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Facebook Scrambles To Protect Users Data: What Effect Will This Have On Advertisers?

Anyone with access to the online world is well aware of the most recent news concerning Facebook and Cambridge Analytica’s shenanigans. As a direct result of this “data scandal”, Facebook announced that they will be shutting down access to 3rd party data providers on its advertising platforms. This creates problems for advertisers and the obvious question is: Will advertisers be severely limited in their ability to reach a broad database of consumers on Facebook?

The short answer is “yes”.

Facebook’s updated privacy policy will be clamping down on advertisers. Subsequently, there will no longer be access to real-world data typically provided by Axiam, Visa and Transunion; resulting in a steep rise in the average cost per conversion. For those using Facebook’s advertising tools, this is already evident in the suspension of Facebook’s Analytics Insights.

 

All Is Not Lost For Advertisers

With Facebook assuring us that there will be greater clarity come the 2nd quarter of 2018, they will, as far as we can tell, continue to allow businesses to upload their own custom audiences and customer databases to the platform, but only if advertisers comply with new policies currently being developed.

This provides advertisers with a ray of hope as we will continue to be able to up-sell, cross-sell and re-market to existing customers. We will also have access to new customers that look similar in profile to existing customers. However, the social media enterprise will now be providing less information to help with targeting optimisation, as Audience Insights, Reach Estimations and Facebook Analytics are the first features to be removed and we are expecting many more dramatic changes.

 

Where To Go From Here As An Advertiser

With many aspects still in the dark when it comes to advertising on Facebook, we do know that custom audiences seem to be the answer when it comes to providing solid returns on marketing spend. However, most businesses simply do not have enough detail on their existing users to effectively match back to Facebook’s database with any sort of real accuracy.

In order to provide businesses with data insights and intelligence, Bastion & Flowe, a Cape Town based company, has developed a digital solution that allows companies to build highly responsive target audiences. Not only does the platform help identify your customers on Facebook it can also be used to enrich and update your existing customer base. This powerful data engine helps marketers enrich their existing customer base for a higher percentage match rate. It also helps with the creation of vitally important “exclusion audiences”, which ultimately excludes irrelevant consumers whilst securing improved results.

With Bastion & Flowe’s real-world data and bespoke propensity to purchase models, marketers can continue to achieve great results, notwithstanding Facebook’s new privacy laws.

Facebook’s most recent announcement of reducing sponsored content, now means that you can wave goodbye to copious adverts filling up your newsfeed and say hello to more personal posts. So how does this affect you as an advertiser? Well, its simple really – your followers are probably not seeing your message.

Why The Change?

Let’s go back to the beginning. Facebook’s original aim as a social media platform was to connect people across the globe allowing them to engage and interact with one another online. Fast forward a few updates; you may have noticed in the most recent months that your Facebook feed has turned more into an advertising platform than a place to socialise with your friends and followers. Facebook’s new effort has now been to “de-clutter” newsfeeds, reduce fake news and clickbait and drive more meaningful conversations.

What Does This Mean For Advertisers?

As a result of the overpopulation of advertisements on newsfeeds, most pages are overvaluing their page likes. If you are not engaging with your followers and utilising them as influencers to distribute your content there may be no point in posting to Facebook any more. Think about it this way: 1 million likes are useless on a Facebook page if you’ve only got 100 people interacting and engaging with your content.

Advertisers will most likely soon see more limitations from Facebook further impeding advertisers ability to organically distribute their content.

In an attempt to maintain the previous rate of reach and engagement, advertisers have resorted to spending larger budgets more frequently on boosting their content. However, most advertisers are unaware that Facebook has reduced the amount of advertising available in the Facebook newsfeed.

Because Facebook advertising works on an auction system, (where the highest bidders ads are displayed first) there has been an alarming increase in the cost of advertising in the higher quality inventory. Most advertisers are not aware of this, as their ads are instead displayed on cheaper real-estate on the Facebook family of apps; such as Instagram stories, App networks, in games and the annoying in-stream videos. Often these ads lack context and efficacy.

Is There A Solution For Advertisers?

Bastion & Flowe, a Cape Town based company, has developed a highly effective solution specifically for Facebook content management. Known as the IEMIE™ framework, it caters for any brand that wants to boost advertising budgets with organic content without the fear of overvaluing their page likes and interactions. Case history analysis of companies utilising the IEMIE™ framework shows consistent improvement in organic content distribution through the encouragement of user engagement.

Coupled with IEMIE is Bastion & Flowe’s bespoke Reach Gener8or™ platform which allows brands to offer their followers innovative content that drives engagements, which ultimately turns followers into influencers.