F
acebook is definitely one of the most visited website, which is why, within a span of time it has achieved an alexa rank # 2, which is just after Google (#1).
Facebook was created by Mark Zuckerberg in 2004, as his Harvard annual school directory, which contained photos of all students, faculty and the staff. While studying in Harward, he realized the potential of converting this inhouse Harvard Facebook into a worldwide facebook. Zuckerberg, along with his friends moved to California and invested in the idea, and till now haven’t returned to college as a student.
Read further to know how facebook earns money…
Facebook has a business model which is based on advertising. Advertising is the main source of earning money on facebook. For all those who think facebook is a social networking site doing social service for the world by connecting people on the internet are in the biggest doubts, and I believe are living in another world. Facebook is an internet marketing tool like any other online marketer; it earns money by selling the contact information of its database. With facebook the advertiser gets targeted and accurate database as facebook displays the ads based on the criteria’s mentioned by the advertiser.
Where to advertise??..
Facebook advertises on its website on the user’s pages like profile, events, groups, etc. If you have ever given it a notice you would have got what exactly am I talking about. The next time you login to your facebook account, you will surely make notice of all this as you have gained some amount of knowledge.
The best thing about facebook advertising is that anyone can do place it. You do not need an expertise to create an advertisement, unlike other banner ads used in online marketing. Here, a product owner can himself create his company’s ad and pay facebook there and them, it’s a self service tool and also very user friendly.
Facebook also markets other application like games, quizzes etc. for which they charge on lumpsum basis. They install the games application and get paid depending on the number of visits. The largest developer behind games on Facebook is Zynga, which created applications like Farmville, Café World etc. He is the biggest purchaser of these self service ads.
Facebook recently made huge revenue from its giftshop application, wherein the user can send gifts, flowers etc through the medium of facebook. It’s the biggest online marketing tool, where sale is involved and the payment is made through credit card.
Its not just limited to facebook, there are many other mediums of earning money and advertising online. The affiliate network is the biggest platform which makes the maximum money online. In affiliate marketing, an advertiser can promote its products through networks. Networks act an intermediary between an advertiser and a publisher.
To know more about Affiliate Networks, log on to http://www.vcommission.com .
vCommission is India’s first international CPA Network which delivers quality traffic at reasonable cost.
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