Welcome!

AJAX & REA Authors: Harald Zeitlhofer, Lori MacVittie, RealWire News Distribution, Noel Wurst, Trevor Parsons

News Feed Item

Richard Gorman Predicts the Future of Facebook Advertising in 2013

As Facebook Looks to the Future With Uncertainty, Direct Response Marketer Richard Gorman Shares Thoughts on How the Social Network Might Better Incorporate Advertisements

NEW YORK, NY -- (Marketwire) -- 01/10/13 -- Advertising is something that everyone is familiar with, according to Richard Gorman; whether an individual works in marketing or is simply a consumer, ads are everywhere, and they are critically important to the way business works. Ads are especially important for businesses that make their products and services free; without ad revenues, there is simply no way for these businesses to stay afloat. Facebook is a company that falls into this category. Signing up for a Facebook account has always been free, but, according to a recent article from Tech Crunch, the social networking giant is facing an uncertain future, as it considers ways in which it might better integrate ads into its service. The article has won the attention of online marketing pioneer Gorman, who has weighed in on the issue of Facebook ads with a new statement to the press.

"The Facebook business model puts the company in a difficult place," opines Gorman, in his new press statement. "The reality is that Facebook has existed for so long as a free service that the company now faces difficulties in figuring out how to monetize its services, and keep shareholders happy. Advertising revenue is the answer, but for a service that thrives on a seamless user experience, effectively integrating ads is tough."

As Tech Crunch notes, Facebook has found itself caught between a rock and a hard place. The social network thrives on people, who contribute content that is, in turn, public, private, or personal. Facebook can seek to monetize some of this content, but not necessarily all of it. At the same time, the company has shareholders to think about, and its services remain free, even as other, alternatives to Facebook grow increasingly common. "Facebook does not necessarily need to worry about users jumping ship for other social networks, because there is nothing truly comparable with Facebook at this point in time," offers Gorman. "With that said, they do need to ensure that their service loses none of its luster or its attractiveness to users, or else Facebook really could see its daily active user statistics begin to slip."

The Tech Crunch article says that Facebook's efforts to introduce ads are practically destined for failure, because they will almost certainly fall into one of two categories -- either these ads will rub users the wrong way, or they will be so unobtrusive as to be altogether ignored. "This is the conundrum that Facebook must deal with if it wishes to really get serious about ads," says Gorman. "Introducing ads may prove necessary to keep the shareholders happy, but it is equally necessary to keep the Facebook service appealing to users -- something that the introduction of ads could ultimately ruin."

Current models of Facebook advertising, Gorman says, leave something to be desired. "What many of us are seeing is the incorporation of 'sponsored' or 'suggested' posts into our Facebook news feeds," Gorman says. "The problem is that these ads are not necessarily related to our interests or our industries, and because Facebook is a place where we go to get content that is customized to our personalities and our desires, these irrelevant ads, embedded between posts from friends and family members, only serve to disrupt and distract."

The direct response marketing pioneer says that the answer may lie in Facebook taking a few pages out of the content marketing playbook. "For Facebook ads to be both effective for the advertisers and non-irritating to users, they are going to have to be more carefully targeted to the interests of users," he explains. "Additionally, they are going to need to take the form of enriching, engaging content -- as in, compelling articles, how-tos, or entertaining videos. Straightforward product promos are going to have a very limited effect in a Facebook newsfeed."

The only alternative to content marketing, Gorman concludes, is the introduction of a "premium" Facebook membership, wherein users can pay to have ads removed. "This model works alright for service like Spotify, but it is doubtful that it would work for Facebook," Gorman says. "It is the kind of move that could damage Facebook's brand, which has for so long been built on the notion that the service is totally free for everyone."

Richard Gorman tweets regularly about topics related to online marketing, @RichGorman101.

ABOUT:

Richard Gorman is a marketing innovator, a serial entrepreneur, and a major name in the direct response marketing field. His brand, Direct Response, is one of the leading named in affiliate marketing; through Direct Response, Gorman gives away millions of dollars in trade secrets and insider expertise, all as a part of his passion for delivering value to other companies and industry professionals.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Cloud Expo Breaking News
Until recently, many organizations required specialized departments to perform mapping and geospatial analysis, and they used Esri on-premise solutions for that work. In his session at 15th Cloud Expo, Dave Peters, author of the Esri Press book Building a GIS, System Architecture Design Strategies for Managers, will discuss how Esri has successfully included the cloud as a fully integrated SaaS expansion of the ArcGIS mapping platform. Organizations that have incorporated Esri cloud-based applications and content within their business models are reaping huge benefits by directly leveraging cloud-based mapping and analysis capabilities within their existing enterprise investments. The ArcGIS mapping platform includes cloud-based content management and information resources to more widely, efficiently, and affordably deliver real-time actionable information and analysis capabilities to your organization.
In his session at 15th Cloud Expo, Mark Hinkle, Senior Director, Open Source Solutions at Citrix Systems Inc., will provide overview of the open source software that can be used to deploy and manage a cloud computing environment. He will include information on storage, networking(e.g., OpenDaylight) and compute virtualization (Xen, KVM, LXC) and the orchestration(Apache CloudStack, OpenStack) of the three to build their own cloud services. Speaker Bio: Mark Hinkle is the Senior Director, Open Source Solutions, at Citrix Systems Inc. He joined Citrix as a result of their July 2011 acquisition of Cloud.com where he was their Vice President of Community. He is currently responsible for Citrix open source efforts around the open source cloud computing platform, Apache CloudStack and the Xen Hypervisor. Previously he was the VP of Community at Zenoss Inc., a producer of the open source application, server, and network management software, where he grew the Zenoss Core project to over 10...
Almost everyone sees the potential of Internet of Things but how can businesses truly unlock that potential. The key will be in the ability to discover business insight in the midst of an ocean of Big Data generated from billions of embedded devices via Systems of Discover. Businesses will also need to ensure that they can sustain that insight by leveraging the cloud for global reach, scale and elasticity. In his session at Internet of @ThingsExpo, Mac Devine, Distinguished Engineer at IBM, will discuss bringing these three elements together via Systems of Discover.
As more applications and services move "to the cloud" (public or on-premise) cloud environments are increasingly adopting and building out traditional enterprise features. This in turn is enabling and encouraging cloud adoption from enterprise users. In many ways the definition is blurring as features like continuous operation, geo-distribution or on-demand capacity become the norm. NuoDB is involved in both building enterprise software and using enterprise cloud capabilities. In his session at 15th Cloud Expo, Seth Proctor, CTO at NuoDB, Inc., will discuss the experiences from building, deploying and using enterprise services and suggest some ways to approach moving enterprise applications into a cloud model.
Cloud and Big Data present unique dilemmas: embracing the benefits of these new technologies while maintaining the security of your organization’s assets. When an outside party owns, controls and manages your infrastructure and computational resources, how can you be assured that sensitive data remains private and secure? How do you best protect data in mixed use cloud and big data infrastructure sets? Can you still satisfy the full range of reporting, compliance and regulatory requirements? In his session at 15th Cloud Expo, Derek Tumulak, Vice President of Product Management at Vormetric, will discuss how to address data security in cloud and Big Data environments so that your organization isn’t next week’s data breach headline.
The cloud is everywhere and growing, and with it SaaS has become an accepted means for software delivery. SaaS is more than just a technology, it is a thriving business model estimated to be worth around $53 billion dollars by 2015, according to IDC. The question is – how do you build and scale a profitable SaaS business model? In his session at 15th Cloud Expo, Jason Cumberland, Vice President, SaaS Solutions at Dimension Data, will give the audience an understanding of common mistakes businesses make when transitioning to SaaS; how to avoid them; and how to build a profitable and scalable SaaS business.
SYS-CON Events announced today that Gridstore™, the leader in software-defined storage (SDS) purpose-built for Windows Servers and Hyper-V, will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Gridstore™ is the leader in software-defined storage purpose built for virtualization that is designed to accelerate applications in virtualized environments. Using its patented Server-Side Virtual Controller™ Technology (SVCT) to eliminate the I/O blender effect and accelerate applications Gridstore delivers vmOptimized™ Storage that self-optimizes to each application or VM across both virtual and physical environments. Leveraging a grid architecture, Gridstore delivers the first end-to-end storage QoS to ensure the most important App or VM performance is never compromised. The storage grid, that uses Gridstore’s performance optimized nodes or capacity optimized nodes, starts with as few a...
SYS-CON Events announced today that Solgenia, the global market leader in Cloud Collaboration and Cloud Infrastructure software solutions, will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Solgenia is the global market leader in Cloud Collaboration and Cloud Infrastructure software solutions. Designed to “Bridge the Gap” between personal and professional social, mobile and cloud user experiences, our solutions help large and medium-sized organizations dramatically improve productivity, reduce collaboration costs, and increase the overall enterprise value by bringing collaboration and infrastructure solutions to the cloud.
Cloud computing started a technology revolution; now DevOps is driving that revolution forward. By enabling new approaches to service delivery, cloud and DevOps together are delivering even greater speed, agility, and efficiency. No wonder leading innovators are adopting DevOps and cloud together! In his session at DevOps Summit, Andi Mann, Vice President of Strategic Solutions at CA Technologies, will explore the synergies in these two approaches, with practical tips, techniques, research data, war stories, case studies, and recommendations.
Enterprises require the performance, agility and on-demand access of the public cloud, and the management, security and compatibility of the private cloud. The solution? In his session at 15th Cloud Expo, Simone Brunozzi, VP and Chief Technologist(global role) for VMware, will explore how to unlock the power of the hybrid cloud and the steps to get there. He'll discuss the challenges that conventional approaches to both public and private cloud computing, and outline the tough decisions that must be made to accelerate the journey to the hybrid cloud. As part of the transition, an Infrastructure-as-a-Service model will enable enterprise IT to build services beyond their data center while owning what gets moved, when to move it, and for how long. IT can then move forward on what matters most to the organization that it supports – availability, agility and efficiency.
Every healthy ecosystem is diverse. This is especially true in cloud ecosystems, where portability and interoperability are more important than old enterprise models of proprietary ownership. In his session at 15th Cloud Expo, Mark Baker, Server Product Manager at Canonical/Ubuntu, will discuss how single vendors used to take the lead in creating and delivering technology, but in a cloud economy, where users want tools of their preference, when and where they need them, it makes no sense.
The 15th International Cloud Expo has just expanded its conference program, to bring together Cloud Computing, APM, APIs, Security, Big Data, Internet of Things, DevOps and WebRTC at one location. Cloud Expo is the single show where delegates and technology vendors can meet to experience and discuss the entire world of the cloud. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to learn about the latest technology developments and solutions.
SYS-CON Events announced today that Bsquare Corporation, a leading enabler of smart connected systems, has been named “Bronze Sponsor” of SYS-CON's Internet of @ThingsExpo, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Bsquare is a global leader of embedded software solutions. We enable smart connected systems at the device level and beyond that millions use every day and provide actionable data solutions for the growing Internet of Things (IoT) market. We empower our world-class customers with our products, services and solutions to achieve innovation and success.
SYS-CON Events announced today that NuoDB, Inc., the leader in webscale distributed database technology, has been named “Bronze Sponsor” of SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. NuoDB was launched in 2010 by industry-renowned database architect Jim Starkey and accomplished software CEO Barry Morris to deliver a webscale distributed database management system that is specifically designed for the cloud and the modern datacenter.
SYS-CON Events announced today that Cloudian, Inc., the leading provider of hybrid cloud storage solutions, has been named “Bronze Sponsor” of SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Cloudian is a Foster City, Calif.-based software company specializing in cloud storage. Cloudian HyperStore® is an S3-compatible cloud object storage platform that enables service providers and enterprises to build reliable, affordable and scalable hybrid cloud storage solutions. Cloudian actively partners with leading cloud computing environments including Amazon Web Services, Citrix Cloud Platform, Apache CloudStack, OpenStack and the vast ecosystem of S3 compatible tools and applications. Cloudian's customers include Vodafone, Nextel, NTT, Nifty, and LunaCloud. The company has additional offices in China and Japan.