This is how Facebook ‘cashes in on you’!
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Social networking giant Facebook, which has been under immense pressure from investors to come up with ways to monetize, is trying out a range of tactics to make money from its users.
Tactics used by Facebook ranges from inserting more advertising into the News Feed to announcing option that allow people you don't know message your inbox for 1 dollar.
According to Mashable, one of the ways by which Facebook makes money is putting 'Sponsored Stories' in users' News Feed.
Facebook puts promotions in the user''s News Feed, where they are more visible and presumably generate a higher click-through rate.
This has been a big money maker for the site, bringing in more than 1 dollars million a day, the report said.
Another method Facebook used is 'placing mobile ads in third-party applications.'
The ad exchange allowed certain websites and apps to use Facebook information to better target users with ads promoting a website or providing a link to download an app.
According to the report, some other ways by which the site makes money through its users includes Facebook Gifts, Paid messages, and video ads in News Feeds.
The report pointed out that Facebook generated about 1.25 dollars per user on average in the third quarter, up from about 1.19 dollars in the same quarter last year.
Or in other words, right now you''re worth about 5 a year to Facebook and the company would really like to see that number go up, the report added.
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