Posted on 23 April 2012
Facebook made an average $1.21 per user between Jan.1 and March 31 — a 6 percent increase from the first quarter of 2011– according to an updated filing with the Securities and Exchange commission.
The social network today reported revenues of $1.058 billion for the first quarter of the calendar year. That’s a 45 percent increase from the first quarter last year, but 6 percent less than the previous quarter. It also revealed it had 901 million monthly active users and 526 million daily active users as of March 31 — a 33 percent increase in MAUs and 41 percent increase in DAUs year over year.
Facebook reported that average revenue per user increased across all geographies, but it is also beginning to better monetize outside the U.S. In this most recent quarter, 50 percent of the company’s revenue was generated by users in the U.S. and Canada. That’s down from 2 percent from 2011 and 8 percent from 2010. Facebook notes that revenue growth particularly picked up in Germany, Brazil, Australia and India.
Facebook attributes the slight decline in revenue this quarter over last to seasonal trends. Advertising spending is typically highest in Q4 as a result of the holidays and companies using up their remaining budgets. At the end of February, Facebook introduced a number of new premium advertising options, including logout page ads, Reach Generator and Sponsored Stories that appear in the mobile News Feed. The effects of those products on revenue likely won’t be seen until next quarter, if not the end of the year.
The social network also updated its daily engagement statistic to 3.2 billion Likes and comments per day. In Q4 2011, the social network was generating 2.7 billion Likes and comments per day. It noted that there were 488 million users engaged with Facebook mobile products in March 2012. This is up about 13 percent since three months ago.
Facebook is expected to make its initial public offering on the NASDAQ in mid-May.
Article courtesy of Inside Facebook
Posted on 09 November 2010
Amazon is announcing new revenue share terms for Kindle magazine and newspaper publishers. According to a release, for each magazine or newspaper sold, publishers will be able to earn 70 percent of retail sales on the Kindle (net of delivery costs, notes Amazon). This is a significant change from previous terms, in which Amazon apparently took as much as 70% of subscription revenue from magazine and newspaper publishers.
Newspaper and magazine publishers must meet a number of qualifications to be eligible for the 70-30 revenue share, including the ability to read the publications on all Kindle devices and applications (The Kindle, Android, iPhone, iPad etc.) Consumers must also be able to read the content in all geographies for which the publisher has rights. Amazon says that these new 70-percent royalty terms will become available on December 1, 2010.
Peter Larsen, Director of Kindle Periodicals, says in a statement: “Building on the recent introduction of Wi-Fi-enabled Kindles and the upcoming availability of newspapers and magazines on Kindle Apps, we’re pleased to add an increased revenue share and a great new tool for making Kindle better and easier than ever for publishers.”
Amazon also announced the Beta release of the Kindle Publishing for Periodicals tool, which allows publishers to quickly and easily add their newspaper or magazine to the Kindle Store. It’s similar to Kindle Digital Text tool for books. Publishers can create their account, add content and preview Kindle formatting prior to making their titles available.
Many had complained about Amazon’s policies as being unfavorable towards the newspaper and magazine businesses, which as we all know, need all the help they can get in terms of revenue. And having a competitive revenue offering will no doubt encourage more publishers to format content for Amazon, as competitors like the Nook and the iPad join the Kindle in the e-book wars.
Article courtesy of TechCrunch