How did Facebook, a social networking site, become a success?

0

Currently, as the world is continuously moving towards digital, only a group of people are not using Facebook, a social networking site. Initially, Facebook was only for students, but gradually became an essential tool for daily socializing and business professionals.

As a small business owner, you can use Facebook to hire like-minded people, get new customers, or get insight into how your competitors are performing. On the other hand, you do not need to create a new Facebook profile for all these purposes.

Mark Zuckerberg and three other Harvard University students introduced Facebook to the world in 2004. Meta Platforms now owns this American online social networking site. You can use Facebook for free, but the company earns huge revenue because people pay the platform to run their ads. After creating an account on Facebook, a user can upload photos, join groups and create one.

Facebook aims to promote positivity and encourages its users as it considers it vital for maintaining interpersonal relationships and exchanging information and suggestions, which empowers the whole society. It’s easier for businesses to connect with their customers and learn their preferences.

In this article, we will explain how a social networking site like Facebook became a success, how it started, its business strategies and much more if you stick with us till the end.

What is Facebook Startup Story?

Facebook is an online social networking site based in the United States launched on October 28, 2003, and owned by Meta Platforms. This site has various features, like a timeline or a wall where you can post content to your friend’s profile, a news feed with stories, content your friends have posted, pages you like or posts groups of which you are a member. Friends can message each other. In December 2004, Facebook had one million active members.

Facebook is therefore basically used to communicate with other people through messages or calls. Even you can like content, comment on posts and share them. Anyone over the age of 13 can join Facebook with a valid email account. In October 2021, Facebook announced that it was changing its name to Metaverse.
Facebook industry

The Facebook industry earns a substantial income by allowing companies to advertise their products or services. According to statista.com, in the second quarter of 2022, Meta’s net worth was US$6.68 billion, down more than 34% from 2021.

Due to the pandemic, businesses have changed a lot and are still recovering from the results of Covid-19. Additionally, many people started online businesses during a pandemic to manage their expenses and used Facebook primarily for advertising.

The Facebook name, logo and slogan

David Kirkpatrick’s book “The Facebook Effect” mentions that the co-founders chose the name Facebook because every Harvard student received it, which had photos of their classmates and was called Facebook.

Most Harvard University students were given face directories, containing names and photos of individuals, and distributed among university students so they could get to know each other. So the goal is to connect people with their friends and family; this is where the name “Facebook” was born.

The Facebook logo is a small F sign on the Facebook site and mobile app as well. At first, Facebook’s slogan was “It’s free and always will be”, and it introduced a new one, “It’s quick and easy”. Facebook didn’t make an official announcement after changing its tagline and didn’t even give a reason behind it.

The founding team behind Facebook
The founding members of Facebook are Mark Zuckerberg, Andrew McCollum, Chris Hughes, Dustin Moskovitz and Eduardo Saverin.
Mark Zuckerberg

Mark Zuckerberg is an American entrepreneur, philanthropist and media mogul. The world knows him for co-founding Meta Platforms, formerly known as Facebook. Mark is the Chairman, CEO and controlling shareholder of Facebook. Additionally, he co-founded Breakthrough Starshot, a solar-powered spacecraft development initiative, and is a member of its board.

Andrew McCollum

Prior to joining Philo, Andrew was part of the founding team of Facebook and had an interest in social product design. However, Andrew McCollum was an early investor in Philo, an entertainment-focused OTT streaming service, before becoming its CEO in 2014. In the past, Andrew was also on its board of directors leading its co-founders .

Chris Hughes

Chris Hughes is part of the Harvard co-founding team of online social networking site Facebook. Similarly, Chris was also the editor and publisher of The New Republic from 2012 to 2016. In June 2019, he criticized Facebook for launching Libra, a cryptocurrency.

Dustin Moskovitz

Dustin Moskovitz is part of the co-founding team of Facebook and also the current CEO and co-founder of Asana, Good Ventures and Open Philanthropy Project.

Edouardo Saverin

Eduardo Saverin is part of the co-founding team and the first investors of Facebook. He is always interested in investing his money in technical developments and is co-founder and partner of B Capital Group.
Facebook mission and vision

Facebook’s mission is to bring people together and empower them to build strong relationships and a great community. However, Facebook’s vision statement also has a purpose because it means that “people use Facebook to stay in touch with friends and family, and also to understand what’s new with them, and to share and express what’s matters to them. “Thus, the company is worth more than a social networking platform because it helps in gathering information and exchanging meaningful conversations among its users.

Facebook as an advertising tool
A large number of people use Facebook from time to time, so it is considered the most powerful tool for advertisements and promotions. A study shows that Facebook has more than 2.91 billion active users, so it is the best tool to promote any business. Facebook can connect you with millions of people through its page and provides information about your business, an upcoming event, or any product or service. Facebook has its potential users so your Facebook ads will help you reach the maximum number of people around the world. It gives small business owners the ability to grow and promote their services, drive sales, and increase customer support through the Facebook platform.
Facebook business and revenue model

Undoubtedly, Facebook makes most of the money by allowing businesses to display their ads on Facebook. Ads accounted for nearly 98% of Facebook’s $86 billion in revenue in 2020. The remaining 2% of earnings came from Oculus and Portal device sales and developer payment fees.

Facebook’s business technique is to facilitate its products and technologies to billions of users for free. It makes money by allowing companies to show their ads to Facebook users. Thus, people who use Facebook’s services do not pay for it. The small businesses that advertise their products are Facebook’s real customers.
Facebook monthly active users increase

In one quarter of 2012, Facebook’s number of registered users grew to over one billion, making it the first social network to achieve this feat. The company announced at the beginning of 2021 that nearly 3.51 billion people use its virtual platforms like Facebook, WhatsApp, Instagram or Messenger each month. In 2006, Facebook started with just 150 people working at the same company, over time it has grown incredibly to 71,970 full-time employees by December 2021.
Challenges Facebook has faced
Facebook is a major and important platform that many users have criticized. This event happened due to internet privacy, facial recognition software, unlimited data retention, people using it too much, employers accessing their staff accounts and the primary function of Facebook challenges it faces.

As a result, Facebook has been harshly criticized for consuming electricity, paying less taxes, asking users to verify their real names, censorship regulations, and participating in the US surveillance program PRISM.

People who scroll a lot on Facebook turn out to be jealous, tense, dependent and negative people who lack focus. Facebook does not prevent its users from posting illegal or indecent content and has been condemned for doing so. There are no laws regarding downloading content against copyright and intellectual property infringement, hate speech, terrorism, rape, crimes, rape, murder and the dissemination of violent content live on Facebook.

To find peace after anti-Muslim violence, Sri Lanka shut down WhatsApp and Facebook services in May 2019. Facebook worked to remove 3 billion fake accounts in 2018 and 2019.
Facebook’s Future Plans
Mark Zuckerberg renamed Facebook “Meta” and announced that the company would be “metaverse first,” and you won’t need a Facebook profile to use other Meta products in the future. Moreover, Mark Zuckerberg still thinks that a lot of work is needed to grow Facebook.

Going forward, the company will split its plans into two strands: one for its future platform attempts and the other for its app family. Their priority will be to spread their company identity over time instead of just associating it with a single product or service.

Share.

Comments are closed.