Facebook 2011 Revs To Hit $4.27B
Worldwide, revenues at Facebook will more than double from $2 billion in 2010 to $4.27 billion in 2011, according to new eMarketer estimates.
Making all the difference, Facebook is expected to earn $3.8 billion in advertising revenue this year -- up 104% from $1.86 billion in 2010, eMarketer predicts. Indeed, while ads represented an estimated 95% of Facebook's total revenue in 2009, the channel is expected to fall to 89% of total revenue this year.
Revenue from Facebook Credits, by contrast, will grow to 11% of the company's total revenues in 2011 -- compared to 7% in 2010.
"Facebook's revenue streams will continue to diversify, with ads representing a decreasing proportion of total revenue while other sources, such as Facebook Credits, will grow," according to Debra Aho Williamson, eMarketer principal analyst. "While still key to Facebook's business model, advertising is slowly losing ground to other revenue streams."
Overall, revenues from Facebook Credits program is expected to reach $470 million in 2011 -- up from $140 million last year. eMarketer estimates that Facebook will slightly surpass earlier expectations next year -- earning an estimated $5.78 billion worldwide in ad revenue that year.
In the U.S., Facebook is expected to earn $2.01 billion in ad revenues in 2011, the company predicts. The company's share of the $12.33 billion U.S. display ad market will reach 16.3% in 2011.
Also of note, eMarketer's estimates for U.S. display ad revenue at Google, Microsoft, AOL and Yahoo were not affected by this forecast.
This is the first time eMarketer has published an estimate for overall revenues at Facebook and provided an estimate for the company's earnings from Credits.
eMarketer forms its estimates for advertising spending on Facebook through a meta-analysis of estimates of consumer usage, marketer usage, ad pricing and impressions on Facebook. It also tallies revenue estimates from research firms and other sources.
0 comments on "Facebook 2011 Revs To Hit $4.27B".
Leave a Comment
Recent Online Media Daily Articles
-
MediaVest Database Charts Brand Experience, Social Media Impact May 23, 12:11 p.m.
After a year-long research effort, Publicis Groupe’s MediaVest has created a massive database designed to help ... -
Discovery Launches TestTube.com, Ups Digital Video Involvement May 23, 11:27 a.m.
Discovery Communications is looking to get into the digital video platforms in a big way -- ... -
Network Advertising Initiative Proposes New Mobile Privacy Rules May 22, 9:03 p.m.
Moving forward with its plan to issue mobile privacy rules, the self-regulatory group Network Advertising Initiative ... -
Entertainment, Travel Bet On Mobile Banners May 22, 4:16 p.m.
Banner ads have long been the whipping boy of online advertising, and the same is now ... -
Marketers Should Tailor Specific Pitches To Tablet, Smartphone May 22, 2:51 p.m.
Don’t lump tablets in with mobile. That’s the takeaway of a new Forrester study looking at ... -
Good TV Content Trumps All, Trad TV Or Streaming May 22, 2:42 p.m.
While consumers continue to perceive TV programming as superior in quality to that of online fare, ... -
Google Releases Self-Serve Display Benchmark Tool May 22, 2:02 p.m.
Understanding how a brand's online campaign competes with competitors requires trending benchmark data like engagement rates ... -
Twitter Brings Lead Generation To Tweets May 22, 1:14 p.m.
Twitter began testing a lead generation tool Wednesday in its tweet stream that resembles a cross ... -
DigitasLBi, Razorfish Tap Execs For Global Ops May 22, 11:26 a.m.
Publicis Groupe digital agencies DigitasLBi and Razorfish have installed new executives to run their respective international ... -
More Consumers Turn To Mobile To Research, Book Travel May 22, 8:53 a.m.
More than half of consumers used a mobile device to book travel in the last 90 ...
I appreciate the fact that Facebook users may be who they say they really are (unlike Twitter where people create several bogus accounts). Not crazy about some of the relationship and "friend" update visual changes to FB, but it's my fav social network so far. Glad to hear about their (and anyone's) success.
Rhonda
www.chistell.com