Sunday, December 6, 2009

Where do social networking sites get their revenue from?

I was just really wondering where social networking sites such as Myspace and Facebook.com get their revenue from. this question came to me while on Cnbc.com and i saw that microsoft was considering purchasing facebook.com for $6 billion. and it said that facebook was worth well over 2 billion. it is free to join these sites so where does the revenue come from?



Where do social networking sites get their revenue from?adult myspace





advertising on the website. pay-per-click, consumer surveys, and commercials. they can also sell demographic information. if 95% of the 15 year olds on the site do a certain thing, that info is valuable and can be sold.



Where do social networking sites get their revenue from?bad girls club myspace.com



Advertising! Companies will pay big bucks when the audience is 150 million people.
More social networks are moving to subscriber because they offer more value

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