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Privacy and Perceptions: How Facebook Advertising Affects its Users

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Privacy and Perceptions: How Facebook Advertising Affects its Users
24 — The Elon Journal of Undergraduate Research in Communications • Vol. 1, No. 1 • Winter 2010

Privacy and Perceptions:
How Facebook Advertising Affects its Users
Katherine K. Roberts*
Strategic Communications
Elon University

Abstract
This research paper details a study of Facebook users and their perception of advertising on the site.
Characteristics such as privacy, micro targeting, Facebook use, awareness, and reactions, were all important factors that influenced these responses. The objective of this study was to see how undergraduate students from four colleges across the country view Facebook and its advertisers. The results indicated that student reactions did not overwhelmingly lean in a particular direction: Individual users perceive the site differently, and this determination directly correlates with the uses and gratification theory.

I. Introduction
Facebook Overview
Facebook is a social networking site (SNS), which provides users with a platform to create a personal profile page, add ‘friends’, and send messages. Since the company was founded in 2004, it has become the top ranked social networking site (Kazeniac, 2009). According to Facebook Statistics (2009), there are over
300 million current active users (i.e. users that have logged-on in the past 30 days). Facebook users have claimed the site a “necessity, along the lines of oxygen, water, and food” (Verna, 2009). For many people, visiting Facebook has become an integral part of their daily lives, and has even caused some to have an unhealthy obsession with the site. According to Elizabeth Cohen (2009), a CNN medical correspondent, therapists are seeing more and more “Facebook addicts,” who become compulsive Facebook users to the point where the site interferes with relationships, jobs, and normal daily life. The site has transformed social communication in the 21st century, with Facebook and other SNS reaching hundreds of millions of people across the globe.
Features



References: Anchin, M. (2009, September 22). The Nielsen Company and Facebook form strategic alliance [News Release]. Retrieved November 13, 2009, from Nielsen: http://en-us.nielsen.com/main/news/news_releases/2009/september/the_nielsen_company Awl, D Boyd, Danah. (2007) “Why youth (heart) social network sites: The role of networked publics in teenage social life.” MacArthur Foundation Series on Digital Learning – Youth, Identity, and DigitalMedia Volume (ed. Cashmore, Pete. (2009, November 12). Is Facebook the future of micropayments?. CNN Tech. Retrieved November 14, 2009, from http://www.cnn.com/2009/TECH/11/1 2/cashmore.facebook.micropayments/ index.html Ellison, N. (2009, ). The benefits of Facebook “friends”: Social capital and college students’ use of online social network sites Facebook Statistics (2009). Retrieved November 8, 2009 from: http://www.facebook.c om/press/info. Katz, E., Blumler, J. G., & Gurevitch, M. (1973, ). Uses and gratifications research. The Public Opinion Quarterly, 37, 509-523. Kazeniac, A. (2009, February). Social networks: Facebook takes over top spot, Twitter climbs. Retrieved November 12, 2009, from Compete: http://blog.compete.com/20 09/02/09/facebook-myspace-twittersocial-network/ Klaassen, A. (2008). Social shopping takes on new meaning with newsfeed purchasing. Advertising Age, 80(30). O’Neill, N. (2009, September 25). The Zynga influence. Retrieved November 13, 2009, from All Facebook: http://www.allfacebook.com/2009/09/the-zynga-influence/Lange, R Learmouth, M, & Klaassen, A. (2009). Facebook’s plan to amp up ad revenue. Advertising Age, 80(4). Lessin, S. (2008). Welcome to the world of nanotargeted ads. Advertising Age, 79(42). Mezrich, B. (2009). The accidental billionaires: the founding of Facebook- a tale of sex, money, genius, and betrayal McCarthy, C. (2009, September 21). Facebook, Nielsen to partner on ad stats. CNET. Retrieved November 13, 2009. Neff, J. (2009). Study: ROI may be measurable in Facebook, MySpace after all. Advertising Age, 80(13). Schrage, E. (2009). Improving transparency around privacy. Posted to The Facebook Blog: http://blog.facebook.com/blog.php?post=167389372130. Sheldon, P. (2008). Student favorite: Facebook and its motives for use. Southwestern Mass Communication Journal, (39-53). Sherman, E. (2008). What to target online? You better build trust. Advertising Age, 79. Shields, M. (2008). Facebook friends brands. MediaWeek, 18(30). Snyder, B. (2009). What your favorite social net says about you. Advertising Age, 80(25). Social Peel (2009). Retrieved Novemer 9, 2009 from: http://www.socialpeel.com/2009/0 9/21/fun-facebookfacts/. Strauss, S. (2009, November 16). Ask An Expert: Focus on Facebook to boost business. USA Today. Retrieved November 16, 2009, from http://www.usatoday.com/mon ey/smallbusiness/ columnist/ strauss/2009-11-16-facebook-small-business_N.htm. Swedowsky, M. (2009, September). A Social Media “How To” for Retailers. Consumer Insight: The Nielsen Company, Retrieved November 12, 2009, from Nielsen database. Wales, J. (2009, March 30). Most define user-generated content too narrowly. Advertising Age, 80.11, 38. Retrieved November 12, 2009, from Communication and Mass Media Complete database. Zywika, J. (2008). The faces of Facebookers: investigating social enhancement and social compensation hypotheses; predicting Facebook and offline popularity from sociability and self-esteem, and mapping

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