It might sound crazy. You will say Facebook is Free. We don't pay anything to Facebook to use Facebook. Nice! It sounds great and obvious you don't pay any single penny to Facebook. Then, how does Facebook make Money? Does Facebook Sell your data? What is the business module of Facebook? How Facebook became a big valuable company?
Ok fine! I am Ujjaval Kapoor, Certified Digital Marketer and Startup Consultant. I will tell you everything here. Ok Lets Go and Find out all the answers one by one.
Again Facebook is paid or free? Answer is Facebook is Free for users and paid for Business. Means, If you want to register as a Facebook User and connect with your family and friends and want to do social networking. All Good. It is completely free for you.
But if you are a marketer and want to promote your product or business at Facebook. It is partially Free and more likely to paid for businesses. You can run paid advertisements and target an audience, who might be potential buyers of your products. Hence Facebook is a paid tool for a business.
So it is clear now to you. Facebook is Free and Paid both. Ok wait, You can smile now. But the next answer is more interesting.
Next one is : how does Facebook make Money? Facebook makes money by running paid advertisements over his platform. Next time when you see a post with a Sponsored tag. That is paid Ad, And the ad related to particular brand is paying money to Show you ad. There are two words “Organic” and “Paid ”. When you show interest in something like food related pages and travel related pages and you like the page. Next time any update from that page will show at your timeline and in your notification area. This is called Organic reach or organic content. Organic content is free.
But at the same time you see Ads from Oyo rooms, and ads from travel agencies. You don't follow their page, still you watch the Update and promotion from those companies. With the tag of Sponsored. It is Paid Advertisement. And money comes to Facebook from Paid Advertisements.
Now you know how does Facebook make money? Then what next? Does Facebook sell your data? Answer is clearly NO! Facebook doesn't sell data to anyone. As they said. Facebook sells your interest. Yes, Facebook Sells your interest to marketer. If you are interested in travelling. You are the right audience for Hotels and Travel agencies. If you are interested in Business then you are the right audience for Banks and Loan Providers, Luxury Good sellers, Motivational Speakers and Business Consultant.
Facebook doesn't sell your data. It will show you Ads based on your interest and you decide to click that ad or not.
I hope now you understand better about Facebook Business Module. If you have any query related to this blog feel free to contact us.
If you are thinking to promote your business at Facebook. Then Yes! Digital Baba is here to Help you. You can hire us as your Branding Agency. We will help you to Grow using Facebook Marketing.
Thanks with Smile
Founder and CTO