Microsoft Files Patent For New Social Advertising Product

If we are to go by the latest patent filed by Microsoft, the company could be soon rolling out their own social advertising product. The patent by Microsoft’s inventors for user generated advertising model describes the problems faced in traditional social network advertising and how their model improves on that.

According to the patent the biggest problem is the absence of contextual targeting in case of social network advertisements. Since there is no context, users are hardly convinced to click and as a result there is low engagement level in ads.

This is how the concept works:

  1. The product promoter gives information about the product
  2. Information describing the product is received from users through the social networking website.
  3. The advertisement is generated by combining information from product promoter and the users.

The presentation of ads is governed by a rating which is calculated on the basis of user engagement score and the revenue they generate. The cost of the advertisement is based on the number of times it is displayed to the users.

It would be interesting to see, the roll out of this model as we believe that it would certainly create a positive impact on the user engagement level in advertisements. It also appears as a welcome enhancement to Facebook ads where the display of advertisements is possibly controlled by the likes/dislikes made by a user’s friends. The only question is where Microsoft will display these advertisements considering they don’t currently have a large amount of social advertising inventory.

What are your thoughts on Microsoft’s patent? Below are a few images filed by Microsoft with the U.S. Patent & Trade Office.