Facebook is planning a new advertising system called the “Facebook Exchange” that specifically targets ads based on a users website interactions.
The new system is simple, as a user visits a website keywords are extracted from their web history, at which point Facebook matches the user’s web history to the interests they have shown. For example, you visit a website talking about “Disney Vacations” and once you return to Facebook if an advertiser is displaying “Disney Vacation” ads you will see their offer on your Facebook page.
A Facebook spokeswoman in a statement regarding the new system writes:
“By bidding on a specific impression rather than a larger group, advertisers are able to show people more relevant ads while also running more efficient and effective campaigns.”
The “Facebook Exchange” ad system is expected to roll out over the next several weeks. The system is Facebook’s first attempt to bring real-time bidding into the mix, a feature already successfully used by Google Ad Words.
Current Facebook ads target a users demographics, the pages they “Like” and other user-generated responses. The old Facebook system will still exist with the new real-time feature offering an alternative for hyper-focus advertisers.
Users who do not want to receive ads from the Facebook Exchange can opt-out via the social networks “About Ads” page or by blocking cookies on their Web browser.
If all goes as planned most users will not recognize the change to their Facebook account but will instead begin engaging with Facebook ads at a higher rate.