Goldman Sachs recently sold shares in Facebook at a value of $50 billion, a price greater than that of Nike, Target, eBay, and General Motors, to name just a few.
Yet the blogosphere is abuzz with how Facebook usage rates and advertising effectiveness are already starting to plateau.
Groupon, the darling 2-year old “daily deal” company, recently turned down a $6 billion purchase offer from Google.
Over 500 Groupon “copycat” websites have sprung up all over the Internet, taxing the already somewhat “faddish” demand for the daily deals site.
So we are left with that sinking feeling that this whole social networking advertising space may be just one giant bubble waiting to burst….
On the other hand…
In 2010, domestic online advertising spending increased almost 14% to $25.8 billion, and for the first time surpassed newspaper ad spending.
Facebook now has more than 500 million active users, or close to 10% of the world’s population!
As impressively, more than 70% of Facebook users are outside the United States and 200 million of them access their sites through their phones!
As for Groupon, the site now has more than 50 million subscribers who have collectively participated in close to 25 million “groupons,” or group purchase transactions.
So, are we just in the early stages of a new paradigm that will continue to transform how we all shop, connect, and live?
And will those that get in now earn riches beyond their wildest imaginations?
Get the Answers
I am excited to share with you the opportunity to meet Growthink Managing Director Mr. Troy Centazzo.
Troy for the past 15 years has worked and lived in New Media as a strategist, entrepreneur, and investment banker, and in the past few months he has interviewed dozens of social media and advertising executives, marketers, and investors.