According to www.checkfacebook.com there are over 700 million active Facebook users. An active user is someone who has been on the site in the past 30 days. Given the number of Facebook users more business are looking to Facebook to advertise their products and services.
Facebook launched their advertising program on November 6th 2006 and Zuckerberg announced "For the last hundred years media has been pushed out to people, but now marketers are going to be a part of the conversation. And they're going to do this by using the social graph in the same way our users do,"
Facebook ads work much the same way as other Pay Per Click ads, however, there are a few significant differences.
1. Facebook allows you to target your ads so they are seen by your specific demographic (i.e. Age, Sex, Location and often their interests)
2. Targeting with keywords is optional
3. Facebook ads are seen by your target audience right on their profile pages
4. Compared to other media ad options there are fewer advertisers on Facebook, which means less competition for your niche. This means a better return on your investment as it costs you much less per click.
5. People can "Like" your advertisement, which can produces a snowball effect. If you are seeking to drive traffic to your Facebook Business Page, Open House, Website, then Facebook Advertising may be your ideal solution.