Despite some recent difficulties (click here), Facebook remains a dominant social media platform. It has been affected by privacy issues. Its policies about advertising, And a lack of transparency. Thus, Facebook is studying several new initiatives. One question to ask consumers: Would members pay for an ad-free Facebook experience? [Would YOU be willing to pay for an ad-free Facebook?]
Would Members Pay for an Ad-Free Facebook Experience?
To answer this question, let us turn to observations from Debra Aho Williamson. As she writes for eMarketer:
“Is an ad-free Facebook a feasible strategy? The scrutiny of Facebook’s ad practices has ramped up following the Cambridge Analytica revelations and the fake news crisis. Also in play: the EU’s adoption of the General Data Protection Regulation (GDPR). Thus, the idea of Facebook charging users who don’t want to see ads a monthly subscription fee seems to be one possible remedy. But eMarketer’s analysis, highlighted in a report last month, finds the price that it would have to charge consumers could be a reason to squash the idea.”
“In fact, just 23% of consumers surveyed in April by Recode and online survey firm Toluna said they would be willing to pay for an ad-free Facebook. And CEO Mark Zuckerberg remains public in his resistance to the idea. He says that ‘We think that ads [are] a great business model that aligns with our mission. We want to build a service that can help connect everyone around the world. So we want to offer that service for free and have it be affordable. That’s completely aligned with what we’re trying to do.’”
Conclusion: Do not expect Facebook to abandon ads and turn to subscription fees any time soon.
Take a look at the chart below to see why Facebook’s ad-based model will continue to generate huge revenues into the future.