How Facebook plans to make money on Messenger

23 Sep 2015 | Author: | No comments yet »

Facebook VP: ‘I Wish We Could Go Back … And Change The Pitch We Brought to Advertisers’.

Today at TechCrunch Disrupt SF 2015, Facebook ad chief Andrew “Boz” Bosworth sat down with Josh Constine to discuss the state of advertising on the social network.

As the great organic reach debate continues to rage on Facebook for many page owners and advertisers, the common complaint has been that many page owners paid once to acquire fans, then they had to pay again for their posts to reach those fans. Boz started by discussing Instant Articles and emphasizing how the feature was built to improve the user experience of traditionally waiting 6-8 seconds for content to load. When asked if the service would actually increase repeat visitors, he said that the product is still in its early stages, and that this is an area they could potentially improve in the future. Messenger has 700 million monthly active users and is one of the mobile apps that Facebook CEO Mark Zuckerberg has targeted to grow to 1 billion users. When discussing messaging, Boz said that there are some interesting mobile usage trends outside of the U.S., like users in Spain using WhatsApp to make restaurant reservations.

Now that Facebook has more targeted advertising and deeper ways to track effectiveness, they can entice page owners to invest in engagement, Bosworth noted: The real issue is, years ago, we didn’t have that technology. Regarding Facebook specifically, Boz said messaging via Pages has doubled year-over-year-over-year, and some companies have told Facebook that it is now the primary place for them to receive customer service requests. Constine concluded by asking Boz about how Facebook used to encourage businesses to buy “likes,” which has now been replaced by the company trying to directly push newsfeed advertisements.

Boz said the landscape and technology to monitor engagement has changed over the last five years, and the company believes that businesses still benefited from those additional likes.

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