Poll: Facebook ads not working on most users
A new poll shows the vast majority of Facebook users say ads on the social network have never led them to make a purchase.
Four out of five Facebook users said neither advertisements nor comments on the social network have ever led them to buy a product or service, according to the poll by Reuters/Ipsos.
The poll comes at a terrible time for Facebook as the company, which just went public last month, struggles with concerns that it hasn’t figured out how to monetize its more than 900-million users effectively.
Before its IPO, the company announced that it has yet to figure out effective ways to generate revenue from users accessing the social network from their mobile devices. That disclosure, which was revealed in documents filed with the Securities and Exchange Commission, set off some red flags for would-be investors.
And even more people became concerned about the general effectiveness of Facebook’s advertising, and not just on mobile, when General Motors announced it was cutting off all its Facebook advertising just prior to the Menlo Park, Calif., company’s IPO.
The latest poll adds fuel to that fire, and unfortunately for Facebook, that wasn’t the only bad news revealed by the poll.
More than one-third of Facebook users also said they are now spending less time on the social network than they were six months ago, attributing the decrease in use to Facebook becoming “boring,” “not relevant” or “not useful.” However, 20% of those polled said they are spending more time on the social network.
When it comes to daily usage, 40% of Facebook members said they log on every day, but that number is higher in the 18-to-34 age group, where 60% say they use the site daily.
As far as their view of the company, 44% said Facebook’s IPO has made them feel less favorable toward the social network. Wall Street got some flak for the IPO too, however, as 46% said they now saw the stock market less favorably as well.
Most of these numbers are bad news for Facebook, which has now seen its share price fall 30% since launching last month.