|Facebook to Launch Ad Credits For Small Business|
Facebook to Launch Ad Credits For Small Business [usatoday.com]
|Sheryl Sandberg wants to do for Facebook what she did for Google. |
|"My dream is really simple," said Sandberg, 42, seated near a framed graffiti rendering of co-founder Mark Zuckerberg at Facebook's headquarters here. "I think every small business should … be using Facebook. We're not going to stop until all of them are using it to grow their business." |
Next week, Facebook will unveil a plan to get small businesses hooked. The company plans to offer free $50 advertising credits for up to 200,000 small businesses. When a person clicks on an ad, there's a set rate predetermined for that click through — 5 cents or 25 cents, for example — the advertiser has to pay. Facebook will pick up the tab for the first $50 of such ads delivered under its offer.
|"I think every small business should … be using Facebook. We're not going to stop until all of them are using it to grow their business." |
If he really want to do that then he should offer minimum $2,000 credit and try to deliver better traffic to those advertisers.
This will do nothing. As Dinkar notes, they need to deliver better traffic. They could do that, but are not.
Instead they're going to have 200,000 small businesses talk about how they tried and failed to get business out of facebook.
I'd like to think that 'local' small busines could do better. If that's what they are targeting, then there is a possibility.
The chances of a Facebook user seeing an advert for a local business when they actually need that service is pretty low, unless they have posted anything about their need.
Having had 40 Million visitors looking for local services to our sites I can tell you, without a great deal of changes to the way Facebook does ads, small businesses are not going to have much success.
The best (current) way for Facebook to match ads to need is through their toolbar collecting info - but the takeup of that has been woefull - people don't like toolbars.
Combining the knowledge between Facebook and Twitter would help both companies monetise their traffic. But what they really need to do is offer a full web search alternative to Google, that's when they should give out the free ads (or maybe this is in preparation for that...)
I should add that Facebook can be a good way for local businesses to interact with their customers.
However, it seems, on closer inspection, that Facebook are looking to attract businesses without a web presence to use Facebook and their ads. Success on Facebook is not going to happen with a dormant (once filled in at sign up) page and some ads directed at it - in fact the lack of activity that will inevitably come with new businesses (who are far from web savvy) will act as a deterrent to many Facebook users.
Some businesses will do well, but that's likely to be those that already have an active customer base interacting with them. The nature of Facebook actually disadvantages whole swathes of business types; if you are in sector that is rarely used by the average person (say a plumber) it's much harder to get traction than it is for a comapny in a repetitive service/product sector (e.g. Tanning Salon).
The advantage of being in a repeat business sector is enhanced by the fact that you usually have a much more definable service on offer - think of the difficulty that a general builder would have in guessing what you want to see in an ad (as they could do thousands of possible jobs) in comparison to the targeted nature of ads that a Tanning Salon could run.
Online ads need to change (on Google too) for many types of business, I'm amazed it hasn't already happened.
I set up an ad with them about a year ago but never activated it. They kept sending me $50 credit offers so a couple of weeks ago I finally relented. The credit was used up in about 10 hours and they were into my credit card for $8 before I could pause the ad the next morning. Maybe that's what they're after -- people who don't realize how quickly a $50 credit can get used up.
If they send me another free credit offer I'll probably take advantage of it but this time I'll set the daily limit to a lot lower than $50 and/or not activate the ad right before I go to bed. :)
Did you earned any $ with that $58?
Ran a FB for a client of mine. While they got clicks, non led to sales (stuffed animals and such). Don't like the ad controls or their stats page. No way of telling how many times the same person saw the add versus how many times the ad was shown. And now, with the new layout, most ads appear below the fold.
Bottom line, I personally do not think it is worth it and I believe it is almost Google like in trying to suck everyone in then, when they do, change the rules. Mark my words, one day they will start charging for business pages.
Just my humble opinion.
|Did you earned any $ with that $58? |
No idea but I got 38 clicks from 86,293 impressions, an 0.044% CTR and a $1.55 CPC (that was using their "optimization").
As someone who does advertise on Facebook, the single biggest thing on my wish list for improvements would be the ability to set frequency caps, to set some limits for how often any one user is shown my ad.
That is a major tool missing from the advertiser's tool box.
i hope when they integrate a decent search engine, we'll be able to target it separately.
and i wish they'd add to interest based targeting, a secondary contextual targeting, so that i could choose:
+interest-based, regardless of what contextual page they're viewing
+contextual page based, regardless of their known interests
+"or" of these two, with split bids
+"and" of these two