Tuesday, July 28, 2015

Facebook Focuses More On Small Businesses As Per Strategy


The social networking giant has been bringing its focus on small businesses instead of big ones which has helped it to raise more revenue than ever

Facebook Inc is one of those internet giants that receive most of its revenue from the adverts that it publishes on its website. The social media giant might be looking for big names in the industry to advertise on the media platform, but what the investors are unaware of is that the firm makes most of its money from small businesses and companies more than it does from the big companies in the industry.
In the same way, Google Inc is among those giants too who make majority of their cash inflows through successful ads. According to report, it was seen that around $17.26 billion were raised by the firm only from the ads on its website which shows just how important the ad industry is for the tech giant.
Facebook business, on the other hand, has been focusing more and more on advertisements that make the business into a successful one. It has long been depending too much on ad sales in the past quarters which has helped it to raise revenue by a mile. The news suggests that the company is working towards expanding its ads network through which revenue generation will become more established for the future. Analysts have given a close look to the situation and are of the opinion that in the upcoming days, the social media giant will have more to look forward in terms of receiving cash from adverts more than before.
One thing to be taken into consideration is the fact that firm is a little concerned over how to increase the sales of digital ads as the gaming activities on the PCs have decreased considerably. Even though the firm has a lot to look forward to in terms of new business ventures that will make revenue increase as well, it cannot be ignored that the social networking company cannot tie it with the sales of ads as money inflow is higher through that.
Analysts who have been keeping a close look at what the media giant has been doing in the past and have come to the conclusion that Facebook will be focusing on small businesses and companies only as this has turned out to be quite a useful source of income that the firm has been enjoying for quite some time now. Investors might suggest that the company should look towards making a mark and reaching out to big companies for advertisements, but analysts have declared that the media firm earns more from small firms and their adverts than from big ones.  

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