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The Power of Sponsored Stories

Love this data point from the Facebook team. Are Facebook and Twitter at the core of your marketing strategy? If not, they need to be:

Ad Age: You recently launched a new ad product called "sponsored stories" so that when a user "likes" a business, that action gets turned into an ad, complete with the user’s name and image. What is the strategy there, and were there any concerns of backlash from the users?

Mr. Fischer: The direction we’re going in is really around building brands. We’ve proven that having an ad for a given brand with a friend’s name at the bottom of it– it might say, "David Fischer likes Coke" — that impact of having a name will increase brand awareness by 68%, and it has a four-times increase in purchase intent. That really is the power. And that’s the kind of brand associations we’re trying to build for companies. Branding should happen around people.

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