Most people won't pay for a promoted post, but they would shell out the cash to buy their friends a gift through Facebook, according to a report from brokerage firm Sterne Agee.
The report (posted below) was based on a survey that asked more than 750 Facebook users to weigh in on the social network's latest ideas for making money -- increased advertising in the form of sponsored stories, Facebook gifts, promoted posts, and a possible search engine.
Of the four potential moneymakers, promoted posts is the least likely to succeed, according to the survey. When this feature went live earlier this month, Facebook users were able to pay $7 a pop to promote posts.
Sterne Agee found only 16 percent of users surveyed would actually pay to promote their posts, and only 1.2 percent would actually pay more than $5 to do it.
On the flip side, Sterne Agee thinks Facebook's mobile advertising tactics are actually effective. Although Facebook has been increasing these ads -- the sponsored stories placed into news feeds -- 77 percent of mobile users said they don't notice them (these would be the same sponsored stories that are the subject of a privacy lawsuit against Facebook).
Sterne Agee said this "indi... [Read more]
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