Home Facebook Solidifies Advertising Position Without Offending Members

Facebook Solidifies Advertising Position Without Offending Members

Facebook’s addition of the Want button is a most likely, wise move to bolster its advertising efforts. And its new Collections button helps it confront the Pinterest threat head on. But are either good for members?

The buttons debuted earlier this month and closely foilowed Facebook’s decision to make it easier to send gifts within the social network. It appears Facebook wants to mediate online purchases, taking a cut of the action.

Facebook is evaluating all upgrades, looking to see if each is a pure monetization play. PUre revenue moves help Facebook members least, usually. But in the case of the three new buttons, they may benefit. The buttons are advertising strategies, but they may decrease the ads appearing on newsfeeds.

Diane Buzzeo, CEO and founder of e-commerce software maker Ability Commerce, said that if they are implemented carefully, Gifts and Collections may help Facebook ads be less intrusive.

“Facebook’s new approach of seamlessly integrating its new features, Gifts and Collections, into the social-networking experience may lead to a more successful outcome, while decreasing the platform’s reliance on advertisements in the process,” Buzzeo said. “Facebook (is) resetting the standards for how retailers sell online.” The new strategy bears watching, she said.

Still An Advertising Company

I first approached this post as a look at whether Facebook is considering a fight with Amazon by moving retail advertising. But the answer from the five social-media and digital-advertising experts I talked to was a resounding “no.”

If anything, Gifts, Collections and Want solidify Facebook as an advertising platform.

“The Collections model looks much more like a social-media advertising model than a pure commerce play,” said Scott Forshay, a strategist specializing in mobile and emerging technologies for tech consulting firm Acquity Group.

Forshay said, “It seems a much less intrusive and awkward mechanism for spreading brand communications since the community effectively spreads the message, as opposed to the current strategy of injecting advertising into users’ newsfeeds.”

In other words, you are always going to see ads in Facebook. Now, however, the ads may be disguised as shared content or, at the very least, should be more relevant. It’s up to individuals about whether repackaged ads is a good thing, but my instinct says most understand that Facebook needs to make money to survive. More-relevant ads may seem like the lesser of all evils for the ad-conscious.

About ReadWrite’s Editorial Process

The ReadWrite Editorial policy involves closely monitoring the tech industry for major developments, new product launches, AI breakthroughs, video game releases and other newsworthy events. Editors assign relevant stories to staff writers or freelance contributors with expertise in each particular topic area. Before publication, articles go through a rigorous round of editing for accuracy, clarity, and to ensure adherence to ReadWrite's style guidelines.

Get the biggest tech headlines of the day delivered to your inbox

    By signing up, you agree to our Terms and Privacy Policy. Unsubscribe anytime.

    Tech News

    Explore the latest in tech with our Tech News. We cut through the noise for concise, relevant updates, keeping you informed about the rapidly evolving tech landscape with curated content that separates signal from noise.

    In-Depth Tech Stories

    Explore tech impact in In-Depth Stories. Narrative data journalism offers comprehensive analyses, revealing stories behind data. Understand industry trends for a deeper perspective on tech's intricate relationships with society.

    Expert Reviews

    Empower decisions with Expert Reviews, merging industry expertise and insightful analysis. Delve into tech intricacies, get the best deals, and stay ahead with our trustworthy guide to navigating the ever-changing tech market.