Social networking sites like Facebook and Twitter may add millions of users every month; however, the same does not seem to be in case of revenue generation. Although, these are household names the efforts to monetize these sites are still alive and not very successful.
These internet services are the most popular platform among the users to access real time information and socialize virtually. The founders of both the site are outlining several strategies to generate more revenue. Google with its content based advertisement managed to pull off huge revenues. Could these social networking sites use the same strategy as Google? Google with its initiative on the advertisement deal with My Space has no been able to generate the desired results.
However, advertisement in these networking sites looks like a lucrative option to get users’ attention; it may not be a long lasting option to generate revenues. User based content on these sites is a turn off for many brands and avoids advertisement next to it. New strategies and business models need to be put to use. Facebook had 200 million users in April and Twitter had 17 million visitors. The opportunity for revenue generation is tremendous. Facebook has been reported to have $500 million revenue this year.
Via: Reuters
No comments:
Post a Comment