quite well for Facebook, considering the social networking company just raked in $2 billion in online display advertising revenues this year. 

While this form of advertising may be working well for Facebook's pocket, it's not working out so well for its users. Data mining has landed Facebook on some dangerous ground as regulators claim that increasingly sophisticated data mining systems are a breach of user privacy. In fact, the European Union just required sites that collect user information to notify the user that they are doing so. 

But that hasn't stopped the rapid growth of social networking ads that use sophisticated data mining techniques such as RadiumOne, which tracks people's social behavior by partnering with blogs and social networks. Companies are willing to pay top dollar for such targeted ads, and this may be why other tech giants like Google are hopping on the social networking bandwagon. Only two days ago, Google released a field trial of its new possible Facebook competitor, Google+.

"If I have a good experience with a brand I'll tell a person offline -- I might tell my friend -- but if I do it on Facebook, the average person is telling 130 people," said Facebook Chief Operating Officer Sheryl Sandberg. "We think that explains the very healthy growth of our advertising business."

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By nomagic on 7/1/2011 11:27:07 AM , Rating: 2
I will use Facebook only if I get paid doing so.

RE: ...
By raphd on 7/1/2011 11:34:33 AM , Rating: 4
so at work?

RE: ...
By nomagic on 7/1/2011 11:47:32 AM , Rating: 2
The computers that I work with don't have a browser...

RE: ...
By amanojaku on 7/1/2011 12:04:35 PM , Rating: 2
Then it's possible that those are the most secure computers on earth. :-)

RE: ...
By dark matter on 7/1/2011 12:04:57 PM , Rating: 2
The computers I work with don't have a display.

RE: ...
By ClownPuncher on 7/1/2011 12:19:30 PM , Rating: 4
The computers I run from have no remorse.

RE: ...
By MrBlastman on 7/1/2011 12:41:25 PM , Rating: 3
The computers I use are so remorseless they hunt down and destroy the computers you run from that have no remorse. They are cannibals. Traitors to their own kind.

Therefore they are your friends. They will help shove bread down your throat and push you up the stairs.

RE: ...
By amanojaku on 7/1/2011 12:46:20 PM , Rating: 2
They'll shove things down his throat. And grab him from behind.


And they're supposed to be his friends?

RE: ...
By MrBlastman on 7/1/2011 1:07:11 PM , Rating: 2
RE: ...
By Motoman on 7/1/11, Rating: 0
As soon as my Mom got a facebook page
By Meinolf on 7/1/2011 1:24:04 PM , Rating: 2
I don't have a facebook page or do I need one. I see friends and family addicted to posting and playing the dumb games. Waiting for Facebook to turn into MySpace

By Lazarus Dark on 7/3/2011 5:14:16 PM , Rating: 2
Your wait is over. I'm on G+ and as soon as they go open and everyone I know can get on, facebook can eat it.

They don't target me
By akse on 7/4/2011 1:36:46 AM , Rating: 2
Can't target me with ads.. thanks to Firefox and abp

Social Smocial
By Rasterman on 7/5/2011 11:54:46 AM , Rating: 2
"If I have a good experience with a brand I'll tell a person offline -- I might tell my friend -- but if I do it on Facebook, the average person is telling 130 people,"

Yes, but I hold about 1/1000th the value of someone posting something on Facebook as I do talking with them offline.

"This week I got an iPhone. This weekend I got four chargers so I can keep it charged everywhere I go and a land line so I can actually make phone calls." -- Facebook CEO Mark Zuckerberg

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