Google (G) and Facebook (FB) recently released their quarterly results for 31 March 2016.
In summary, even though the big G is still quite a bit larger than FB in market cap ($477Bn to $337Bn) and net income ($4.4Bn to $1.5Bn) FB is growing waaaay faster than Google.
This is reflected in the multiple of their share price. G at 29 and FB at 91.
FB’s recent quarter revenue grew by 50% compared to G’s 17%
Change is underfoot me thinks…
(As an agency, we will be ramping up our own resources and focus on FB.)
While Twitter may be stumbling a bit, FB’s numbers are staggering.
They increased their number of active users by 15% in the quarter to 1,590,000,000. Yip, that’s 1.6 BILLION people.
And if FB are getting that much “attention”, you may well want to be there.
Of course, FB’s demographic targeting – eg engaged woman, 25 to 30, who live in Sydney – is also very attractive, provided you have your offer right.
FB’s share price is up 20% over the past 3 months whilst G’s is down 10%!
One further interesting point about FB’s results is the incredible activity mobile is getting as a device. 80% of FB’s revenue comes from Mobile, yep, that’s 80%!
As COO Sheryl Sandberg says, the conversations they are having with advertisers is not ‘should I be doing mobile?’, but ‘how should I be targeting that platform?’