Facebook's revenue per user is about $20/year, and the average user spends tens of thousands of dollars/year. So Facebook, with all its data and algorithms, influences less than 0.1% of our buying decisions. Something to keep in mind for perspective.
If an ad increases the probability of a $1000 purchase by 1%, it's worth $10.
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Which means that $20 worth of ads must cause more than $20 of consumption, or the company would be better off not investing those $20 in advertising. To break even it must be significantly more, as that does not include costs of producing the ad or paying the marketers' salaries.
Kiitos. Käytämme tätä aikajanasi parantamiseen. KumoaKumoa
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