Facebook is planning to bring real-time bidding for advertising to its site, just like buying Google ads. The Facebook Exchange service will allow advertisers to target specific users based on their browsing history, said Facebook spokeswoman Annie Ta. Prices will be based on the cost per thousand viewers and spots will be sold via third-party technology partners; the service will debut in a few weeks.
“Facebook’s been having challenges coming up with effective advertising,” said Debra Aho Williamson, an analyst at New York-based EMarketer Inc. The company “is hoping to use that inventory on the right side of the page to deliver advertising that is more targeted,” she said. With Facebook Exchange, marketers will be able to target people who have viewed certain kinds of websites in the past, based on their cookies.
Real-time bidding will account for about $5.08 billion, or 27 percent, of the projected $18.9 billion to be spent on U.S. online display ads in 2015, according to researcher IDC. Last year, real-time bids generated $1.07 billion, or 9.8 percent, of display ad sales.
Source: Bloomberg
