There was a time not all that long ago when Facebook was considered to be the global standard in terms of social media platforms and the like. However, as the years went by, Facebook’s veneer of being a happy place where people could stay in touch with people and reconnect with those they had long forgotten about started to get chipped away, and pretty soon people started to lose their trust in the platform.
Facebook’s name change to Meta created a holding company that would ostensibly not be impacted by the poor reputation that the social media platform had become known for over the years. With all of that having been said and now out of the way, it is important to note that despite the name change, Meta actually lost $250 billion in its total market capitalization value recently which is the single biggest drop in value that any company has seen in the history of the stock market so far.
Losing a quarter of a trillion dollars is no joke, and Meta seems to be trying to blame Apple for their woes. Apple’s new privacy policy made Meta’s advertising platform both more expensive as well as less effective, and while that has definitely had an impact by reducing Meta’s revenue forecast for the year by around $10 billion, suffice it to say that there are a lot of other factors at play here too.
Advertisers have started to lose their trust in Meta, and the corporate reshuffling might have made things worse. Plenty of advertisers are also suspicious of the focus that Meta is placing on the privacy policy, with some suggesting that this might be an attempt to avoid antitrust litigation which is something that has plagued Meta in recent years back when it was still known as Facebook.
The various advertisers that are reliant on Meta have outlined a few changes that they feel the platform can make in order to bounce back, with increased data transparency being a key highlight of the various suggestions they have ended up making in that regard. Advertisers also want better access to audience customization tools which is something that Meta has been hesitant to hand over in the past for one reason or another.
Better transparency might help Meta to get more data from its users as well, since if users are made aware of how their data would end up getting used they would be more likely to opt into third party tracking. The primary reason why so many users don’t want to let Facebook track them is that they don’t trust the company with such sensitive information about their day to day lives.
Another novel suggestion that has been made is that Meta could start paying users for their data. This would be a huge incentive and it would likely result in massive amounts of data going to the platform once again, but chances are that this would be too big of a move for Meta to make. Whatever they do, they need to act fast because another quarter like this one could spell the end of the company without a shadow of a doubt.
H/T: Insider.
Read next: Meta Cuts Web Conversion Underreporting in Half as It Struggles to Adapt
Facebook’s name change to Meta created a holding company that would ostensibly not be impacted by the poor reputation that the social media platform had become known for over the years. With all of that having been said and now out of the way, it is important to note that despite the name change, Meta actually lost $250 billion in its total market capitalization value recently which is the single biggest drop in value that any company has seen in the history of the stock market so far.
Losing a quarter of a trillion dollars is no joke, and Meta seems to be trying to blame Apple for their woes. Apple’s new privacy policy made Meta’s advertising platform both more expensive as well as less effective, and while that has definitely had an impact by reducing Meta’s revenue forecast for the year by around $10 billion, suffice it to say that there are a lot of other factors at play here too.
Advertisers have started to lose their trust in Meta, and the corporate reshuffling might have made things worse. Plenty of advertisers are also suspicious of the focus that Meta is placing on the privacy policy, with some suggesting that this might be an attempt to avoid antitrust litigation which is something that has plagued Meta in recent years back when it was still known as Facebook.
The various advertisers that are reliant on Meta have outlined a few changes that they feel the platform can make in order to bounce back, with increased data transparency being a key highlight of the various suggestions they have ended up making in that regard. Advertisers also want better access to audience customization tools which is something that Meta has been hesitant to hand over in the past for one reason or another.
Better transparency might help Meta to get more data from its users as well, since if users are made aware of how their data would end up getting used they would be more likely to opt into third party tracking. The primary reason why so many users don’t want to let Facebook track them is that they don’t trust the company with such sensitive information about their day to day lives.
Another novel suggestion that has been made is that Meta could start paying users for their data. This would be a huge incentive and it would likely result in massive amounts of data going to the platform once again, but chances are that this would be too big of a move for Meta to make. Whatever they do, they need to act fast because another quarter like this one could spell the end of the company without a shadow of a doubt.
H/T: Insider.
Read next: Meta Cuts Web Conversion Underreporting in Half as It Struggles to Adapt