Facebook Launches New Advertising Platform

This morning Facebook (FB) announced that next week they will unveil a new advertising platform which is designed to improve targeting and measuring advertisements. In 2013 they made a purchase from Microsoft and they are using this purchase to implement their new platform.

The product they purchased is called “Atlas Advertiser Suite” and has been renamed as Atlas by Facebook for their uses. Facebook claims that not only will these new product improve the targeting and measuring of advertisements but will also better measure the demand of a platform to best determine an automatic bid. This will also allow marketers to better bid according to their needs.

How does this new system help Facebook though? With this new platform Facebook will be able to better compete with Google (or at least that’s what Facebook is hoping). Facebook already has better targeting abilities than Google in some ways and with this marketers will be able to target users better than ever before. “Google reported second-quarter ad revenue of $14.36 billion. Facebook said it generated $2.68 billion in the same period.”

The real question is how does this help marketers or more specifically e-marketers? Marketers will now supposedly be able to not only better target their end users but also measure the performance of their advertisements. “In addition to the demographic information it holds about its members, Facebook also collects valuable data about the sites users visit and the types of content they click on and post across its service.” But on the negative side Facebook may begin charging more for their CPC and CPM thanks to their new “automated ad-buying tool” also known as a “demand side platform.”

Whether all the claims being made by Facebook will be true will be revealed next week when they officially unveil the product but it will truly be tested once it has been rolled out to Marketers and they are able to actually test it out.

Stay tuned for part 2 when it is released.

Source: WSJ

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