Facebook may be under increased scrutiny right now, but it hasn’t hurt its bottom line—at least not yet.
The social media giant released its 3rd quarter earnings today, and the report exceeded all expectations. Facebook saw an increase in audience and revenue over the past quarter, even as it is being investigated for its role in spreading misinformation during the 2016 election.
Admittedly, the investigation is a bit too recent to significantly alter its revenues, if it will at all.
The report released this week shows:
- Facebook now has 2.07 billion monthly active users, a 3.19 percent increase over last quarter.
- Facebook’s now has 1.37 billion active daily users, 16 percent increase over last year at this time.
- Facebook generated $10.3 billion in revenue for the quarter, beating analyst estimates. That’s about 47 percent over last year.
- Of that, about 88 percent came from mobile ad revenue a slight increase of the mobile advertising revenue in the third quarter of 2016.
What does that mean for your business?
Obviously, it means that Facebook is still a viable marketing avenue. Reports continually surface that Facebook’s dominance may be on the wane, but evidence shows otherwise.
It also means, and this should be no surprise to you, that mobile marketing is still the way the medium is heading. More than 80 percent of users view the web on their mobile devices, so make sure your site is mobile friendly, and your advertisements are, too.
It remains to be seen whether the current investigation will impact the social media giant’s bottom line, or turn people toward other social media channels in large number. It’s also possible that Facebook will come under more scrutiny from regulators as a result, and that could have significant implications for all Facebook advertisers and users.
For its part, Facebook is already taking steps to avert similar situations in the future, by introducing new transparency tools for political ads that show how they’ve been both funded and targeted, similar to traditional campaign finance laws.
For now, though, continue to use Facebook to market your business. Just be careful what types of news you share!
Do you think Facebook will see declining revenue as a result of the federal investigation? Let us know in the comments!