Speaking at the party's federal council meeting on Saturday - where the new Liberal Party website 'The Fair Go' was launched - Malcolm Turnbull highlighted both the opportunities and pitfalls of rapid advances in communication technology.
"We live in a world characterised by change at a pace and scale unprecedented in human history. It is in large part driven by technology," Mr Turnbull said.
He said smartphones and social media messaging platforms had revolutionised how politicians engaged with voters, and held Facebook, which "I hope all of us are using", up as an example.
Facebook was necessary "for strong political and effective communication, getting around the mainstream media and making sure our message gets direct to our supporters," he said.

Foreign Minister Julie Bishop and Prime Minister Malcolm Turnbull Source: AAP
But the prime minister also said the internet could not be an ungoverned space.
"We cannot allow terrorists and extremists to use the internet and the big social media messaging platforms ... to spread their poison," he said.
The issue will be raised at the next meeting of the Five Eyes intelligence agencies to be attended by Attorney-General George Brandis later this month.
The Five Eyes countries include Australia, New Zealand, the United Kingdom, the United States and Canada.
Outgoing acting Liberal party director Andrew Bragg used his final speech to introduce the website.
"It is designed to support the coalition's overarching narrative into social platforms and arm supporters with bottom up perspectives on public policy issues," Mr Bragg said.

Outgoing Liberal Party federal director Andrew Bragg Source: AAP
He said undecided voters and swing voters would be targeted.
"Publish or perish must be our credo," Mr Bragg said.
It is in response to a review of the 2016 election campaign by former trade minister Andrew Robb.
Mr Robb found Liberal Party campaign messaging struggled to compete with the greater funding and effectiveness of Labor Party and progressive group platforms.
At Saturday's federal council meeting, Andrew Bragg said: "Publish or perish must be our credo."
Mr Bragg is due to be replaced by long-time Liberal Party staffer Andrew Hirst.