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The total number of minutes spent by U.S. users on Facebook (FB) fell 5% M/M in August, per...

The total number of minutes spent by U.S. users on Facebook (FB) fell 5% M/M in August, per comScore, as a 3% increase in mobile use (now 43% of total) was more than offset by a 13% drop in PC use. Facebook reported a 2% Y/Y drop in U.S. ad impressions for Q2 thanks to the mobile shift, and it looks as if that trend could worsen. The problem isn't just mobile monetization (challenging, but with encouraging early results), but the fact mobile users don't spend hours at a time logged in the way PC users often do. (also: I, II)
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Comments (2)
  • Chris Lau
    , contributor
    Comments (2524) | Send Message
     
    (FB) is facing the same problems as (NFLX) conceptually: They need to replace a non-working non-profitable business model with one that is profitable and within an upward trajectory. That's mobile...but mobile profitability is contradictory for facebook. They're partly on the right path with Instagram but they're not yet following-through. Let's see how their mobile strategy unfolds. (disclosure: my take here http://seekingalpha.co... )
    27 Sep 2012, 02:42 PM Reply Like
  • TrojanRay
    , contributor
    Comments (7) | Send Message
     
    Sadly, FB might be worst in the sense that the 'profitable' model might entail tons of 'ads'. If I remember correctly, MySpace's initial downfall started when the site started becoming more "spam" oriented.
    27 Sep 2012, 03:38 PM Reply Like
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