Ever since Facebook went public, it has been under a lot of pressure to continue exploring newer revenue streams. The company has been having a difficult time in translating its mobile presence into actual profits. But numerous examples now cite that its mobile ads are proving quite effective in attracting users.

Facebook’s mobile ads are essentially placed within the user’s news feeds. When Facebook first began placing ads in this way, many had cited that barely any user would want to click on these ads and that Facebook’s mobile revenue may prove paltry in the long-run.

However, these claims have proved quite wrong. According to those marketing different apps through mobile ads, the click-through rate of these ads is quite well and is leading to thousands of app installs. One such example is that of AdParlor.

AdParlor runs Facebook advertising campaigns for a number of major brands such as Coca Cola, Groupon etc. According to the company, it recently ran a four-week campaign for a gaming company. In doing so, it placed the app install ads for the game on the mobile news feeds of the users. This led to a 0.5% click-through rate and with the help of 10 million mobile impressions, the advertiser was able to amass thousands of iOS installs within four weeks.

This certainly shows that Facebook’s mobile ads space holds a lot of potential, not only for the marketers but also for app developers. Some developers have cited that they have been able to mint thousands of iOS app installs with the average cost per user being $1.73 or even less. Such affordable marketing may soon win more than a few developers for the social network.

As more and more users start using Facebook’s mobile apps, the social network have an even greater audience to dish out its mobile ads too. This would mean that in the coming days, Facebook’s revenue from its mobile ads can become a chief source of income for the company.

Courtesy: TechCrunch

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