updated 05:11 pm EDT, Tue July 30, 2013
Would wedge TV-style spots into news feeds
Facebook is planning to start selling 15-second video ads to marketers, sources tell Bloomberg. The clips would be inserted directly into a person's news feed, and at least initially sold on a full-day day basis, with targeting based solely on a person's age and gender. A video would show no more than three times per person, per day, and cost marketers between $1 million and $2.5 million each day.
CEO Mark Zuckerberg has reportedly delayed the start date for video ads twice, wanting to make sure they won't ruin the site's experience, the sources say. The executive is also reportedly insisting on HD video, and easy playback controls.
Facebook's main concern since it became popular has been monetization. While it's used by tens of millions of people, the service has struggled to find a way to turn a profit on ads and marketing without making the website and mobile apps annoying or hard to use. Most current Facebook ads consist of a mix of text, images, and URLs. Videos have been relegated to companies' Facebook pages, which requires that a person choose to follow the company in the first place.