Things are on the up-and-up for the world’s biggest social darling. The stats are out, and we’ve all heard the news: Mobile ads are looking to be Facebook’s saving grace.
The weeks (and months) around their IPO, Facebook had their fair share of skeptics in the ad world and elsewhere. With their revenue model built from on-site ad space, the performance of these advertisements constitute a bulk of Facebook’s financial success.
And now Facebook is at it again. After the astounding success of mobile ads (incase you didn’t hear, Facebook mobile ads are clicked 13x more than their desktop counterparts!), they’re further confounding their revenue stream. In a move that’s leaving Wall Street smiling, Facebook is progressing towards a payment platform.
Being a payment platform is looking to be more lucrative than their historically ad-supported system. Facebook users everywhere will be capable of buying and subscribing to third-party content in their local currency. Simultaneously, they’ll be ditching the virtual currency used for Farmville and other game purchases.
In a weird twist of fate, it’s starting to look like Apple, Google, and Amazon are all evolving to become one in the same…at least in some respects. Perhaps this was inevitable. With rumors of Facebook’s phone, they’d be following in the footsteps of Apple and Google. Here again with a shift towards a payment platform, Facebook will be positioning itself as a competitor to Amazon. In the words of Shel, we’re not sure where this is headed, but “it’s starting to feel like Apple, Google, Amazon, Facebook and perhaps Microsoft are going to each become some sort of Internet-based mega-department store in the cloud.
Is there anything to this notion? We’re pumped to watch this story progress.
To read more: http://www.forbes.com/sites/shelisrael/2012/06/20/facebook-moves-toward-payment-platform-big-rivals/