When I read the article on Mashable about Facebooks revenue, I thought the company is growing really well. However, after just one minute my mind started to wonder if this is really true.
I know Facebook is just building a business, and I know they started ramping advertising up just recently, and I know revenue is not their primary focus. But come on, $500 million? To put the big numbers a little bid more into perspective, just break it down a little…
If Facebook is making $500 million this year in revenue, this will mean…
Facebook is making $41.67 million per months
Facebook is making $9.59 million per week
Facebook is making $1.37 million per day
Facebook is making $57 K per hour
Facebook is making $951 per minute
Facebook is making $15.85 per second
That sounds pretty good. However, if you look at the revenue per active registered user, it sounds pathetic.
If Facebook is making $500 million this year on a user base of 225 million active users, this will mean…
Facebook is making $2.22 per year per user
Facebook is making $0.18 per months per user
Facebook is making $0.04 per week per user
Facebook is making $0.006 per day per user
Facebook is making $0.00025 per hour per user
Facebook is making $0.000004 per minute per user
Facebook is making $0.00000007 per second per user
Facebook is making less per user in a year than minimum wage per hour!
There are practically two ways Facebook can increase revenue:
Get more bodies into the door. More active users will generate more page views, more ad inventory to sell.
Get more revenue per ad sold. Higher ad prices will raise the revenue per active user.
To bring Facebook up to minimum wage standards, keeping the number of active users constant, the revenue would have to grow from $500,000,000 per year, to $15,768,000,000,000*!!! How would you say this..? 15 trillion 768 billion dollar?
I’m confident Facebook is growing fast and will generate tons of revenue in a couple of years. I just wonder how fast they will show improvements in this field. But in the mean time, let’s put these numbers into perspective!
* The calculation against minimum wage is not completely fair, as a person only works for 8-10 hours a day, where the calculation here is based on working days of 24 hours, 7 days a week, 365 days a year. It’s flawed, but still it gives a perspective on current revenue and the need to grow bigger, faster!
I hope these garbage ads I recently wrote about will be history once and for all. It seems the FTC’s Bureau of Consumer Protection is going after the Government grant scammers who widely advertise on both Google Adsense network, and through Facebook Ads.
I recommend to everybody not to fall for these get rich quick scams. If it sounds too good to be true, it usually is too good to be true. And it in the process you might burn yourself pretty bad!
Scammers have created sites with domains like PresidentObamaGrants.com and OfficialStimulusGrants.com, Harrington said, and include pictures of President Obama and Vice President Biden. The sites prompt consumers to enter a credit card number to pay a small fee in return for a list of grants supposedly available for things like mortgage payments. Those small fees, however, are often nothing more than a down payment on a "negative option" agreement that could cost someone thousands of dollars over the course of a year if not canceled.
Hopefully we won’t see these ads anymore, although I’ sure the scammers will find another way to pull people into their shady tactics.
Pretty good job for Facebook SEO team. They currently are ranking #3 for Barack Obama. (if you take the News Universal Search results not into account).
Facebook is even ranking higher than the Whitehouse.gov page, displayed in highlighted red here.
It was brought to my attention when I saw this Tweet:
Obviously, with all the people who became a supporter of Barack Obama, are linking with their Facebook profile to this page. This means the page already has more than 5.5 million internal back links.
Now ad all the external press links and bloggers that link to the page, and you have a super SEO ranking machine...
After all the comments over the long weekend and today, Facebook returned to their old Terms and Conditions. Tonight I got this message from my friend Alex:
Check the top of your newsfeed and trust me we learn from our mistakes.
And at the top of my Newsfeed there was an extra message:
A couple of weeks ago, we posted an update to our Terms of Use that we hoped would clarify some parts of it for our users. Over the past couple of days, we have received a lot of questions and comments about these updated terms and what they mean for people and their information. Because of the feedback we received, we have decided to return to our previous Terms of Use while we resolve the issues that people have raised. For more information, visit the Facebook Blog.
At first the change in T&C's made me delete all my pictures and tags from Facebook. Just think about it, you give up all the rights, even if you deleted your profile and account. What made me decide to take action. The following text was taken from the new, now old, T&C's:
You hereby grant Facebook an irrevocable, perpetual, non-exclusive, transferable, fully paid, worldwide license (with the right to sublicense) to (a) use, copy, publish, stream, store, retain, publicly perform or display, transmit, scan, reformat, modify, edit, frame, translate, excerpt, adapt, create derivative works and distribute (through multiple tiers), any User Content you (i) Post on or in connection with the Facebook Serviceor the promotion thereofsubject only to your privacy settings or (ii) enable a user to Post, including by offering a Share Link on your website and (b) to use your name, likeness and image for any purpose, including commercial or advertising, each of (a) and (b) on or in connection with the Facebook Service or the promotion thereof. You represent and warrant that you have all rights and permissions to grant the foregoing licenses.
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OMG, Oh My F*** God, what is up with these Ads on Facebook. The only Ads you see are from Get Rich Quick Scams. And the worst part of it all, the Ads all link to the same kind of websites, of which the majority even use the same template and even the [...]
Overall RatingNo RatingsAt least not for me…
As I have been writing to go try to score some extra cash with Facebook Ads, I have to report back that I miserably failed! Although Shoemoney is making money with Facebook Ads, this does not mean everybody can do it! As I don’t have the time to invest [...]
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Yesterday Facebook announced the ALLFacebook Pages Tracker, with which you can track which pages are most popular. From their post on AllFacebook:
Want to know what the most popular Facebook pages are on any given day? Now you can! If you haven?t read it on Techcrunch, over the past month we have been tracking [...]
Overall RatingNo RatingsAfter following my friend and ex-colleague Alex presenting on Facebook Ads on the Affiliate Summit through Twitter, I though I might give the Facebook Ads a try myself. As Alex mentioned, Europe has got some virgin waters laying ready to be explored by smart Internet marketers. Thank god they have not showed up yet, as [...]
