Facebook, Hi5, LinkedIn, MySpace, Friendster, Orkut, SecondLife, Twitter, Formspring, Tumblr

There are so many social networking sites out there, you name it, people have it. But have you considered how do people actually manage these accounts? These websites are very similar but why are some earning billions of dollars and some are experiencing closure?

From the above clip you can see that priority was given to facebook and facebook was also the champion social networking site. Why so?

According to Facebook there are
* More than 400 million active users
* 50% of our active users log on to Facebook in any given day
* Average user has 130 friends
* People spend over 500 billion minutes per month on Facebook”

This would mean that Facebook has already created a market for the people (their users, advertisers and application creators). Interface is also simple and easy to use unlike websites such as MySpace.

However there are also people who are not too happy about some facebook programs where they believe that those applications do not make sense at all. And they are more of an annoyance to them.

There is no choice for facebook but to add more application so to make facebook indispensable to the users. Advertisement is one of the most important segment they earn their revenue from. Facebook is not charging users for using their services despite the large amount facebook users. Thus they would need to source for income from different segments.

 

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