General Motors Un-Friending of Facebook Ads Spells Trouble for Users - diazfaciabove

Brace yourselves Facebook fans for Sir Thomas More salaried status updates, sponsored stories, App Center field, and mobile ads, As the social network tries to prove its worth after acquiring a calamitous eye from General Motors, one of the largest advertisers in the U.S.

If you haven't detected the news, G will stop ad connected Facebook after discovering that people don't shop for cars between status updates, pokes, likes, and virtual crop harvests. Given that Facebook's initial public offering is settled to take place Friday, the timing for this word couldn't get much worse.

Facebook Users Should Brace for Fallout After GM Ad Decision

GM bequeath still have a presence on the social network through its Facebook pages, but that activity doesn't contribute to Facebook's bottom line, according to The Wall Street Diary. "We remain committed to an pugnacious Facebook content scheme through all of our products and brands moving forward," GM said along its Facebook page.

Only Facebook ads? Zero más. At least for now.

Facebook's direct financial hit from GM's ad time out-aweigh doesn't appear to be that big. The car company contributed about $10 million to Facebook's $3.7 billion in revenue for 2011, according to the Journal. Just GM is more than just a blank check for advertising dollars; IT's the company responsible for the Corvette, Camaro, Pontiac GTO, and Trans Am. IT's an picture company that makes iconic products and some critics are questioning whether GM's decision might cheer other companies to reevaluate their Facebook ad disbursement.

Facebook is closing in happening unity billion active users (about 14 percent of the world's population), just it seems no more i's really sure if those completely those eyeballs convert into value for advertisers. Common sense says they should. Budweiser tries to betray you beer during Monday Night Football, so why not try to sell you beer piece you talk about Monday Night Football happening Facebook?

And yet, as NPR late reportable, few studies have looked at whether Facebook ads work, so nobody knows how effective social advertising really is. That's a job, since the majority of Facebook's revenue comes from advertising.

With so more than at gage for the friendly network, it's a good wager the company will look to assure investors that Facebook is the advertising giant many businesses desire it volition be. For Facebook users that means we fire expect more advertisement experiments coming our way through the desktop and rangy versions of Facebook, and maybe flat happening one-third-party sites.

Army of the Pure's just go for the advertising madness doesn't get too far out of control.

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