Monday, February 8, 2016

Facebook Mobile Ads Generate 80 Percent Revenues


Facebook mobile business is now a massive $13 billion business and is accountable for 80% of total revenues

Facebook Inc.’s mobile ads are a massive $13 billion business. As of now, only the likes of Google lead the advertisement market whereas the likes of Yahoo are trying to chase the market leaders. A few years ago when the firm decided to go public, it was worried about keeping up with the transition to mobile. At that time, the founder Mark Zuckerberg stated that his project is not really into building a mobile business regardless of the fact that its mobile app already became the most used segment then.
Since then, the not-so-much-interested-in-mobile business has made it one of the biggest revenue sources in the sector. On the other hand, its rival ‘Twitter’ wants to be like Facebook in terms of mobile ads business but it is miserably failing. Sources suggest that in the last four quarters, the social media giant has managed to generate $13.2 billion in mobile ad revenues. When the company first started ‘trying’ its mobile ad business, it disclosed its success in terms of percentage with respect to the overall revenue.
The percentage amount has steadily jumped in the past years. Initially, it was just 3% in the second quarter of 2012, but now it has risen to nearly 80% in the last quarter of its fiscal year. The overall ad business is skyrocketing and the results have been more than good for FB, which is the main reason for its mobile ad business boom.
The transition to mobile has been immense for Facebook in a very short span of time. The social media network’s overall business – including desktop ads, payments, and mobile ad business – covers for almost three quarters of the total revenue. To be precise, the firm generated $17.9 billion in TTM revenues.
Apart from this, Facebook continues to focus on its diversified offerings of products – including FacebookWhatsAppInstagram, and Messenger – as well as its brand portfolio, which mostly belongs to the future trends, such as Oculus. Regardless of the fact that the company has a lot on its plate, it will keep accelerating its success on mobile platforms in the coming times.
Its success on mobile platforms can be determined from its accomplishments. WhatsApp officially announced that it has reached 1 billion monthly active users, which was Mark Zuckerberg’s mission. Sources suggest that the founder will now be thinking about monetization of popular messaging service to remain on top of the game.


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