An Argument for Caution as Facebook Readies Mobile Ads

By Mikal E. Belicove|For|February 16, 2012

Ahead of Facebook’s IPO, it’s only natural that the social network is looking around for new ways to monetize its usage — and please its new shareholders. Enter Facebook’s latest revenue generator: Running ads on mobile versions of the site, which currently attract roughly 400 million monthly users.

Earlier this month, Facebook struck a deal with Bango, a United Kingdom-based, mobile-payment service provider that has the technology to enable commerce on mobile devices. And while terms haven’t been disclosed, I’ve heard plenty of speculation that Facebook will unleash mobile advertising beginning as soon as March 1. And supposedly it will be unlike anything we’ve seen before.

Is this a potential boon to small businesses that currently advertise on Facebook or plan to do so? Does this move have the potential to present your business with an additional audience numbering in the hundreds of millions? Hold the wedding. Before you reach deep into your advertising budget, here are a few thoughts I have on the issue:

First off, the notion of mobile advertising strikes me as intrusive, annoying and alienating. For one thing, it’s hard enough to read anything crammed onto a 2-by-3-inch screen, and now you want to crowbar an ad onto that limited real estate? And I’m not even going to go into what that ad might do to the connection speed or lack thereof. When it comes to my mobile device, don’t interrupt my experience — enhance my experience.

In order to do this, Facebook must…

Continue Reading: An Argument for Caution as Facebook Readies Mobile Ads