Facebook doubles its rates in four months
Rip up your Facebook revenue estimates and start over, everyone. Since February, Facebook has doubled the rates it charged for sponsored groups from $150,000 to $300,000. Since exposing Facebook's supposedly nonexistent rate card, I've received a more recent version from June. Much of it's the same, but I'm posting the revised cards from Facebook's PowerPoint deck, with comments, below.
Facebook's marketers added a slide touting Facebook's youthful demographics. And here I thought they were trying to escape their reputation as a college social network. One interesting claim: Facebook now says it's the top photo site.
This slide, about sponsored stories, is mostly the same. The minimum is still $50,000. But now, Facebook claims that the click-through rate is 20 times that of banners, instead of "10-20X." Also, Facebook no longer promises that "Your message becomes the news!"
Here's the big shocker: Facebook is doubling the quarterly cost of having a sponsored group from $150,000 to $300,000. With that higher fee, though, the number of homepage links and sponsored stories advertisers receive also doubles.
So I'm curious, Internet marketers: Are you really paying these rates? And is Facebook's rate increase fair, considering their growing user base? Or do you feel like Facebook's trying to exploit its buzz to command higher sponsorship fees?