Facebook sort of WOWed wall street with increased ad revenue, mobile ad revenue. Facebook reported mobile ad revenue increase from about 14% in Q3 2012 to 23% in Q4 2012. Even though ad revenue for Facebook is promising, the cost of the operations seems to have blown the air out of the balloon.
Cost mainly comes from hires and changes to infrastructure. Company needed more people in the new Facebook gifts, Facebook graph search, custom audience and others. Of those, you have heard and read enough about the Graph search but I like the 'custom audience'. I am sure Facebook will increase ad revenue with this product. Custom Audience improves ad targeting by bringing together Facebook’s user data and customer data from advertiser. There could not be any better resources for advertising, and it might help in the Google vs Facebook Advertising fight.
1 comment:
A lot of people in our industry haven't had very diverse experiences. So they don't have enough dots to connect, and they end up with very linear solutions without a broad perspective on the problem. The broader one's understanding of the human experience, the better design we will have.
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