shalu wasu | Mar 11, 2011
Facebook currently makes almost all it’s money from advertising solutions (the total revenue for 2010 is rumoured to be in the range of $2 billion). Facebook also makes some money from ‘Virtual Gifts’ and ‘Facebook credits’. Recently they announced that they are getting into the movie distribution business. I’m going to have some fun speculating what else they might get into in the future and who it might impact!
- Auctions: Ebay could be in for a tough time if Facebook decides to add a ‘social auctions’ feature. There is big money to be made of course and Facebook’s base of over 600 million people means that they will never be short of the next used iPad to be auctioned off. Of course they will use Facebook Credits as the currency for the options.
- Voice Calls: Can Facebook be the Skype killer? Facebook could offer a Social Voice service that could simply mean tougher times ahead for Skype and a lot more money for Facebook.
- Shopping: Social shopping anyone? Currently there are fledgling attempts by many companies to try and sell products directly off Facebook Pages but it is inconvenient and clumsy. Facebook will certainly look for more ways in which it can make Facebook credits popular. Creating ‘Facebook Shops/Stores’ with features that make shopping social and fun could give Amazon a run for it’s money – or maybe Amazon will just open a store front on Facebook as well.
- Paid Apps: iOS of course had massive success with the App Store. Facebook could be working on a similar model where developers could choose to sell apps using Facebook credits as currency of course and Facebook getting a cut from every app sold.
- Music: They have already started selling movies. What stops them from selling music – watch out iTunes!
- Pages: Brands spend thousands and even millions trying to build a large community of fans and nurturing the same. What if Facebook starts charging a thousands dollars a year for some premium Facebook Page features. I am very sure thousands of brands will happily pay up. A robust Analytics solution could be just one of the many premium features possible.
- Private corporate networks: Could the Facebook network be replicated within organizations where all discussions and engagement are closed and secure. This would be a viable alternative to the variety of ‘employee communication platforms’ that companies use.
- Transactions: Once Facebook credits takes off what is there to prevent Facebook from taking a swipe at PayPal and trying to dominate the online commerce market ( a lot of which may happen on Facebook Shops anyway!)
- Deals: Watch out Groupon! This cannot be far away.
- Paid Mail service: Yahoo, Hotmail and Gmail Storage – all charge around $20 per year for email service. Many may switch to Facebook once this service is available!
- Photos: Facebook photos was one of the first ‘killer apps’ of Facebook and contributed massively to its growth. Could it provide additional services for printing pictures , personally designed albums and gifting? Sure it can!
Have more ideas for Facebook to make money? Share in comments please.
Filed Under: Fun • Media