Major Facebook Ad Changes Released

Yesterday I suggested that the Social Ads have apparently disappeared. It appears that they just weren’t displaying immediately. Facebook reached out to me with details on how the new advertisements will be displayed. All advertisements have moved from the left hand side of the site to the right hand side of the site. From a user interface perspective, I would imagine right hand side placement will result in a lower click-thru rate. Just a hunch though!

New Homepage Advertisements

One interesting change is that it appears that advertisements displayed on the homepage will no longer be directly from Social Ads flyer campaigns. In stead the advertisements on the right hand side of the page will be “Facebook Ads sold through the direct sales team.” This is a significant change. Currently the only advertisements showing in this location are ads for Facebook features. I’m guessing that we will see this change over the coming weeks.

Facebook Homepage Advertisement Screenshot

Newsfeed SocialAds Become Exclusive

Facebook will no longer have newsfeed advertisements automatically display via user-created Social Ads campaigns. Instead, all newsfeed advertisements will be available exclusively to advertisers through the direct sales team. This means that Facebook now controls the price of newsfeed advertisements, not their Social Ads system. Additionally, it means one less advertisement location for those that integrate Social Ads campaigns with branded pages.

Facebook Advertises on Applications

Previously Facebook was displaying Social Ads flyers on the left hand side of applications but there wasn’t a significant advertising presence. With the new redesign, Facebook has made a much more significant statement by placing advertisements practically front and center. In addition to flyers, Facebook will now be able to advertise 300 x 250 advertisements as well as 300 x 600 ads, which also happen to be the best performing ad unit on the web.

This new form of advertising is a direct shot at internal Facebook ad networks which currently cannot place large advertisements on applications due to canvas page size restrictions. Facebook’s new sales pitch? “Why go with those other Facebook application ad networks when we can give you 300 x 250 and 300 x 600 advertisements?”

Facebook Application Advertising Screenshot

Three Types of Advertisements on Right-Hand Side

There will now be three types of advertisements that Facebook displays on the right-hand side. One style will be to display two Facebook Social Ads running together. The second method is the display of one Facebook Ad and one industry-standard banner ad. Finally, in some instances Facebook will just run banner ads on the right-hand side and no Facebook Social Ads flyers.

Banner and Social Ad Screenshot

Conclusion

Facebook’s new redesign has a new found emphasis on applications and profiles: advertisements. Facebook needs a way to boost their revenue and this redesign will surely help significantly. The most significant change is on applications where Facebook will now compete head-to-head with existing social advertising networks. As of now, there are no signs that Facebook plans on sharing application ad revenue with developers. Facebook has clearly been working to optimize make the site design cleaner while increasing their space for advertisements.

Update
I have spoken with Facebook and there will be no changes in the size of ads placed on the site for now. It will be the same banners that were previously served by Microsoft. Speculation about the new banner sizes are completely inaccurate according to Facebook.