Saturday 14 June 2014

Is Facebook trying to be the next Google?

After Facebook changed their news-feed algorithm to reduce organic reach to to 2% or 1%, the first thing that came to mind was Google.
Remember when marketers preached SEO all day long, and how your Website should be on the first page of Google search results?
Here's why I never really paid attention to those so-called SEO gurus.
Google changes its search algorithm around 500–600 times each year, so if your Website does make it to the top of Mount Everest one day, there's a good chance it will come down the next.
So why does Google change their algorithmic pagerank so often?
One reason is to prevent spammy SEO tricks by sneaky scumbags.
Another reason is Google Adwords!
In other words, advertising money. And lot's of it.
We're talking about $14.04 billion of advertising revenue, as reported in their first quarter results of 2014.
After Facebook officially announced that they expect organic reach to gradually decline, they claimed to having carried out the algorithmic changes to weed out spammy, non-engaging content.
But in an official document, titled "Generating business results on Facebook," theyrecommended brands should consider paid content distribution in order to avoid the new organic limitation and "to maximize delivery of your message in news feed."
How much did Facebook report in advertising revenue since the algorithmic changes?
In the first quarter of 2014, they claimed advertising revenues of $2.2 billion. Not too shabby.
But according to Social Bakers' 2014 First Quarter Ad Report, now, 92% of social marketers report that they are using Facebook for advertising.
So there's no telling how well they will do next quarter.
Is Facebook really following the steps of Google?
Short answer is yes. Let me prove it to you even further.
What makes Facebook remind me of Google the most is the $22 billion spent on acquisitions in the last 6 years.
Just how much did Google spend on acquisitions in the same time period? Also $22 billion!
Did a light bulb just pop up? I hope so.
I'll let the below infographics do the rest of the talking.

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