Online advertising on social networks

• “Brand advertising – emphasizes the company’s brand; it is run on a social networking site; utilizes special features such as fan pages that are unique to Facebook; the advertising company pays the social networking site for premium ad placement that drives users to the fan page where they can interact with the brand

• Performance-based advertising – the advertising company pays only for measurable results, i.e., when someone clicks on a company’s ad and goes on to purchase something; the advertising company places precisely targeted ads on Facebook

• Impression-based advertising - the advertising company purchases a set amount of impression (impression is a single instance of an ad appearing on a Web site; it is typically cheaper than click-through advertising.”

Direct quote from Source: R. Kelly Rainer, Jr. & Hugh Watson, (2012). Management Information Systems, John Wiley & Son, MA; p. 327