What Does Facebook’s IPO Mean for Social Media

With its expected IPO of $16 billion, Facebook now has a big question in front of them. Where to next? With rumors floating around of the tech company simply being a fad among internet users, it begs the question of how the social network will remain on top in such a dynamic industry, and what this means for brands, marketing companies, and users alike.

Mark Zuckerberg rang the opening bell today to signal the launch of what could be the largest tech IPO opening in history, beginning a scramble for companies to figure out the pros and cons of social media in terms of reaching consumers. We all know Facebook’s ability to reach targeted audiences is something that has been utilized by companies and individuals for a while, but how does this change with the company going public?

Being a private firm has its perks, one being not having to answer to anyone. As Facebook becomes a publicly traded company, it now has to worry about answering to shareholders and creating revenue to keep them happy. This means the creation of more money making opportunities by further expanding on its already successful ad scheme. Paid advertisements are now the future of growth for companies on the network. This comes as a positive for social media since it now becomes an income generating venture. Facebook’s IPO gives social media proven support in the business world and we will likely see more allocation of resources to areas of companies such as internet marketing and social media.


Facebook is always changing and evolving with the trends of users online.  As consumers want easier, more integrated experiences with the brands they love, companies have a unique opportunity to change and adapt along with Facebook’s updates. Using such tools as the groups function, timeline, or integration of other websites, users can jump from page to page being exposed to hundreds of posts, links, videos, and pictures, all pointing toward a certain brand or company. Now, with paid ads, finding those consumers who are most likely to convert will be even easier, and more targeted based on their interests and likes.

Facebook is no longer about how many friends or likes a company can have on its page, but is now about the interest it can generate in their products so as to convince people to buy them. Social media has officially broken into the business world and the balance sheets of big name companies. Marketers have a tremendous opportunity here that seems like it will prove to be successful in the future.

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