Thursday, August 02, 2012

Today, after handing in our final I came across this article, which seemed relevant to post since it touches on the Facebook issue of monetization.
Logging into Facebook via a mobile device has been turning more and more common. In the month of June, there has been a 23 % increase solely from mobile devices and 18.7 % of the mobile users don't even visit the desktop site anymore. Therefore, it seems  urgent to resolve the problem of mobile advertisement. If mobile ads do not start generating money, Facebooks revenue might plummet like its stock price did.

According to the article Facebook might not be able to make enough money on mobile ads since it would have to cram too many ads into the feed and that would destroy the user experience, an experience that it has spent years building. What do you think? Can Facebook find a way out of this problem? The articles mentions the new sponsored stories but these too are not enough to replace the inflow of money that advertisement on the site generates. I truly believe the social network might have to think a bit more out of the box and try new business strategies to safe the boat. Time to call on creativity!

http://techcrunch.com/2012/07/31/facebook-mobile-only/

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