Boston, MA 10/17/2013 (wallstreetpr) – Facebook Inc (NASDAQ:FB) is famous for picking up trends and latching up to stay ahead of the competition. It noticed a trend among users in Southeast Asia and Africa. They were accessing Facebook through their mobiles rather than desktops or laptops. PCs sales were already stagnating globally. This posed a challenge to the social media marketer. Mobile devices offer a smaller screen size and would reduce the area available for advertisement. Both the size of the ad as well as the number of ads that could be displayed would reduce. Bandwidth also posed some issues. Users wanted their pages to load quickly. Moving quickly, to tackle these issues head on Facebook redesigned their Facebook apps. This had to done well in time before users from North America and Europe also latched on to the trend. Facebook has found that users are accessing their accounts more than 100 times daily. A report has found that more than 80% of China’s population accesses internet through mobiles, and the time spent on the internet is higher among mobiles users than PC users. The takeover of Onavo will result in better data compression technology. This will allow the pages to load faster on mobiles as well as PCs. Mobile advertising now accounts for 41% of the total advertising revenues at Facebook. Google Inc (NASDAQ:GOOG) is ahead of Facebook in drawing ad spends but it is facing resistance for its ad rates. Facebook has kept its rates steady and expects to draw more clients through its FBX ad offering. With the festival season just ahead, ad wars are expected to heat up as social media sites fight for a bigger size of the pie.
The stock is trading at its 52 week high of $51.60. It closed at $51.13 up by 3.30%. With the government shutdown partially lifted, markets are expected to remain high, and Facebook should provide an opportunity for an upside.
