
Ask HN: Why is Facebook's data worth that much? How is it used? - good_vibes
I understand the basic idea yet I am curious as to why this data is so important and meaningful. Better ad targeting is one thing but what else?
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pasbesoin
Anecdote: Two days ago, I bought some drain cleaner. I paid with a credit
card. This morning, for the first time, Facebook presented me with an ad for
Liquid Plumber (a drain cleaner).

Without my ever giving them my credit card number, they or the attendant ad
agency have cross-linked my credit card with my Facebook account. :-(

This may be more noticeable to me, because Facebook on my phone is one of the
few places I haven't blocked ads. I don't block them out of spite; I block
them because, 1) They completely distract me, when they move and make noise;
2) I've yet to encounter an ad network I trust.

I simply don't do much secure stuff on my phone, and I use a separate email
account on it that's not tied to anything significant.

Facebook on my phone is also eerie in presenting content and ads that relate
to what I've recently been doing. If they aren't outright monitoring my
conversations, they are damned good at determining my location (while my GPS
is turned off) and making remarkable inferences as to what the topics at hand
likely were.

If it weren't the default means my wide-ranging friends use to keep in touch,
I'd by having a serious conversation with myself today as to whether it was
time to uninstall it. I'm still debating; just don't want to fall out of touch
with those friends.

P.S. As has been mentioned here frequently, FB maintains shadow profiles for
people who don't have Facebook accounts.

Facebook is becoming a primary connection / cross-reference between market
activity (e.g. shopping) and personal data (not just ZIP, age, etc.
demographics, but likes and activities, and that all-important social
network).

~~~
good_vibes
That is very Orwellian and disturbing to me. We are treated like farm animals,
domesticated for our data, and most people seem to be perfectly okay with it.

Not sure what to think right now.

~~~
microwavecamera
But how else will you find out what Disney princess you are? Or what complete
strangers ate for breakfast? Facebook knows whats best for us. I for one
welcome our all knowing algorithmic overlords.

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helmchenlord
The advertisement industry moves an insane amount of money. People pay up to
several dollars for a single potential customer ending up on their website(s).

~~~
thenomad
People pay up to several _hundred_ dollars for a single customer ending up on
their website, in some industries.

(Check out the pricing on Adwords for serious medical conditions some time.)

~~~
sokz
Ads for lawyers have ridiculously high prices in Adwords. Since my first job
was in a firm that handled marketing for personal injury lawyers, I had an
impression that adwords was really expensive and ws wondering why the ads were
so ubiquitous for low revenue businesses too.

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namechecksout
There was this article on how Trump won the elections thanks to the very
precise and narrow-targeted ads on social networks where all the right
messages were shown to just the right audience. Not only Facebook gathers the
private info you obviously put on your profile, but also what you like, what
you respond to, what you even look at - crazy detailed statistics. This allows
them sell you anything like magicians because they know everything about you
and what you like and HOW you like it.

