Monday, May 4, 2015

Facebook Introduces New Revenue Sharing Formula





Facebook has decided to let publishers earn all the revenue from some advertisements. Facebook news reported that the management of the service provider believes that this measure would increase the amount of content posted on the network. This report tells us about the objective of the new financial policy.
Many users do not only post material but also publish links on the social media platform, which allow the readers to verify the posted information. These links have attracted online traffic for news sites, but cellular phone users often suffer from the difficulties of using these resources.
Facebook news today informed that this income distribution initiative has been taken to speed up the process for phone users, which indicate that the media manager wants to attract more telecom customers. It also intends to provide videos and news from a number of publishers, such as the New York Times, Buzz Feed, and National Geographic channels. Market sources have highlighted that this new initiative has attracted some publishers, which are known for getting most of the traffic through the reference of the social platform.
The ‘Pew Research Center’ conducted a survey to assess the media service. The survey found out that 48% of respondents agreed they read news about government and politics on Facebook in the past week, about the same proportion of users got news from television. The findings infer that the platform serves the interests of many newsreaders.
The management of the company shared the news regarding the income earned from the sale of advertisements. Facebook breaking news affirmed that if the network sells the online advertisement, then it would earn 30% of the revenue. The network would keep approximately 30% of the proceeds from the supply of ads, which explains that the platform’s owners would not allow publishers to earn all the receivables.
Experts believe that the new policies of the network would persuade users to be more active on the communication channel. Company sources revealed that the ad formatting and measurement details have not been disclosed. It is probable that the management would want publishers to employ their own high-tech advertising products, such as Live Rail and Atlas. Some publishers have not been satisfied by its plans due to their interest in controlling their user’s experience. Previously, publishers have not been impressed by the policy changes.
The company is interested in expanding its market share in the competitive field of social media. Now it is yet to be seen that to what extent its income sharing formula is able to attract its networking users.

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