EyeSee

Although Facebook popularity was exploding globally they were still in start-up mode as a company, with negative cash flow.They had to borrow to expand and maintain their data centers, which cost about $25 million to run.

Sheryl Sandberg came on board about a year ago and things began to take a turn. Facebook was no longer a company run by a bunch of kids but had a COO that was there to turn Facebook into a very profitable business.

So who is Sheryl Sandberg anyway? She is a Harvard graduate who was the V.P. of Global Online Sales and Operations at Google.  I think that about sums it up.

Facebook has finally announced that it is cash flow positive this quarter which means that they are no longer relying on investors to fund their development and growth but are generating revenue themselves.

How are they getting this revenue as Facebook is still FREE. This revenue comes via their ad network, Facebook Ads.

I have tried this a few times and have to say that I quite like it. I have the ability to target very specifically to age, gender, geographic location, profession and more. They have gone up in price from 23cents per click to 43 cents per click, however still much cheaper than most forms of advertising out there. They offer analytics and tools to track various campaigns, goal setting and much more.

The virtual gifts are still a high runner, $75Million this year.

So if you are a traditional business and your target market is on Facebook then it’s worth your while to participate there and run a few ads.

Tags: facebook, Facebook business

This entry was posted on Monday, November 30th, 2009 at 5:51 am and is filed under Facebook. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.