India is reportedly on its way to become the biggest market for Facebook in terms of number of users later this year. The popular social network site is hoping to cash in on its growing user base in India, which has touched nearly100 million. According to Tech Crunch, India’s online advertising market maxes out at around 360 million dollars, making it difficult for the company to translate this horde of users into a billion-dollar business.
India is set to become Facebook’s biggest market in terms of number of users later this year, but don’t expect that to translate into ad dollars for the Palo Alto company anytime soon. India’s online advertising market maxes out at around $360 million, making it difficult for the company to translate this horde of users into a billion-dollar business. Companies like Facebook and Twitter are not new to this problem – their biggest user markets (mostly outside of the U.S.) are not necessarily top revenue sources. But Facebook sees immediate opportunity to earn big ad revenue by targeting India’s around 50 million SMBs who are increasingly becoming tech savvy and leveraging their smartphones to connect with potential customers. “It’s a huge opportunity and we’re just getting started. We are building products and features that target the needs of SMBs who can start with us for as little as $5 daily,” said Andy Hwang, Facebook’s director for SMB business in Asia Pacific.
