Facebook Buys WhatsApp Social Media for $19 Billion
Facebook is one of the biggest and most dominant social media networks. It recently bought WhatsApp at a whopping $19 billion price tag.
WhatsApp is five years old and is a mobile messaging app with around 450 million global users. According to the stats, prior to being sold to Facebook, the app was gaining around one million users each day.
As is evident from the figures mentioned, it should not surprise you that the app is the leader in the world of messaging apps for smartphones in Europe, Asia and North America. The app comes at a low cost of under $5 per download, with no additional subscription costs.
Why then did Facebook spend so much money on a company that is not going to make a profit? One word explains it all – diversification.
Diversification in Social Media
The reason for the purchase of the app is the users. The company is fully aware that to grow they need to diversify. This is the reason why the company recently completed the purchase of Instagram, the photo sharing site.
The world is becoming more and more dependent and driven by online activities and going by their recent business transactions, Facebook is fully aware of what is required to sustain growth in the market.
It is not expected of small business owners to spend massive amounts of funds to buy out their competitors, however, the moves that Facebook have made should be viewed as a valuable business lesson. However, as a small business owner, you should determine the best social media platforms which will allow you to diversify within your industry. For example, if you active in e-commerce, you may find Twitter to be suitable for reaching followers. You should consider how your Facebook updates are performing. Are most of your users linked to this account?
You may even find that the best plan for your particular business is to make use of a range of platforms. Whatever you find offers the best results, you should be open to diversification within your industry to enable your business to grow effectively.orms
Social Media Diversification Advantages for Small Businesses
There are a range of advantages to making use of diversification if you operate a small business. In Fact, S2LocalMarketing.com has many ideas for leveraging social media across multiple platforms to help grow your business. Learn More at our Social Media Marketing page — Click Here
Most industries make use of the available social media platforms to trend ideas, offer and find advice related to their market and to boost marketing campaigns, among others. You should ensure that you are a visible presence on the available social media platforms. It places you in a better position to establish yourself as a trend setter rather than a follower.
Diversification in the social media environment allows you to easily and successfully reach your target audience. It offers you the chance to adapt to the market if you experience difficulties with one particular network. An example of this is soon after the purchase of WhatsApp, the platform went down for a period of time. Users were furious and vented their anger on Facebook. Now, if you only relied on one platform and it went down, you would immediately lose out on your audience.
You should keep a close eye on where the professionals in your industry are based. Your business may have its most success on one platform, but your competitors may be using another.
The bottom line is the purchase of WhatsApp by Facebook indicates the need to maintain a positive social media existence within a range of platforms.