Facebook-Business-Model-Animated

How Facebook Made Money In 2017 [Animated]

Facebook is one of the most profitable digital advertising businesses ever existed. In fact, even though there are several sources of income, most of the revenue generation from its business model comes from advertising:

data in $ billion 2015 2016 2017
Advertising 17.079 26.885 39.942
Payments and other fees 849 753 711
Total revenues 17.928 27.638 40.653

1. Advertising (over 98% of revenues)it consists of displaying ad products on Facebook, Instagram, Messenger, and third-party 

2. Payments and other fees (almost 2% of total revenues):  it consists of the net fee received from developers using Payments infrastructure or revenue from the delivery of virtual reality platform devices and others

As highlighted on Facebook annual report for 2017:

how-facebook-made-money-in-2017

facebook-revenues-breakdown-by-geography

Source: How Does Facebook Make Money? Facebook Hidden Revenue Generation Model

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Published by

Gennaro Cuofano

Creator of FourWeekMBA.com | Head of Business Development at WordLift.io | International MBA

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