Brands are boycotting Facebook – but will that hurt? Know Facebook's business model.

Top tier brands are boycotting Facebook over its handling of hate speech and misinformation.
They will stop running ads in the month of July.

Some names include: Unilever, Verizon, Starbucks, Diageo
How badly it will hurt Facebook?
Not much.
Why? Let’s understand Facebook’s business model.
Facebook makes money mainly from ads.
Isn’t that scary? What if top brands stop spending $$ on Facebook?
Well. Top 100 brands contribute to only 6% of the revenue.
Facebook makes all of its money from small and medium businesses
That is, a very long tail of customers (tens of thousands of advertisers)
And that’s difficult to disrupt.

Sign Up for NextBigWhat Newsletter

Daily.

You May Also Like

UK man claims to have invented new aluminium-air battery with 2400 km range

Trevor Jackson, a UK-based ex-naval officer and now an inventor, claims to have invented a new aluminium-air battery (different from the standard lithium-ion battery) which he says has a 2400 km range on a single charge. As you can imagine, this is a massive jump from the 300 km range as promised in many expensive top-tier electric cars with li-ion batteries. And aluminium happens to be one of the most abundantly available elements on the planet. The inventor says that it weighs lesser and occupies lesser space as compared to li-ion batteries and is also non-hazardous and recyclable. Sound too good to be true? We’ll keep following this story as it develops. Check out the original story published by the Daily Mail UK.