Changes with Facebook and the Impact on Business

Advertising with Facebook has been a goldmine for some businesses. Small companies, such as local, vegan-based, organic businesses in major cities were able to get in front of thousands of customers that their brands directly appealed to, helping them to flourish. Larger businesses could get feedback from consumers about what kinds of advertisements worked versus which ones were completely ineffective. Facebook ads did all of this and more, but major changes are coming for this social networking platform fast. Graduates of ASU Online who use Facebook have already noticed these changes. Instead of seeing ads appearing throughout your feed, Facebook has suddenly become more restrictive and selective.

The Battle of the Networks

While Facebook usage isn’t exactly down, it is worth noting that other platforms are becoming more prominent with the masses. For instance, it is estimated that half a billion people are getting on Instagram each and every day - that’s a lot of people. There may be billions of people with Facebook accounts, but loads of them are what is considered to be dormant. Users might sign up for a Facebook account one day, forget their login information and then create an entirely new account. Activity levels between social media platforms show that users have become more drawn to visual media, including video. That’s likely why Snapchat and Instagram have become staples.

Facebook Finally Listened to Users

When polled, many social media users indicated that they had begun to migrate away from Facebook for one reason - a dearth of intrusive ads. There have been several times in the past where Facebook has been in the spotlight because of questionable security practices. While Facebook users ultimately have control over who appears in their friends list and what kinds of content they can keep private, ultimately, they had no say in the ad content that appeared in their feeds. When you consider the fact that the average ASU online student spends hours on social media, it is clear to see who businesses have been depending so heavily when they use Facebook advertising. In turn, Facebook can’t afford to lose its users, so they have begun to listen and reign in the number and type of advertisements people will see.

What This Means in the Long Run

Facebook ads aren’t going anywhere, but they are likely to become much more commercial. Laundry detergent ads and advertisements for the Superbowl will likely become more prevalent than the locally grown, small business-based ads that were seen in the past. This also means that other growing platforms have an opportunity for businesses to reach users in a new way. Popular plastic surgeons are already sharing their ‘snap stories,’ and live streaming surgical procedures in front of millions, so small companies will likely be making a move away from Facebook.

Being able to do direct advertising online is always going to lead to the best conversion rates. Advertising on social media networks like Facebook enables content publishers to fine tune their specifications. Millennials might be the main demographic that uses social media daily, but there is also a new generation that is getting closer and closer to adulthood. Generation X also consists of prominent social media users, so if Facebook is no longer welcoming to business owners, they will find another platform that allows them to do outreach on a major scale.