Boston, MA 10/01/2013 (wallstreetpr) – Online businesses are now finding that newsfeed ads are reining the online advertising space and every passing day makes the proposition a more popular and lucrative one for advertisers and websites alike. And modifying them or the policies surrounding them is not an easy job for companies. Facebook Inc (NASDAQ:FB) has taken a stand in this matter and said that in deciding which ad will be displayed to which groups of users, the emphasis is on the feedback that they have been receiving from those who actually see these ads. This also includes the frequency at which users hide or report a particular ad.
Online advertising frequency
The company is treading lightly and has been in efforts to make prominent ads, said that if they find that a particular user consistently hides electronics-related ads, the company will reduce the number of those kinds of ads that are shown to them. In July, Facebook said that ideally, one paid ad will be added between slots of every 20 stories that users view on their newsfeed. Almost 85% of the revenue that is being generated by the company comes from advertising. This show how important advertising is and doing it the right way, is important for the company.
Big ads shine
Some analysts are of the opinion that some Facebook users may not fancy these flashy ads and do not welcome them. But the matter of fact is that the company generates a great deal of revenue from this activity. It has been taking some big ads from companies like Toyota and AT&T but there are smaller companies who advertise on the social networking website. A Forrester Research analyst, Nate Elliott said that the company needs to ensure that the high quality ads are given dominant space in comparison to the small fry.
