We emphasize it quite often here: the digital advertising market is really thriving, and more particularly on mobile thanks to social networks. According to third quarter figures, Meta saw its revenue increase by 23%, generating a profit of $11.6 billion. That is to say more than double than a year earlier!
When you own platforms like Facebook, Instagram, Threads, Messenger and WhatsApp, advertising obviously plays a crucial role and the time users spend on their smartphone can only boost results. Last third quarter, views on advertising content increased by 31% compared to last year.
With more and more advertising on social networks, strong growth in the number of impressions and the arrival on the market of new countries where monetization is quite low, the average price per ad has fallen by 6%.
Lower costs at Meta
The number of advertising impressions alone does not explain the drop in prices at Facebook’s parent company. The record profits made are also linked to a drop in spending of 7% in one year, or $20.4 billion less. How ? By adjusting its organization and reducing its workforce by a third.
As the number of users is growing, Meta can count on these 3.14 billion people connected daily to one of its services. More broadly, the company estimates that around four billion Internet users use one of its applications at least once a month.
And to finish this little optimization, the web giant is obviously banking on artificial intelligence to gain efficiency and reduce its costs a little further. According to Mark Zuckerberg, the use of chatbots is still in its infancy and we will still have to be patient before we see hundreds of millions of people using them fully.
New hires?
Building on its good results as the end of the year approaches, Meta should consider recruiting again, but for strategic positions related to AI. Logic !