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Is the Facebook Mobile App that they advertise on Facebook free?

How does a Facebook app monetize through advertising?

  • I'm working to develop a free interactive Facebook app (i.e., an app that users would access from within http://Facebook.com).  I plan to monetize principally by displaying ads on the pages of this app.  How does advertising work on a Facebook app?  Can I simply select an ad network (like Google AdSence) and use it to display ads on my app?  Or does Facebook display its own ads?  Do I get any cut from the revenue that Facebook earns on the ads that it displays while a user is in my app?  I guess the larger question is: how does one monetize a Facebook app through advertising? Thanks very much.

  • Answer:

    I suggest you reconsider your choice to make ads your primary monetization strategy. Most Facebook apps make money through virtual goods, not ads. I've seen a few recent industry experts throw out #'s that virtual goods were ~90% of revenue, product placement (in-game sponsorship) ~8%, and ads 2%.

John Schmitt at Quora Visit the source

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Since your app is a social network type, you must have many users on it. You can sell virtual goods in your app, but you have to plan reasonably and logically, otherwise, why will your users pay for it? I think selling ads in apps is the most direct way to monetize app. If you have a good user base, you will never worry about your ads revenue.

Melinda Shara

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