Facebook International Ad Revenue Is Pretty BadBy: Drew Bowling - May 21, 2012
The kicks just keep coming when it comes to Facebook’s advertising value. Today’s entrant: the company’s international ad revenue is the pits.
Business Insider took a look at how Facebook’s advertising model is working beyond the borders of the United States and found some rather pathetic results. Facebook users produced nearly $10 per person in ad revenue last year in the U.S., but those numbers clip off precipitously when you start to look at different regions. In Europe, the revenue is just under $5 while Asia is a meager $1.79 and in the rest of the world users are churning up a lowly $1.42 per person.
The way each of those different regions trend, it’s a good thing there’s not more parts of the world or else those bar graphs would be inverted and Facebook would end up actually paying users to look at ads. Actually, I wouldn’t mind that at all, but I’m sure all those investors would mind considerably.
So what’s a Zuckerberg to do? Really get to work on a strategy that actually makes some money off of Facebook’s mobile platform? Focus more on making advertising tools more effective? They should probably start at something soon, as today’s activity on the stock market doesn’t really inspire much excitement from Facebook.