In this post, we explore the key elements of Facebook business growth strategy. Facebook has distinct set of strategies for its users, marketers, and developers. For users, Facebook strategy elements include expansion of the user community, offering new products to the users, and increasing the user engagement. For marketers, Facebook strategy elements include increasing number of marketers, increasing spend per marketer, and improving the advertising solutions. For developers, Facebook strategy elements include expansion of developer community, improving the development tools and APIs and improving the Facebook payment infrastructure.
Facebook Strategy For Users
1. Expand the user community. Increase the number of users across geographies. As the number of users saturates in the developed markets, expand further into the developing markets. Invest in initiatives such as making Facebook accessible on feature phones, reducing the amount of data required to utilize Facebook service, and increasing the number of people who have access to the Internet through industry partnerships such as Internet.org. More users will help provide more reach for the marketers.
2. Offer new products to the users. Invest in building new and engaging social products for the users that enable them to connect and share through mobile devices and personal computers. Make acquisitions when needed.
3. Increase the user engagement. Launch initiatives to increase the user engagement levels so that users visit Facebook website and mobile apps more often and spend more time on them. Continue to invest in improving existing products such as News Feed, Timeline, Graph Search, Instagram, and Messenger to drive the user engagement levels upwards. More engaged users will help attract more marketers.
Facebook Strategy For Marketers
1. Increase number of marketers. More marketers means more paying customers. Invest in the advertising solutions to attract more marketers to work with Facebook.
2. Continue to improve advertising solutions. Enhance the marketer’s ability to make their advertising more relevant for the users. Continue to invest in analytics and measurement tools so as to improve the marketers’ ad campaigns effectiveness. Continue to make a balance between monetization objectives and optimizing the user experience.
3. Increase spend per marketers. Help marketers target their ads more effectively so as to increase their return on ad spend. Improved targeting will help increase the ads CPC (Cost Per Click) rates. Better returns over Facebook as compared to other advertising channels will help grow the ad spend per marketer.
Facebook Strategy For Developers
1. Expand developer community. Grow the number of developers developing apps for the Facebook platform. More developers will help increase the number of apps. More engaging developer apps will help increase the time users spend on Facebook.
2. Improve the development tools and APIs. Support the developer efforts to build, grow, and monetize their mobile and web applications for the Facebook platform. Launch new developer tools and APIs so that they develop new and engaging social apps for the users.
3. Improve the Facebook payment infrastructure. Invest in enhancing the payment offerings and in making the payments as convenient as possible.