Facebook’s second quarter results and report finally happened yesterday. Mark Zuckerberg answered all sorts of questions concerning the company’s performance in the last quarter. He also answered a lot of questions about why they performed so well and where Facebook is going in the future. The highlight of the day was the reveal of the numbers. This showed the power of mobile for advertisers. Have Zuckerberg and Facebook finally figured out how to successfully and skillfully integrate mobile advertising?
Mobile > Desktop Very Soon
For the past year I’ve been impressed at Facebook’s many changes since going public. The social media platform has become a great place for agencies and businesses to advertise, brand, and reach out to customers, and Facebook continues to improve in all areas.
More impressively, the second quarter results from Facebook show that, as Douglas MacMilan and Brian Womack report for Bloomberg, “sales of ads on wireless devices [are] now on track to surpass revenue from desktop computers.” That demonstrates a huge shift in the way companies will reach out to consumers on social media. As fellow CEM writer Beans told us back in January, mobile is becoming the next big thing and it’s wise to hop on board.
I have to admit I was a bit skeptical of Zuckerberg’s headfirst plunge into the mobile and wireless world. So were a lot of people. But they’ve proven everyone wrong and managed to convince Wall Street at the same time. Their revenues were up 53% in the second quarter and their stock price is finally getting pegged closer to their high IPO mark.
How’d They Do It?
Mobile is still a complicated market, but Facebook has been focusing their efforts on reworking their platform for mobile for at least a year. Jennifer Van Grove writes for CNET that the reason Facebook has blown everyone away this quarter is because “the company was able to…connect the dots between its improved mobile apps, targeting technology, and mobile units.” It has been an all-hands-on-deck effort at Facebook and it’s paying off.
The numbers look good for continued mobile dominance. Time spent on Facebook is increasing, the number of users on mobile and wireless devices is increasing, and Facebook’s users tend not to mind the increase in ads. What share of Facebook’s stellar revenues of $1.6 billion this quarter came from mobile? A whopping 41 percent.
Take Notice: Mobile Is the Real Deal
Businesses and agencies, if this isn’t enough to convince you that mobile can reach consumers, I’m not sure what will be. Facebook will only improve upon its efforts this quarter and mobile will become even more efficient as a tool to build your brand and reach more customers. Mobile advertising and outreach should at least be a part of your larger campaign through the rest of 2013 and into next year. With Facebook posting such huge numbers, you can bet competitors like Twitter will be taking a harder look at their mobile efforts. That’s good for you and consumers.
What do you think about Facebook’s efforts in the second quarter? Is mobile the future of online advertising?
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