As you probably have heard, Facebook is now moving advertising to Instagram.
The main source of revenue for Facebook has always been its ads, which eerily know what hobbies and interests you have thanks to all of the personal data you have given them throughout the years.
After the recent blackout that probably cost Facebook $20,000 a minute, it’s probably a smart idea that they are looking at another source of revenue. After being acquired by Facebook two years ago, those same ads will now be popping up on Instagram.
With over 200 million users “it’s very easy for Facebook to sneeze and create a $100-million-per-quarter-revenue business with the scale of Instagram and their salesforce,” said Corey Weiner, HyprMX CEO. If only everyone’s allergies could make them that much money.
While Facebook is wiping money from its nose, over 11 million young people have left Facebook since 2011 and it’s probably a good idea for Zuckerberg to ask why. Facing a similar fate to MySpace, Facebook is looking at a slump in users due to multiple reasons including a broad overreach in collecting data from users and focusing more on advertising instead of their users.
With Instagram serving as the “next big thing” in social media, how long will its popularity last when advertisements start flooding the homepage instead of some dudette’s photos from spring break?