We’re at the point where Facebook’s Facebook ads business is hitting its next “sweet spot”, and the company has decided to pursue a decision to eliminate all money-making in the business. Facebook is a platform for businesses, but with $51B in revenue year-to-date, Facebook’s advertising business is pulling in the lion’s share of the revenue for the company. With the massive volume of people using the platform, it’s hard for most of the businesses to turn a profit, but some of them do break through. After all, over 700,000 Facebook brands earned $1B in revenue in 2014 alone.
The Recovery Plan
With no end in sight for advertising, Facebook wants to put the ads revenue in the hands of businesses as a reoccurring and reliable revenue for the company.
The decision came off the back of a series of reports which led the publishing companies in one way or another to demand better transparency about Facebook’s business practices. Every week or so, Facebook updates the companies on its advertisement business and these updates are published publicly on the company’s new site and on the business page.
The Sites
The feature will be available for both the Facebook Company Inc and Facebook Inc. Facebook Inc. is the entity that does the advertising, sales, and other commercial activities for Facebook itself. The others are Facebook Data Services (i.e. selling its data) and Facebook Ads (i.e. monetizing the Facebook Ads).
The structure of these revenue streams is the central topic of all of the articles published in the company’s homepages. But the discussion about what is the structure of the revenue streams doesn’t really end here. Rather, a mechanism to maximize that revenue is up next for discussion.
What’s Next?
At this point, the Facebook Group has over 57,000 likes and there is a “Page” of the page called “Facebook Ads”.
This Page is a U.S. part of Facebook.
Trending posts are links to the company pages and content.
A user likes one or more of the posts. These have a worth that can be monetized. This story contains a link to a page that can be linked to. The number of likes of this page can be monetized by our content by being displayed on users’ News Feeds.
The biggest proportion of Facebook’s revenues comes from the ads on the Facebook Newsfeeds. For more on how the ads are monetized, click here.
Comments
Post a Comment