Facebook, Inc. is a social media and networking service company founded by Mark Zuckerberg along with his Harvard college friends in 2004. The name “Facebook” comes from the Facebook directories often given to American university students. Facebook was initially developed and designed as a student networking platform for Harvard, and it gradually spread to other educational institutions, high schools, and colleges. In 2006, Facebook was eventually opened to the public, and users above the age of 13 years are allowed to become registered users of Facebook and the social networking platform. According to Facebook statistics, Facebook is the leading platform among all the social media platforms
Since its advent, Facebook, Inc. has been witnessing burgeoning growth and popularity, success, and the number of active users, among other achievements.
Facebook has helped individuals who live away from family to connect easily, and the platform has a range of innovative features, including allowing users to create their own Facebook page, add and accept friends, and share updates and personal photos with friends and loved ones. Facebook also has other features such as ‘like button’, which is designed to indicate feedback or personal views about anything to friends. According to Facebook statistics, Facebook ‘Like’ button has been pressed 1.1 Trillion times as of September 2018. Similarly, there are other buttons to express opinions which have also helped marketers or individuals gain popularity, raise brand rankings, and avail other benefits from such features. Facebook has also become a platform for connecting with fans and followers of brands, celebrities, etc.
Facebook Active Users in Million
Facebook is one of the largest most-visited social networking platforms currently, with a massive range of margin globally. The site can be accessed from any connected device or device with Internet connectivity, including personal computers, tablets, laptops, and smartphones. Moreover, on the basis of gender, female active users account for approximately 53% of total active users globally.
Facebook has been made available in around 101 languages, with over 300,000 users using translations. Currently, the US, India, and Europe are among the top three countries in terms of the number of active users on Facebook.
Among 3.81 billion active social media users, there are 2.7 billion Facebook monthly active users. As of Q2 2020, Asia Pacific had the largest number of Facebook monthly active users with 1142 Million individuals, followed by the Rest of the World with 892 Million users. North America and Europe accounted for 256 Million and 410 Million active monthly users collectively in the same quarter and the number of monthly active users in these regions is expected to increase significantly in the near future.
Till December 2019, there was a 9% increase in the daily active users of Facebook in India, Indonesia, and Philipines as compared to the previous year. As of Q2 2020 by region, Asia-Pacific had the largest number of Facebook daily users with 699 Mn active users, followed by the Rest of the World with 583 Mn users whereas Europe and North America accounted for 305 Mn and 198 Mn users respectively. That is, the DAU represents the 66% of the MAU.
Worldwide Average Revenue Per User
Average Revenue Per User (ARPU) in North America (US and Canada) was US$ 21.2 as of Q3 2017, as compared to US$ 27.6 in Q3 2018. US and Canada recorded the highest ARPU for Q3 2017 – Q3 2018.
Average Revenue Per User in North America was US$ 26.8 in Q4 2017, which increased to US$ 34.9 in Q4 2018. Europe was expected to follow in terms of ARPU at US$ 11 as of Q4 2018.
As of Q2 2020, the advertising ARPU in the Asia Pacific was 2.96 US$ Whereas the ARPU for the advertising segment was in the US and Canada was 35.58 US$, Europe was 10.81 US$ and Rest of world was 1.77 US$, resulting into Worldwide ARPU of 6.91 US$ for the advertising segment.
Facebook Revenue, By Segment
The advertising segment of the company has been accounting for the highest revenue share as compared to other revenue generating segments. In Q4 2016, Facebook’s advertising segment contributed US$ 8,629 Million; whereas the company’s payments and other fees segment accounted for US$ 180 Million. Revenue from the advertising segment reached US$ 12,779 Million by Q4 2017, and further accounted for US$ 16, 640 Million in Q4 2018.
Mobile advertising revenue represented approximately 94% of advertising revenue for the second quarter of 2019. The advertising segment is projected to continue to account for the highest revenue share, owing to strong marketing strategies implemented by the company, coupled with rising preference among users to build social networks or virtual relationships on a global level.
Facebook Total Revenue
The overall revenue of the company was US$ 7,872 Million in 2013, which increased by US$ 4,594 Million in 2014, and reached a value of US$ 12,466 Million. The company’s revenue was US$ 17,928 Million in 2015, which was an increase of US$ 5,462 Million over 2014 revenue. The company’s revenue reached US$ 27,638 Million in 2016, US$ 40,653 Million in 2017, and US$ 55,838 Million in 2018. From 2013 – 2018 the company’s revenue increased by 7.1 times.
In Q4 2019, ad revenue growth rates were strongest in Asia-Pacific and Rest of World which grew 33% and 28%, respectively.
In Q4 2019, the total revenue generated was 21,082 Million. By segmentation, the advertisement segment accounted for a total of $20,736 Milion(25% YoY) and Payments and Other Fees generated a revenue of $346 Million. Mobile advertising revenue represented approximately 94% of the total advertising revenue for the Q4,2019. Facebook total revenue grew by 27% YoY from the previous year 2018.
In 2015, Facebook launched charitable giving tools enabling the collection of donations for causes directed at the overall population or for personal causes, and incoming funds have reached US$ 1 Billion since its launch. In May of 2012, Facebook held an initial public offering and was marked one of the biggest IPOs in history, with a capital valuation of US$ 104 Billion; dwarfing IPOs of some of the major players on the Internet – including Amazon.com, Inc. and Google LLC. Subsidiaries of Facebook include Instagram, WhatsApp, Oculus VR, and others.
In 2012, Facebook acquired Instagram for US$ 1 Billion, and other significant acquisitions include VR gaming headset company Oculus Rift for US$ 2 Billion and WhatsApp messaging application in 2014 for US$ 19 Billion. Facebook paid US$ 4 Billion in cash, US$ 12 Billion in Facebook shares, and an additional US$ 3 Billion in restricted stock units granted to WhatsApp’s founders.
Messenger, also called as Facebook Messenger, is an app for private messaging or chat purposes. It was originally developed in 2008 as “Facebook Chat”; however, Facebook, Inc. restructured the messaging service in 2010, and developed separate apps for iOS and Android in 2011.
Post this, Facebook has gradually released a number of apps for various operating systems, which resulted in the need for launching a dedicated website interface. Facebook then separated the messaging functionality from the main Facebook app, thereby making it necessary for users to use the web interface or download a standalone app to use Messenger.
What was new in 2019?
- In 2019, Facebook opened data centers in Nebraska, New Mexico, and Denmark which are supported by 100% renewable energy.
- Introducing Oculus Quest — a New All-in-One VR System Coming Spring 2019
- Based on CBinsights research, Facebook stands fourth along with Intel in terms of AI domination with 8 AI startps acqruired since 2010 to September 2019.
- Facebook stories are viewed by 0.6 Billion viewers on daily basis.
- India has the most facebook users in the world with 280 million users followed by the United Nations with 190 million users.
- In 2020, in 60 seconds on internet,1.3 Million people log-ins to Facebook and 59 million messages are sent through Messenger and WhatsApp.
- 4.3 Billion Facebook messages posted daily.
- 5.76 Billion Facebook likes every day.
- Over 5 Billion messages are posted on Facebook pages collectively, on a monthly basis.
- Daily 8 Billion hours of video views are generated
- As of December 2019, more than 140 Million small businesses use Facebook apps to grow
- An average number of friends a Facebook user has exceeds 150.
- In 2019, there are approximately 5.76 Bn Facebook likes generated every day.
- As of Jan 2019, there are 90 Mn business pages
- There are 8 Mn+ active advertisers on Facebook, as of Q4 2019
- There are approximately 48% Male and 52% Female users on Facebook.
- As of Q4 2019, 4 millionadvertisers are using Stories
- Over 300 Mn users use Facebook stories and Messenger stories every day
- 10 Mn messages are sent between people and business accounts on messenger every month
- 8 Bn messages are sent between customers and business accounts on messenger every day
- As per the report by Facebook and Copenhagen Economics, Facebook apps helped businesses contribute about 200 billion Euros to the European economy in 2019
- There are 0.3 Mn bots monthly active,on messenger
- 700 Mn users make use of Facebook events each month
- As of June 2020, On an average, more than 2.47 Bn people use Facebook, Instagram, WhatsApp, or Messenger every day, and 3.14 Bn people use at least one of these Facebook services each month
- Among some of the most watched videos are videos of food recipes, babies, child abduction, scientific advancements, new cars, weather forecasts, popular tourist places, and bucket list.
- Facbook has a market value of 512 billion US$
- Brand value of Facebook in 2020 is 147.190 Billion US$