Focused advertising stream that most retards check 20+ time a day.
But yeah not sure that equals 100bn somehow... maybe..
Is it worth buying shares in facebook?
- Thread starter Merlin5
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Focused advertising stream that most retards check 20+ time a day.
But yeah not sure that equals 100bn somehow... maybe..
It continuously amazes me how people who have no idea about things can utter a "FACT" opinion on a matter, possibly dragging others with them as well on the basis of half-baked misinformation and made up evidence.
Seems like everyone has an opinion on what FB is worth, how much it's making (or not making), whether it's profitable and, more importantly, what it's real price should/could/would be. Also, everyone knows much better than those who invested in it. Of course you do, you've done your due dilligence on it haven't you?
Apparently though no one decides to put their money where their mouth is. How surprising.
I guess that's the internet for ya!
Disclosure: I have not and do not intend to trade FB, in case someone jumps and says I'm saying all that because I have taken a position.
Seems like everyone has an opinion on what FB is worth, how much it's making (or not making), whether it's profitable and, more importantly, what it's real price should/could/would be. Also, everyone knows much better than those who invested in it. Of course you do, you've done your due dilligence on it haven't you?
Apparently though no one decides to put their money where their mouth is. How surprising.
I guess that's the internet for ya!
Disclosure: I have not and do not intend to trade FB, in case someone jumps and says I'm saying all that because I have taken a position.
Man of Honour
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I had a conversation about this. It works out that every person's profile is worth about $100. If you were an advertiser and you had access to people's like/dislikes, what brands they like and are a fan of, what events they go to etc. Would that be worth $100 to you? Very possibly.
Personally, I think the valuation is still over hyped, but that's not to say that Facebook isn't a potentially very valuable company.
Why can't people see that information is not worth that much unless you have a complete picture of the info.
If you used my facebook profile to market to me you would be wasting all your money. You would target all the wrong things and waste all that money.
$100 per person, how much would they have to sell to every person on facebook. $1000 dollars worth of goods to every single person maybe. Based on the fact that facebook has a conversion rate 10 times worse than googles for advertising I can't see it.
Man of Honour
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It's not $100 per profile for you as an advertiser. It's $100 per profile to Facebook, ergo all potential advertisers. As for conversion rates etc, that may be something that Facebook can improve on.
exactly - in no other business is that info worth that much, otherwise other businesses would be priced accordingly.
there are multiple examples like this from the dotcom boom/bust of companies being way overvalued on fantasy future profits - and yet here we are again.
Exactly - if you have 20 advertisers targeting each person, $5 per profile isn't a ludicrous figure.
Well GM dropped their facebook advertising account (which was worth millions) stating that they simply didn't work. I can see the attraction to hundreds of millions of people, but advertising simply doesn't work very well on FB. Then they will implement it on mobile devices and make it more annoying.
More and more larger companies will drop out of the advertising platform of FB leaving the price to be driven down.
It is a successful business and it will continue to grow, it was just way over valued initially.
Well I certainly won't be buying any FB shares lol.
It could so easily go down the drain as soon as the next big thing arrives. I believe this to be true for FB more than any other tech related share because I believe it is hideously overvalued at the moment, just like Myspace et al were in their heyday.
If anyone does want to take a punt it may work out for you, but beware, it is VERY VERY high risk.
It could so easily go down the drain as soon as the next big thing arrives. I believe this to be true for FB more than any other tech related share because I believe it is hideously overvalued at the moment, just like Myspace et al were in their heyday.
If anyone does want to take a punt it may work out for you, but beware, it is VERY VERY high risk.
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Yet Facebook marketing via their profile is still very much in GM's marketing strategy. Don't get me wrong, I don't think Facebook have got their ads completely right yet, but they certainly have access to loads of very valuable information.
How much money have you parted with, directly or indirectly, when using facebook though? I accidentally clicked an advert once. I have no idea what it's worth but $100 per profile sounds like the kinda nonsense we heard during the dot-com bubble.
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I don't click adverts of Facebook, but then I don't play Farmville either, but that doesn't mean it's not highly profitable.
Oh I'm not saying that $100bn is an accurate figure and I agree that Facebook's current ad system is not particularly novel or likely to make me buy things. However, the potential for really well-targeted adverts due to all the information they have about you is huge.
I think there is a lot of scope for developing the user information. I think this goes far beyond what people list as their interests, talk about or are a fan of. For example, Facebook could use image-recognition technology on peoples photos/photo-likes and glean information on a potentially unlimited number of product angles. Imagine if an advertiser could see how many people have their bottle of vodka on their table in clubs, and what type of clubs, how old the people are, what gender, geographical location and so on, without the need for any interaction with the consumer. It could be an extremely in-depth way of assessing a product market and best of all it could be done far faster than normal market research.
None of that actually needs users to click on anything.
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There's plenty of noobs on the net.
Soldato
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You need to learn to stop talking about which you know nothing (in fact, is it possible to have negative knowledge? Like religious people?)
Obviously but $100 per profile profitable? When it's hard to find anyone that actually interacts with facebook's revenue streams I find that figure very far-fetched.
Yeah, I don't question that this data be could mined for very useful information. I just question the price-tag attached to it.
Soldato
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Facebook is currently about '$1 profitable' per-profile. So yes, far-fetched.
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A big thing they do is whenever you see a website with a facebook like widget a record will be made you visited that page if you're currently logged in.
This can build up a picture of what demographics are reaching that webpage and then the owner the page can determine if that is their target or not and put effort into altering their SEO and Backlinks.
There are 1000s of ways to determine what someone's interests are outside of their profile.