FB Ups the Advertising Ante with its New Facebook Offer

Launched early this year on beta as a free service to replace the failed Facebook Deals, the new Facebook Offers will start charging merchants at least $5 to run an offer on their pages. What is more, merchants who wish to have their offers posted in users’ news feeds where they are deemed more effective will have to buy Facebook advertising like Page Post Ads or sponsored stories.

Last year, Facebook briefly toyed with the daily deal business by coming out with its Facebook Deals that was similar to what Groupon and Living Socialhave. But it immediately abandoned the project after realizing that Deals was group targeted and thus was not gaining the mileage they expected. It opted to replace Deals with an expanded Facebook Offers which is a coupon type of a promotions and which is focused more on targeting individual users. It initially tested the new Facebook Offers at the start of the year working with a few select business pages. Today, after touting a successful test run on said pages, it is opening Facebook Offers to all and sundry with a business page but this time around, it comes with a price tag.


Hard pressed to demonstrate its ability to generate revenue after going public last May as well as to justify its more than $50 billion market valuation, Facebook is now slowly but surely showing its detractors that it can grow its business with the launch of Offers as a paid service.

Contrary to what its critics believe, the new Facebook Offers is not a spur of the moment marketing ploy but rather a well thought of and a well laid out strategy that can be used by companies to launch successful campaigns. As early as May at about the same it went public, Facebook bought Tag Tile, a mobile phone application designed to track rewards, loyalty awards, and coupons at the point of sale. This is an indication that is really bent on helping companies build better business relationships with their targeted clients. As proof of its success, Facebook cites the case of Aria Resort and Casino in Las Vegas one of the companies that tested the expanded Offers for free during the test run. The resort made offers that were advertised on Facebook’s Premium page and sponsored stories resulting in an unprecedented 671 reservations for 1,585 nights. The Aria Resort case study underscores the important role that Offers can play to ensure the success of any online marketing campaign. It also serves as a reminder to internet marketers that they cannot simply shrug off Facebook and its more than 950.

The real marketing value of Facebook Offers lies in its ability to dropped targeted offers right into the news feeds of Facebook users. Linking offers based on status updates, location check-ins, uploaded photos, and other Facebook features makes the Offer totally unique from the other daily deals outfits like Groupon, Living Social, and even Amazon.

The most interesting part is every time a user avails of an offer it gets posted automatically on the user’s wall as a status update for all his friends to see. This has a potential to build organic sales leads and even go viral depending on the scope and the degree of influence the user who took the offer has over his Facebook friends.

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Paul Agabin is the Founder and CEO of Wooka Interactive. He is an internet marketer based in the Philippines which deals with varied topics such as local industry news, seo strategies, content marketing, inbound marketing, social media management, website reviews, and the like. You can contact him at 0917-5069839.

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