Posted May 31, 2012 by Bev Barker | 22 Comments
The 175-year-old New Orleans Time-Picayune newspaper announced it would "switch to publishing three days a week instead of daily starting in the fall and plans to increase its focus on online news in the fall." The Times-Picayune "remains one of the nation's most successful newspapers." Yet "newspapers have yet to learn how to make online advertising as profitable as its printed counterpart."
This is yet another "page turning in the chapter" of the demise of U.S. print newspapers. Check out the list of newspapers in the United States by circulation.
Companies are going online at cheaper rates to buy Adwords and other digital marketing tools as they relate to Google search. But that may not be the answer for other social media platforms like Facebook. Time will tell and time moves faster and faster in the digital/mobile world.
Posted May 23, 2012 by Bev Barker | 43 Comments
General Motors pulled its paid advertising ($10 M) a few days prior to the Facebook IPO. GM said while it "will continue to use Facebook's free social-media services such as fan pages, it is 'reassessing' the use of paid advertising on the site."
"Nearly 60% of Facebook users say they never click on ads or sponsored content," according to a new poll from the Associated Press and CNBC. Debra Williamson of eMarketer said it is "difficult to know" how effective Facebook (paid) advertising is.
In contrast to GM, Ford puts a "face" in its TV advertising for pick-up trucks. In 2007, Ford named Mike Rowe, star of Discovery Channel's popular "Dirty Jobs" to be spokesman. (BEVNOTE: Please log in to Facebook to see these two fan pages.) The "Dirty Jobs" Facebook page gets a lot more "likes" (2,202,410) than GM's fan page (685).
But that's not paid advertising. That's social and it's free. And Mike's "fans" don't have to buy anything. Time will tell if Facebook can work out a busness model to profit and please shareholders.
Posted May 09, 2012 by Bev Barker | 0 Comments
Billionaire investor Warren Buffet doesn't "like" Facebook, the Facebook IPO, that is. "We never buy into an offering," Buffet said at the annual meeting for his company Berkshire Hathaway. "Anytime you get a truly extraordinary business - and it's obvious it's an extraordinary business - they're the hardest ones to value because the question is whether five or 10 years from now will they be as extraordinary as they are now."
Facebook CEO Mark Zuckerberg recently asked Warren Buffett for advice about planning the Facebook IPO. "Though the two men talked for hours, Buffett doesn't plan to invest in Facebook."
Stay tuned to see how Facebook's mobile ad revenue strategy shapes up, especially use of video.
Posted May 08, 2012 by Bev Barker | 0 Comments
The Facebook IPO (initial publiic offering) on May 18 has been in the headlines for weeks. But what got my attention recently was Facebook's acquisition of mobile photo-sharing app Instagram for $1 billion. Keyword "mobile."
U.S. smartphone users "like" Facebook on their phones as much as they do online. "We do not currently directly generate any meaningful revenue from the use of Facebook mobile products, and our ability to do so successfully is unproven," the company reported in recent regulatory filings. How fast could that change? "In just a few years, Facebook has become the top U.S. seller of online display ads, besting giants like Google, Yahoo and Microsoft. Google collects the largest share of U.S. mobile-ad spending, which is expected to hit $2.6 billion this year," according to eMarketer. Can we expect similar success for Facebook's future mobile ad-spending?
What does billionaire investor Warren Buffett think about the Facebook IPO? Stay tuned for my next post.