Facebook to Book a Loss of Face?

Social network Facebook is to sell user information on its 150 million members to marketers in a bid to further monetise the site. I think this will be a critical test case in what level of online data privacy invasion by marketers people are willing to put up with.

It’s been well documented that social networks, including Facebook, have struggled to match their huge followings with substantial financial returns, despite being apparent goldmines for advertisers.

Facebook, which celebrates its fifth anniversary this week, has never been more popular, despite rumours it has peaked. But as it seeks to increase its income and attractiveness to would-be advertisers I think this move may prove a strategy too far and could lead to an exodus of users or at least a mass deletion of profile material which could compromise the site’s ability to ‘resell intelligence’ on users to advertisers who could then target consumers with polls, for example.

The move it planned for later this year and only then will we know for sure but the site has got to get the balance right or risk a widespread loss of trust which could sink it for good.

No comments:

Post a Comment