Facebook is testing a new service that displays targeted advertisements based on the real time activity of the user.
The social network is currently testing the service on about 1% or five million of all its users.
The company has started gathering information from status updates of its users to test the service. It said that advertising on the social networking site is set to become more relevant than it is now.
A Facebook spokesman said, "Advertising on Facebook is more relevant for people because they have explicitly stated their interest in things. We are currently testing a feature that simply helps surface relevant advertising more quickly."
Facebook already offers targeted advertising to companies but they are based on user preferences, age, and other demographic details.
Micro-blogging site Twitter already shows promoted tweets next to relevant tweets in real-time.
