<< by Nelson Hudspeth on December 11th, 2012
In June of this year, Facebook finally revealed their new advertising format, Facebook Exchange (FBX), which is now out of the Beta stage. Facebook Exchange is a real-time bidding system where visitors to non-Facebook websites are marked with a cookie, and can subsequently be shown real-time ads related to their web browsing history when they get back onto Facebook. These ads are located on the right sidebar of the Facebook website, mixed in with Facebook’s other advertising offerings.
Remarketing is not a new concept for advertisers; Google has been doing it through their display network for years. So what makes the FBX any different? First, this is the first time Facebook’s “walled garden” of inventory and audience has been made available for remarketing and measurement. According to Facebook, 955 mil+ people globally spend over 6 hours per month on Facebook’s site. The sheer scale of that is hard to comprehend! These users are loyal, spend a lot of time there, and come back often. Also, according to ComScore, Facebook serves up over 25% of all U.S. display ad impressions, and unlike other exchanges, FBX generally offers a more consistent and stable audience for targeting purposes.