Chinese Commercial News reporter Kim Lin
a few days ago, the world’s largest social networking site Facebook announced the first financial report after the listing, unfortunately, the fact confirms the fears of the outside of their loss. The data show that the second quarter of this year, Facebook revenues of $ 1.18 billion, a net loss of $ 157 million. Yesterday, Facebook, Chinese students – everyone company announced second-quarter results also showed that its net loss of $ 24.9 million.
flow rate increases but does not produce profits
flow realizable Internet companies have to consider a problem. Can not produce the advertising value and commercial value of the flow of industrial waste water, only to occupy your costs, not bring you profit. Flow does not mean that the commercial value of really good business model is the variable cash flow, which is the soft underbelly of the social networking site.
everyone in the second quarter results, its active users, has increased by 124 million as of June 30, 2011 to June 30, 2012, 162 million. However, online advertising revenue in the second quarter of only $ 15.1 million, down 10.5 percent from a year earlier. The company said the decline in advertising revenue because of poor macroeconomic brand advertisers to reduce everyone (microblogging) advertising investment, with industry competition, the continued migration of user traffic from the PC to the mobile terminal. Recently everyone company Seeing an internationally renowned social talent site LinkedIn shares rose, recruitment is perhaps a blue ocean under the social networking site, so everyone is the company a few days ago launched a recruitment platform for university graduates and everyone recruitment “.
Facebook, stock prices to new lows
listed at the beginning, everyone claims to Facebook imitators, however, Facebook have not fared well in recent The second quarter of this year, Facebook revenues of $ 1,180,000,000, a net loss of $ 157 million. At the same time, the company’s quarterly advertising revenue of $ 992 million, an increase of 28 percent over the same period last year. Earnings to explain the loss is caused by too large costs associated with equity awards, but investors are not satisfied. After the earnings release, Facebook shares to new lows, down nearly 12 percent from the $ 38 listed listing price fallen by 1/3 full, nearly $ 10 billion market value evaporated.
Facebook share price fell, mainly due to investors questioned its business model. The analyst said, “Although the people of the world’s seventh in the use of Facebook, but can not make the satisfaction of the advertisers, because Facebook user published content is very private, this is precisely the brand advertisers grievances: they believe Facebook users are fully immersed in their favorite reading content, turning a blind eye to brand advertising.
business model should continue to explore
in the exploration of business models, all network out a path different from the Facebook. Despite its advertising revenue declined, but in the second quarter gaming revenues of $ 22.5 million, an increase of 122.1% higher than the same period last year.
Analysys International (microblogging), Dong Xu, an analyst at the Chinese Commercial News reporters in an interview that that the has not mature, the business model of the social networking site. Everyone advertising revenue to decline in both the poor macro-economic reasons, but also has its own reason. As compared with the big Internet companies, everyone user is relatively vertical, audience reach is relatively incomplete. Everyone is advertising a small number of failed formation of scale. “
in fact, are still struggling business model to explore not just everyone company, the largest microblogging operating platform Sina still groping.the the