How Facebook Breaks $100 And Doesn't Look Back
Source: Dallas Salazar
Summary
Facebook is out with a new Instant Article-like premium content program for advertisers and marketers.
I believe this new program will see immediate and wide-ranging traction.
Expect this offering to allow FB to prove out, via data, several market cap-adding outcomes of its platform as a result.
As Facebook (NASDAQ:FB) nears the psychological and algorithmic barrier of $100, it's important to put into context what is likely the most important near-term driver of shares. For me, and apparently for Josh Constine who does a really good job breaking out the more colorful details in a recent TechCrunch article, this has to be Facebook's embedding of high-quality, rich content advertisements. For clarity, FB has been proactively covert about the development and roll-out of the optimized ads.
Very similar to Instant Articles, Facebook is deploying differentiated advertisement offerings within the News Feed. That should be good enough to take shares a leg into the $100 mark. These News Feed-positioned, optimized ads are quite literally replications of the well-received and sought-after Instant Article publications that have become Facebook's "premium content" offering for publishers.
| }
|