Facebook has cracked a remarkable barrier in its worldwide number of users. Bravo Facebook!
Facebook has joined the club of two billion active monthly users; it is a very small club! The company reached this milestone on June 27, 2017, wrote Mark Zuckerberg, founder and CEO of the world’s largest online network. This does not come as a surprise; as we already saw that at the end of the first quarter of 2017, the figure came to 1.94 billion active users a month. In some European countries, some 30 million users visit the site at least once a month; according to recent figures, 23 million of them use it every day.
Growth has boundaries
The global growth of Facebook is limited by the fact that billions of people still do not have access to the Internet. The online network wants to bring them among other things with the initiative Internet.org for cheap or free Internet connections into the net. Facebook, however, is being counter by the governments and skepticism of network operators.
Sales and profit increased
The success of smartphone advertising gave Facebook a strong jump in sales and profit in the first quarter of 2017. The world’s largest online network earned ~3 billion US dollars, about 77 percent more than a year earlier. Sales rose 49 percent to ~$8 billion, according to Facebook. Facebook attracted 80 million users in the first quarter of 2017, and at that time, as already described, the total number of visitors were approximately 1.9 billion. Around 1.2 billion users access the platform every day.
The [home] market of North America is still clearly more lucrative for Facebook than other countries. In the US and Canada, the online network generated revenue of over $17 per user compared to around US $ 12.5 a year earlier. In Europe, the revenue per user increased from 3.9 to 5.4 US dollars. The online network had already announced in the past months that the frequency of ads between the contributions of the users should not be increased further, so that we do not flood the users with advertising. This could curb the growth momentum.
At the same time, Facebook was increasingly focusing on video content and also on advertising in this environment. Among other things, they recently tried to make ads for the content of video; they are designed to show up in the middle of videos, similar to TV broadcasts. The Instagram photoprint, which now reaches more than 700 million users, is also a growth driver. In addition, Facebook plans to expand the short message service Messenger, with 1.2 billion users, also into a channel for the customer service of companies.