These 15 minutes of video promo will be billed between one million and 2.5 million dollars, a source familiar with the matter told Bloomberg.
Advertisers will be delighted. The users, maybe a little less. Facebook should soon allow companies to insert video ads lasting 15 seconds, within the interface of the site, revealed Wednesday, July 31, the site of the American chain Bloomberg. (link in English).
While the Facebook share price on the stock market returned to its initial level on Wednesday, a look back at the advertising strategies behind this turnaround..
Video advertising: the rumor that boosts the share price
Inserting video advertising in the news feed of users’ pages is not a new idea. According to an anonymous source, quoted by Bloomberg, the boss of Facebook, Mark Zuckerberg, has already twice postponed the launch of this project, worried to see Internet users sulking his network.
According to this source, Internet users should therefore not be exposed to more than three advertisements per day. But more than quantity, the firm would bet on quality: these 15 minutes of video promo will be billed between one million and 2.5 million dollars. Hence the target of brands “top of the line”, ZDNet.fr note. Still rumored, uncommented by the group, the project is part of Facebook’s comeback in the markets, after a failed IPO in May 2012.
Smartphone advertising: the formula that has re-boosted the social network
If you consult your profile with your smartphone, you have undoubtedly noticed it: between two statuses, an advertisement for a shoe brand, a cosmetics group or an online travel agency has been posted on your wall. This phenomenon is the result of an offensive advertising strategy of the group on mobile, implemented in March 2012. At the time, Mark Zuckerberg presented to advertisers three new tools, specially developed for smartphones, had detailed La Tribune.fr . Since then, the “Premium” formula has enabled companies to‘”display messages on the home page of users even if they do not follow a brand’s Facebook account ”.
And it works, La Tribune.fr reported on Thursday: “A little over a year ago, the group’s advertising revenue on phone connections was insignificant. They represent 41% of its turnover in the second quarter, compared to 30% in the first quarter. ” What reassure the markets on the capacity of the social network to monetize its service.
It remains to be seen whether Internet users will remain loyal to Mark Zuckerberg’s site. Saturday, a survey by the Greenlight agency (link in English) revealed that 15% of Facebook users say they are willing to pay to end ads.