Boston, MA 03/03/2014 (wallstreetpr) – Facebook Inc. (NASDAQ:FB) is turning out to be the real deal and leader in ads, as compared to other traditional methods such as TV ads. Facebook currently commands a 1 billion user subscription network, a number in a sense sure to rival the total number of people who watch TV. This essentially presents a huge base of which marketing ads can be carried out to target specific kind of persons and guarantee desired effects afterwards.
Advertisers in 2013 spent a total of $66 billion on TV ads as compared to $7 billion being spent on Facebook alone. Facebook is currently looking for avenues in which it can boost its revenue in this segment. The acquisition of WhatsApp which normally does not carry any ads leaves a lot to be desired, as to what Facebook Inc. (NASDAQ:FB) my try to do with it in terms of bolstering its revenue.
Spending on online ads is expected to surge by 15% in 2014 alone, highlighting the effectiveness of this method of getting goods and service out to the general public.
Facebook being laughed at, on its WhatsApp deal
Mark Zuckerberg has come out to defend the acquisition of WhatsApp, which in many quarters is considered a gutsy move by the billionaire considering WhatsApp might have been overpriced. The joke centers on the fact that the App has only been in operation for 5 years with 55 employees and $20 million revenue.
Some quarters are of the idea WhatsApp was bought with the view of clinging to the teenage population who no longer consider Facebook Inc. (NASDAQ:FB) as their butter and bread in terms of chatting. This leaves a lot of questions in the air as to how Facebook will be fighting off competition in the coming years.
Facebook Inc. (NASDAQ:FB) slumped slightly on Friday closing session by 0.70% to shy away from the $70 mark finishing the week at $68.46 a share.
