Social Networking Sites + Social Ads = Revenue!?

August 25th, 2008

Word on the street is Facebook is working on a variety of social ads that may become the secret sauce for monetizing ads in social networks.

The 3 key ingredients allow users to:

Post comments about ads
Send out virtual gifts designed by brands that function as ads
Become a fan of brands and spread the word to their network. Users will also be able to see their friends’ comments and find other fans.

#2 and #3 I get, but #1 I’m not too sure about. It’s a great way for marketers to get feedback on their ads, and make it viral, but it will be interesting to see if it actually moves product. I’d like to see an ad that allows users to review the product, after all it’s proven that reviews good or bad increase conversions.