Facebook has confirmed it is carrying out tests on the different types of adverts which could appear on a user’s news feed. The company had been rumoured to be launching a low-cost classified ad programme, in which users could advertise goods for sale, but Facebook has denied any such plan.
Instead, the social media site appears to be looking into changes it can make to the placement of promotional information by commercial companies. At present, users can see announcements made by companies their friends have liked. Under the new proposal, Facebook may be able to show users ads from companies that they may be interested in, based on their other activity on the site.
For many companies, news content is an important aspect of promotion. Many businesses run news blogs on their own websites, offering readers the chance to subscribe. The combination of news content and social media is highly popular, with sites like Facebook offering companies the chance to reach out to a wide network of people.
If Facebook decides to start showing ads to people who may be interested in a company, this could greatly increase the reach of an advertising campaign. For companies with a social media presence, the production of news content is becoming increasingly important, as content needs to be interesting in order to engage users. Many businesses shy away from using straightforward advertising on Facebook and similar sites, trying instead to create content and stories that will stand out to readers.