Report on Facebook

Facebook Project November 14, 2012

SWOT Analysis of Facebook.

Strengths

• Number of users

• Company awareness

• Global reach

• Market leader in Social Media Opportunity

• Mobile advertising

• Facebook Marketplace

• Can become the most used email globally

• Advertising from business directly to target markets

Weakness

• No customer service

• Timeline switch is permanent

• No video chat option

• No customization options for users Threats

• Twitter

• Google+

• Monetizing users

• Privacy settings

When looking into buying into Facebook a corporate suitor would know that Facebook holds the biggest market share in the social media marketplace. Facebook has 100 billion online hits per day, has 500 million active users, 50 billion photos, and stores 130 TB of log info every day. Facebook has perfected advertising for companies since it allows these companies to not only create pages that will allow people to stay connected to the advertising company, but also it allows the company to directly interact with its target market. For example, a small clothing company creates a Facebook page; on this page people that recognize the brand will follow the company. This allows the company to see who is on the page and the demographics of the people that are on the page. In turn allowing the small clothing company to market exclusively to its target market.

The strengths of Facebook are the number of users, company awareness, the company’s global reach, and that Facebook is the market leader in social media. Facebook has 500 million active users allowing advertisers to reach more people at the same time than ever before. Facebook not only is the market leader in social media, but they are also constantly innovating and changing things for the users. The 500 million users allow the Facebook brand to be seen globally, attracting new and consistent advertisers.

The main weakness of Facebook is that they have no customer service for users. Facebook relies on the FAQ’s to answer all users questions. If users cannot find the answer to a question they are left to turn to other users for answers. Facebook also lacks a video chat feature that would entice users to remain