Here's The New Ad Unit Facebook Hopes Will Justify Its $100 Billion Valuation

Facebook Brand PageStarbucks would be able to take posts from its brand page and put them in your News Feed

Almost a billion people come to Facebook every month. Almost 500 million come back every day.But Facebook ad revenues are decelerating.

Brands haven’t figured out a way to dump buckets of money on Facebook and get a proper return on investment.

The company needs a new ad unit to change that.

Facebook just announced a new ad unit.

How it works: ¬†Brands can take a “story” or “page post” posted on their Facebook brand page and pay to move it to the right-side of the Facebook homepage.

(Facebook brand pages now look like user homepages, with a Timeline and all.)

Butterfinger did this and doubled the amount of people talking about them on Facebook. Facebook says Butterfinger’s brand “favorability”¬†increased 6 per cent during the two month experiment.

The ad can also go into the News Feed, the mobile news feed, and the log-out screen.

The ads will only appear to people who are “fans” of that business. Users will see about one ad per day. Brands will be charged per fan reached. Facebook is phasing out its current brand ad units. The marketplace ads will stay.

NOW WATCH: Tech Insider videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at