Tuesday, April 28, 2015

Facebook Announces Desktop Video Ads


Facebook announced today its new desktop video ads to attract more users to Facebook’s games. 

This will allow developers to increase driving installs and engagement by encouraging people to install and play Facebook desktop games. Recently, Facebook announced that over 130,000 new Facebook-connected games debuted in 2014.

The game ad in the Facebook videos highlight the world’s largest social media network’s dedication to its game platform which reaches over four hundred million mobile and desktop players. Facebook recently said that over four billion native videos are viewed daily by its users.

Facebook is looking for consistency across between its mobile and desktop versions. Last year, Facebook launched mobile-app install ads for its Power Editor advertising tool, which play automatically in feeds like the new desktop launch. This feature increases user investment by allowing easier access.

Currently the video for desktop ads is limited, but will become broadly available in a short period of time.
While Facebook’s first quarter revenue were slightly subpar to Wall Street expectations, user engagement and mobile advertising saw a boost.

Mobile usage drove Facebook’s business in the first quarter with about 87% of monthly active users visiting from mobile devices. This is an increase from last year’s 24%. That means that 1.25 billion monthly active users used Facebook through their phones.

Mobile advertising also saw an increase from making up 59% of total advertising revenue at the end of 2014 to 73% in the first quarter. Daily active users is also increasing from 63% last year to 65% in the first three months of this year of Facebook’s total active monthly users.

With more people accessing Facebook on a more frequent basis and more often on their phones, Facebook’s ad strategies are balancing both spectrums.

In a liveblog about an earnings call on April 22, Chief Operating Officer of Facebook Sheryl Sandberg said that the format of ads should be formatted towards how people use for Facebook. She pointed out that video ads only happened after people started to use video and that video ad revenue is still small. Sandberg noted that Live Rail helped to anonymized Facebook data so as to make ads even more relevant to users. 

She noted that there was room for improvement, though, in attracting users. Sandberg noted that conversion tracking has increased and that Facebook measures scientifically the success of its ads.

David Wehner, CFO of Facebook, noted that mobile remains the driver of growth. Wehner said that the ad-revenue increase was coming primarily from mobile news feeds. He noted relevance and high quality as the top two elements that deliver the best results for attracting users.

Mobile ad revenue increased in the first quarter from 1.3 billion last year to 2.4 billion, but that revenue from desktop and game ads are falling. The average price per ad increased significantly because of an ad redesign on the mobile platform


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