There is nothing quite so nauseating to a teen son or daughter than see their parents emulating their own kids. This is true with everything from cars to fashion and that includes technology. The whole idea is to be as different as possible from mom and pop.
Take email for example or even texting. Moms and dads everywhere are using it. That has to make it yucky for their kids. So off go the kids to find new chat apps.
Could Facebook be getting yucky? It has roundly 2 billion monthly active users. That amounts to just under one third of the world. FB practically created social media as we know it today. If a parent wanted to know who their kids were hang out with, the answer was probably somewhere on their kids Friends list.
Launched in February of 2004, Facebook founder Mark Zuckerberg is no longer the 20-year-old entrepreneur but an amazingly accomplished 33 year old bizillionaire. Facebook has remained on the leading edge of social media technology for longer than 90% of even the most massively successful startups produced by Silicon Valley.
No one can suggest even in the slightest that team FB has been resting on their laurels. Neither are we suggesting that Zuckerberg is some antique like Bill Gates. In fact, continuous changes, improvements, innovations have been FB’s mantra. They have been coming up with lots of cool new stuff from their own staff of developers or acquiring them.
When Mark Zuckerberg couldn’t convince Snapchat founder Evan Spiegel to sell his company, Mark turned to Instagram. Whamo, in no time there are 700 million active Instagram users. In June 2016 there were just a mere 500 million. The photo sharing service has been a massive success for team Zuckerberg and probably comes at an important time.
Facebook: Loosing Just A Little of Its Mojo
Instagram has become the “go to” app for kids that are looking for something that their parents haven’t yet figured out. This is a key to Facebook as a corporation. Evidence supplied by eMarketer suggests that Facebook is loosing its mojo with kids from 12-17 and young adults 18-24. These are the important years for advertisers to connect to their audience. Teach a kid to drink Budweiser at 18 and you have a Bud drinker for life.
The experts at eMarketer five-year prediction place FB user growth after next year to tail off to less than 2%. That is no better than the rate of GDP growth for the whole US economy. FB usage by 12-17 year olds is falling at an accelerated 3.4% pace up from1.2% in 2016.
As for Instagram and Snapchat, the predicted growth rate is about three times faster. Clearly, the next wave in social media is underway. If eMarketer projections prove accurate, there is a critical battle about to unfold with predictions that Snapchat will grow at a faster pace than Instagram: OMG!
Instagram may well turn out to be the secret sauce that keeps Facebook on top of the social media scene for years to come. The stock has been huge this year returning almost 50% in price appreciation just this year. So no serious investor seems too concerned about a little slippage in Facebook’s here to fore flawless face.
Nevertheless it is always important to remember that in technology, nothing last for long and FB continues to beat the odds.