We’ve discussed the social networking phenomenon in the past, and for good reason. It’s turned out to be a fantastically useful business tool for millions of users around the world. But recently, some question has arisen pertaining to the lifespan of the traditional “free account supported by advertising” model.
Rather than simply pack on the ads to bring in revenue, Facebook has considered making premium features available for a nominal fee. For instance, giving users the option to not see ads for a few dollars a month, or order prints of photos that have been uploaded.
Given the enormous popularity of Facebook, especially within the business world and with people in their 30’s, 40’s and older, what is the likelihood that users would be willing to pay for service? Would users welcome premium features, or say, “forget it” and move on to the next free alternative?
Facebook has become such an important and indispensible part of corporate communications for some businesses that nearly any fee would pay for itself many times over. For others, it’s simply a novelty and they’ll move on without a second thought. We think that Facebook and other social networking sites have enormous potential as business tools and a nominal fee would be justified based on their usefulness.
Which category would you fall into and how has Facebook played a part in your corporate strategy? You can find Urban Geko on Facebook and we’d love to hear your story.