Facebook Planning to Capture more time of the people
Facebook is looking for a lot of big opportunities for capturing more time of its users. It is planning to utilize variant strategies for active user engagement. In the conference call of its second quarter earnings, the management of Facebook stated that the people of US spend an average time of around 40 minutes per day on Facebook. 20% of this time is usually spent on Smartphones. Facebook has also mentioned that people usually spend around 9 hours per day on phones, televisions and computers. There’s a major chance for Facebook to capture more time of the people.
Google earns lot money and revenues as compared with Facebook for the similar amount of time which is spent by people. When social media networks are able to capture more time of the people, it helps the companies in earning more engagement of the users. This helps them in increasing the marketing revenues to a great extent. A report from Flurry for first quarter stated that users of mobile devices spend more time on Google. The user’s time which is spent on Google is 18% out of the overall time. Google has earned about 49% of the revenues of mobile marketing. The most interesting fact is that the time which is spent by the people on Facebook is equivalent to that of Google i.e. about 17%. However, Facebook could only earn revenues of about 18% out of overall revenues.
The other mobile applications are reflected by rest of the market. The time that users spend on these applications was estimated to be around 65%. These applications earned the revenues of mobile revenues of about 33%. Gaming applications are among the most noticeable applications in the category of “others”. The other significant apps are SnapChat, social messaging and WhatsApp.
Most of the users are more likely to click on the advertisements which are served by search results of Google as compared with that of ads which appear in the news feed of Facebook. The main business lines of Google are search marketing as compared with display marketing. Therefore, more of the users are likely to click on the ads at the time of searching for specified information as compared with the time when they surf through the contents of web. Suppose, if the users are looking for purchasing a mobile device online, he would most likely click on the advertisements which are shown by the search results of Google. This is the reason why the click-through-rates of Google are higher than the standards of the industry.
In case Facebook succeeds in capturing more time of the people, it will gain a lot of benefits from the funds of trade exchange like DJ Internet Index Funds and Nasdaq Internet Portfolio. Both of these funds have got a significant exposure to Facebook. Facebook is making a lot of acquisitions for earning significant amount of profits. These acquisitions are playing prominent roles in earning major revenues for the company.