Finally, Facebook plans to do what Google has been doing for a while now in making their ads more effective for the marketers. The social network major is launching its advertising exchange that works on real-time bidding. Real-time bidding (RTB) has been growing in popularity over the last few quarters as the solution gives advertisers an ability to target ads more accurately and get better returns on their online marketing spend.
According to Annie Ta, the company spokesperson, Facebook Exchange, as the service is called, will let advertisers reach specific types of users on the site based on their browsing history. Currently advertisers target users in Facebook with relevant advertising based on their list of interests and their ‘likes’.
Ta further said that Facebook will continue to offer this advertising platform to advertisers along with Facebook Exchange, but the list of interests will not be part of the RTB services from the company. Prices will be based on the cost per thousand viewers and spots will be sold via third-party technology partners. The advertising tool is expected to be available to clients in the next few weeks.
Facebook will be working with DSPs to offer this service. The DSPs gather pools of target audiences that the brands and marketers can reach instantly through the RTB system. Ta informed that Facebook has started placing cookies on the Internet browsers of its members, which will be used by its partners to identify members of the social network. The new bidding process is designed to help advertisers deliver more time-sensitive messages.
For the time being Facebook will work with DSPs like TellApart Inc., Turn Inc., Triggit, DataXu Inc., MediaMath Inc., AppNexus Inc., The Trade Desk Inc. and AdRoll.com to sell Facebook Exchange.