Is Facebook too Big to Fail?

Last Update: July 14, 2020

I am sure by now, you heard of the news of Facebook ad boycott by advertisers.

We will see how things unfold as Facebook responds to these actions.

The billion dollar questions is...

Is Facebook Too Big To Fail?

The chart below shows Facebook's advertising revenue by the New York Times.


Quarterly revenue hit a high of $20 Billion in the 4th quarter of 2019. This record breaking feat will now slow down due to the boycott.

What would the impact be?

We are talking big money here but will this be a small dip and then business as usual for Facebook?

Can any boycott make a dent to Facebook?

How will the market react?

In a competitive world, some advertisers may see this as an opportunity when their competitors boycott.

Sure, Facebook will respond to this but we won't get into the politics here. You can read about that in the news.

As a small business and affiliate marketer, we need to grow out business as well and advertising is one way.

Do you advertise on Facebook?

Will you advertise on Facebook?

Will other social media companies that advantage and fill the gap that this incident creates?

Will the dynamics of online advertising change?

Share with us your experience and insights in the discussion below.



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Talk2Ray Premium
I wouldn't say they were too big to fail, but things change and there will be another new thing in the horizon one day.
I definitely would not depend on them because it puts all our eggs in one basket and if they failed we would have to start all over.
Just thinking.
Ray
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Stanleycmng Premium
Thanks for sharing your views. Appreciate it, Ray.
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JossLandry Premium
Wouldn't it be great if all businesses boycotted at the same time? However, I think you're right, Stanley. Some people will take advantage of the situation. Those who do should remember that Mark Zuckerberg might be part of a bigger group of people who are running the show behind the scenes. I don't believe he is acting of his own free will and that he has the permission to decide one way or another. We say that he founded Facebook, utterly by accident. We have all heard the story. But trust me, a business that wasn't a business, not monetized until 2012 doesn't rise to these heights in a little under a decade without backers and serious investors pulling the strings. They have the last word in all of this. I love that you tackled this, Stanley. Here is my humble opinion: perhaps the world should look into shaping and building a new Facebook site. Something with the heart of Wealthy Affiliates.
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Stanleycmng Premium
You are absolutely right about the invisible parties behind the poster boy. Happens all the time. Makes a great story and those involved lost of $$$. We can only speculate. Having alternatives and choices is always good. However, today there are several tech “monopolies” that are bigger than many countries.
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JossLandry Premium
I agree. Too many tech monopolies. Facebook also owns Instagram. And Google bought Youtube in 2006 for 1.5 billion. Social media has become an oligopoly, where they work mostly to influence the masses while their secondary goal is to discretely collect the money. I believe if a great number of people left Facebook, individuals and small companies, this would be a greater blow to Zuckerberg and his friends. Furthermore, I see the possibility of Social media turning more toward a market of communities. For instance, authors no longer rely on Facebook to promote their books. They have launched multiple book groups that are doing quite well actually. I think people are ready to try newly launched ventures.
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JrzyGrlBJ Premium
I don't have an advertising budget, so no I don't and won't.
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Stanleycmng Premium
Going the organic way and word of mouth... 👍🏼
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JrzyGrlBJ Premium
Yes Stanley, I am trying to.
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chrisvs Premium
I have never had much success with paid ads on Facebook except successfully lowering my bank balance even with very well optimized and targeted ads. I have some results from friends I know personally recommending my site on facebook. That's the way it's going to be going forward.
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Stanleycmng Premium
By transferring $ from you and many others to their bank account is how they made billions.
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Tomoko1 Premium
I did not know that Facebook had any paid ads. But we are able to advertise on Facebook free of charge?
Thank you.
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chrisvs Premium
All you have from Facebook is you are allowed to create a business page and develop a following there, who hopefully will become customers.

Also when your personal friends recommend your products to their followers and friends, you get more business for free.

Chris
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Tomoko1 Premium
Thank you for providing me information.
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