Facebook has reported impressive earnings boom from mobile advertising in the first quarter of 2014.
The social network reported revenue of $2.50 billion for the first quarter of 2014, up 72 per cent from Q1 2013.
Revenue from advertising was $2.27 billion, up 82 per cent since 2013. Mobile advertising revenue represented approximately 59 per cent of advertising revenue for the first quarter of 2014, an estimated increase of 30 per cent of advertising revenue since the first quarter of 2013.
The network’s average daily active users were 802 million for March 2014, an increase of 21 per cent year-over-year. Plus, there has been a significant increase of 43 per cent year-over-year from mobile daily active users, reaching 609 million.
Mark Zuckerberg, founder and CEO of Facebook, commented on the news: “Facebook’s business is strong and growing, and this quarter was a great start to 2014. We’ve made some long term bets on the future while staying focused on executing and improving our core products and business. We’re in great position to continue making progress towards our mission.”
Rupert Staines, MD Europe at RadiumOne, said: “These are exciting times for digital businesses and Facebook is no exception. They rightly recognise users’ consumption habits are shifting increasingly to mobile. They need to show they can monetise this but user’s privacy concerns remain high.
“Advertisers want results but they also want transparency and control over how their money is spent. Users will accept advertising that is relevant and good, at the right time on whatever device they are using. Facebook is a part of this but only a relative part of a user’s increasingly fragmented media consumption so it’s important to understand the bigger online picture.”
