Facebook, having more than 2.4 billion active users, declared that it undermined it’s ad revenue and due to the ongoing pandemic more number of people are making use of this social website.
Alex Schultz, Vice President of Analytics and Jay Parikh, Vice President of Engineering, posted a comment according to which as because of COVID-19, Online voice and video calls at Messenger and WhatsApp have been increased to more than double. They also added that, Physical distancing is compelling more people to use the services provided by facebook. Morover, Facebook’s free messaging services — WhatsApp and Messenger — do not generate ad revenue.
“We don’t monetize many of the services where we’re seeing increased engagement, and we’ve seen a weakening in our ads business in countries taking aggressive actions to reduce the spread of COVID-19”Parikh and Schultz said.
Facebook is expected to hit from the global crisis of pandemic which has affected many consumer and online habits. Also, many marketing companies are cut back and ad targeting is thrown into chaos hence, disturbing the Online advertising.