4 ms·
A 5$ one-time fee is way too low. Advertisers will probably outspend anything that isn't a proper monthly subscription.
by div 14y ago
A 5$ one-time fee is way too low. Advertisers will probably outspend anything that isn't a proper monthly subscription.
- nwh 14y agoIsn't that approximately what Facebook makes per user, per year in advertising?
- whacker 14y agoThat must be the profit margin. $5 isn't enough to cover costs and living I think.
- josephagoss 14y ago$5 per user is equal to $5,000,000,000 for revenue and I think Facebook made $1,000,000,000 net profit last year, so Facebook makes about $4.5 per person gross and about $1 per person profit at the moment.
- div 14y agoFacebook's North-American ARPU for the 2nd quarter was $3.20 (http://seekingalpha.com/article/756141-facebook-why-shares-are-cheap-if-the-company-can-boost-its-annual-revenues-per-user http://seekingalpha.com/article/756141-facebook-why-shares-a...). My main point was that a 5$ ONE TIME charge is way too low. Typically ARPU is calculated over a certain period of time (monthly, quarterly, yearly).