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Facebook rolling out video ads. Could it make you a nuisance?

It is estimated that Facebook could pull in an estimated $330 million more in revenue from video advertisements.

Major changes are on the horizon for the world's largest social-networking site, the one run by Facebook Inc. But could Facebook potentially be taking things too far?

There's growing evidence that Facebook plans to start offering video advertisements in an attempt to capture ad revenue normally allocated for television spending. The social networking site plans to start offering 15-second spots for a whopping $2.5 million a day, according to reports.

The speculation has caused the target price on Facebook (Nasdaq: FB) stock to rise for the first time above its May 2012 initial public offering price of $38, to $46 per share. The video ads could pull in an estimated $330 million more in revenue for Facebook, according to The Wall Street Journal.

The new service would allow online advertisers to buy their way directly into your personal feed, according to Bloomberg. That means you will not only have to deal with the static advertisements currently invading your news feed, but now video ads. On one hand, video ads could supercharge Facebook's revenue, and allow for better audience data. On the other hand, the video ads could be seen as a nuisance for users.

Facebook users are notorious for not always accepting change well. As the company evolves, Facebook has had plenty of experience with that. Remember the security update backlash? Facebook told its users that they could keep their personal information private, but Facebook actually made that information public. The Federal Trade Commission opened an investigation and concluded that Facebook deceived its consumers.

Back in 2012, Facebook introduced static ads to news feeds. Advertisers can now buy feed spots and run text and picture ads. Have you looked at your news feed lately? It's inundated with ads. As I write this, my news feed is full of ads related to dating, weight loss, shark adventures and more.

Do you think Facebook is taking things too far?

Oversees social engagement for the entire news organization.

Source: http://feeds.bizjournals.com/~r/bizj_washington/~3/jcLDUiyq6yQ/facebook-ruining-facebook.html

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