Facebook Inc (NASDAQ:FB) has made a lot of targeted ads based on information collected from user’s profile, likes, dislikes and recently visited web portals, etc. These types of targeted ads are the main revenue generator for a company like Facebook Inc (NASDAQ:FB). In a recent revelation, Facebook has started to target users with advertisements based on their most recent location. Bloomberg’s Guy Johnson reported about the Facebook’s location based targeted ads on Bloomberg TV.
“Facebook will start targeting users with advertisements based on their most recent location as part of a drive to pitch revenue by expanding its use of member data. The ads will only show up for users who allow the Facebook app to access their whereabouts,” Johnson said.
Johnson mentioned that Facebook Inc (NASDAQ:FB) can only do targeted ads based on location, if the user allows the Facebook app to access his/her location. Previous version of location based targeted advertisements just uses the city information from the user profile to target the ads to the users. But in a recent development, Facebook has expanded that, by gathering information about the user’s most recent location and target the advertisements of advertisers within a mile from that location, which might be more relevant to the user as well.
Whenever a social media company like Facebook Inc (NASDAQ:FB) or any other company gathers more information about the user, then a flag automatically raises asking what is the guarantee that the gathered data will not be misused. Facebook and all the social media companies reassures users, every now and then, that the users private information collected by the companies will not be misused in any way, which was done by Facebook in this instance too.
As of 30 June 2014, David Tepper’s Appaloosa Management Lp hold around 3.6 million Facebook Inc (NASDAQ:FB) shares.