In this interesting article written by Kevin Spak, it is explained that Facebook makes a little less than five dollars off of each person that is on Facebook according to their last report. How is this possible?
Well a majority of it is from advertising. Since Facebook had 901 million members according to their last report, everyone wants to advertise on Facebook. It seems that Facebook has made a marketing empire for themselves by accident. Who would of thought that a simple social media site could turn into making $872 million last period in advertising?
It is quite weird to think about Facebook as a marketing strategy for other companies when we simply use it to interact with our friends. But, it is in fact a genius marketing strategy for companies to advertise on Facebook. This way they are getting millions of views of their ads and people that enjoy them will share it with their other friends, free of charge to the producers of the advertisement.
The increase of advertising on Facebook is beginning to get annoying in my opinion, when will it be too much? Is it possible for Facebook to lose members when it becomes more focused on advertising businesses rather than our social lives?
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