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WATCH: 60 Seconds of Social Media

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It seems like most everyone agrees that the days of flashy, intrusive banner ads are over. So what does that mean for the future of Internet marketing? Facebook's hoping it means a shift in the way brands engage with consumers. We'll take a look at the history of online ads in this week's "60 Seconds of Social Media."

In 2000, Google popularized the more intuitive keyword-based search engine advertising, now its main source of revenue. Twitter now integrates promoted tweets and trends into users' timelines and searches. And Facebook's own ad revenue, based largely on highly targeted but still familiar-looking sidebar ads, grew from $272 million in 2008 to over $3 billion in 2011. Now it wants advertisers to embrace "social ads," where you and your friends play a big part in selling a brand.

Also, find out what "geofencing" is -- and why retailers want to fence you in.

If you missed last week's episode on social media and philanthropy, check it out here.

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