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Showing posts with label facebook. Show all posts
Showing posts with label facebook. Show all posts

Monday, November 11, 2019

Facebook ads Targetting

Professor on Entrepreneurship

Facebook Ads Targeting






FB Ads  Targeting

Why FB is impt.?  It is important place to advertise.  It has made many people addicted.   Learning this FB ads is a great way how to make money

The video here I think focuses on PTM - targetting and does not talk much about the ad.

Here the author talks about the:

1.  Campaign

2.  Adsets (the PTM)

3.  Open the ads manager

      1.  Determine the objectives:    traffic, conversion etc.

      2.  Determine the PTM

          You can encourage people

4.  Make the ads.

       1. Custom Audience
       Narrow down the target:   Custom audience  (what people are all ready visiting your website or are all
       ready who liked you or followers.    Or people who have bought the products.

            1.  Location

            2.  Age

           3.  Sex

     2.  Look alike audience  Who are just like the custom audience.    (FB will look for people who bought
          all ready your products.  

          1.  Religion

          2.  Likes/dislikes

 5.  Facebook pixels  -   you put on your website to determine the demographics of people who visit your ads...


      Targetting -  how to do it?  But by research;  narrow down the target market so that you dont waste the
      money, you cant sell to say 200,000,000 audience

     1.  Guessing

     2.  Look at the  JV and the demographics

     3.  What the owner thinks as PTM

    4.  Look at the custom audience







Sunday, November 3, 2019

Psychological Triggers for Website optimazation to make it more persuasive

Professor on Entrepreneurship

Rizal Philippines
November 3, 2019

You can make your website and ads more persuasive.





1. Getting the foot in the door. Once the prospect gets his foot in, does a little thing for you, the more he is likely to do bigger thing.  After he requests for a video, schedule a meeting

2. Truth become real with repetition (at the title at the text

3.  Fear of losing

    1. What do they lose -  savings

    2.  Start saving money vs., stop losing money (mention hell first)

    3.  Scarcity

4.  Mirror effect-  people respond if you are placing yourself in their shoes... Or how the same work
    helped other people just like them.  Loo for the testimonial.  (in the same age group)

    Use the same word what

5.  Use band wagon effect(herd)   We do what the others do, Where the trend is going

  "Join the hundred customers who have chosen your product, others who have
   Proof.com  plug in.

6.  Identifiable victim

     It helps to narrow it down, with a specific case study.   Testimonial with whom they can identify

7.  Analysis paralysis

    Avoid too many options/choices

   Studies have shown too many

    Simplify:   Rule:   one person, one offer, one information for the person to make a decision. If it is
                               loaded with too many information, that tends to confuse, remove the others

8.  Anchoring

    Say bigger price.. And then plug in the smaller price (even when big, looks reasonable)
    Show more expensive price first...

Sunday, October 20, 2019

Lead Generation using FB ads, by Deep End

Professor on Entrepreneurship

October 20, 2019
Rizal Philippines

Merge FB Ad Manager with MailChimp or Many Chat..

Do a FB ad.

    1.   Amazing pics   use multiple picture using Image dynamic (

    2.   Ad post limits   25  title,  50 beneath picture;  200 pictures for ad text

    3.   Select Ad group;  select audience, select budget

         Detailed segmenting:   hobbies, employment (self for taxation)  analyze)

Our product and business. We have been here for 36 years




Friday, October 18, 2019

Deep end - Writing Facebook ads that convert (sell)

Professor on Entrepreneurship

Rizal Philippines
October 18, 2019

1.   Some say FB ads dont work. But it works.

     It will work if you have the right PTM

     Killer ad

2.   3 type of ads:
                                                                                         Corresponding to
    1.  Content marketing  -  lead generation                      acquaintance
    2.  Remarketing                                                             friendship
    3.  Offer                                                                        wedding


3.   Tips:

1.  People dont buy products just for the products  -  for transformation and problems solved.

         Like coffee at Starbucks.  People do not buy the coffee.  But drinking coffee at Starbucks make you
         feel social... A transformation

2. Use  social proof (also espoused by Bob in Persuasion.)  Testimonials

3.  Scarcity and timeline..  You gotta act now... Nothing lasts forever

4.  Watch what people do when scrollling:

      1. Stop the scrolling with a unique  picture

      2.. Then they  will look at the headline

      3.  And then the content... -  killer ad


xxxxx  

1,  Lead generation

      1.  Use yellow

      2.  Use emoji

      3.  List the bullet for the benefits that can be gained.   The glimpse of transformation  that triggers
           questions.  What are those secret?

2.   Remarketing...

      Exquisite event.

     1.  Picture of a wedding  (social proof)

        Headline -  have you been to a wedding that does not look good.  Paint the picturee

       2.  Problem decorating a wedding

      3.  How can we transform the  wedding

     4.  Paint the picture  of transformation

     5.  Add a line on scarcity

     6.  Link to something to a page - to a form, to messenger..

3. Advertising an offer...  Carwash

      1.  Offer

         Problem -  you sit out car wash.

        Transformation   -  how does it work

      2.  What is deadline (this week only) 20% off

          Give solid reason why they should get the offer..












Saturday, September 28, 2019

The new big advertising platform is Facebook

Ateneo Professor on Entrepreneurship

Rizal Philippines
September 29, 2019

The old paradigm model for digital marketing has been blogs, webinars, videos  SEO and other stuff.
I am reading old digital marketing books written circa 2000 and after hearing and seeing many posts, now think they are obsolete

I seldom blog.   Very few people read the blogs.  But thousands read FB pages posts especially if you share them with groups (and there are increasing number of groups)  And many likes are organic. Many pm end up in sales.... I could be very rich now in one months time just by number of inquiries at the FB page manager

The main tasks for a business are:

1.  Discover and create the value it must offer to a Primary Target Market

2.   Communicate this value  by ads, promotion, sales people, POS etc,

3.  Leveraging the  communication process

   While the basics of sales process has not changed ie like AIDA, being unique, having Main (Unique Value Proposition)  that of building trust, and being courteous, many of the sales procedure  can be leveraged and automated:

      1.  The best medium to draw in awareness is via smartphone and using FB, FB has 2 Billion monthy
            users beating Google due to simplicity of posting, making comments, sharing, creating groups
            posting instantly pictures from a picture phone. It has become the biggest marketing platform.

     2.   You can get many head count not from newspapers (which is nearly extinct) from TV (which can
            be zapped by remote and even billboards.  Everybody is glued to his smartphone

    3.  You can do more of inbound marketing, ie drawing attention to your site, or FB pages instead of
          doing outbound, doing tedious leafletting or prospecting,  You can get past Secretaries, HoA leaders
          ship and SG using FB posts.

    4.  You can have a set of staff who create awareness on FB, and another set of closers.

    5.  Many people are into business, from home, and are into entrepreneurship very easily because of FB

    You cant ignore the effect of FB.  I used to be against  this in the office or at graduate school.   Formality
     through Gmail.

     But how do your staff communicate with one another via FB, via messenger. It is very easy to open an        FB account and send pictures and attachment.  FB is the new medium.  All others have become passe if
    not obsolete

Friday, September 28, 2012

Mark Z of Facebook talks about FB up and down

Ateneo Professor on Entrepreneurship

From entrepreneur.com

Mark Z made his first public appearance  since IPO of Facebook at TechCrunch disrupt conference. (Facebook still continues its nosedive;  as of this week, by another 11%).  He explained at length on FB acquisition of instagram, why it is not having a smartphone.

He talks about success and failure of FB and some advice:

l.  Be where the customers are;

2.  Recognize mistakes and be ready to pivot;

3.  Find balance between business profit and service. Read more

Saturday, September 8, 2012

FB stock price dives down further; when is it going to end.

Ateneo Professor on Entrepreneurship

From Newsmax Money:   the Facebook stock price even dived down further to $l8.06 or  $1.03 or (5.4%)  This is from a concern that the growth of FB will not be as fast as was envisioned and that there will be massive sell - offs once the selling restrictions expire.

From a high of $45.00 on the IPO issue, the FB stocks steadily declined from a market cap of $l04 billion;  it is down to $50 billion..   This represents a massive loss to the investors and does not help the fragile US economy

How will this development affect the US and Europe, the two biggest market in the world?

What besides the social media will be the next big thing for the electronics industry

Saturday, August 25, 2012

6 other reasons why Facebook is not a good buy?

Ateneo Professor on Entrepreneurship

WSD completed the 6 other reasons why FB is not a good buy (a good bye?)

l.  There are 8% fa(c)ke accounts?  That is huge.

2.  Fake advertising.  Bots are driving up clicks and FB executives cant be contacted on this

3.  No history of rebounds;

4.   A serious valuation problem (revenues, investment in core business etc)

Why is Dustin Moskovitz, FB co founder liquidating his shares?  The first 6 reasons mentions 5 key FB officials quitting/jumping ship?

Wednesday, August 8, 2012

Did you buy Facebook stock? He thinks it is only worth $7.50@ not even $22.00@

Do you agree?

His article is litany of Facebook negatives (the harsh reality)  Are they correct?

What do you say about the Facebook business model?"

---------- Forwarded message ----------
From: Money Morning <customerservice@moneymorning.com>
Date: Tue, Aug 7, 2012 at 6:38 PM
Subject: The Clever Folks are the Ones Who Already Sold




You are receiving this email as a part of your subscription to Money Morning. Your ability to alter your subscription information can be found at the bottom of this email.
Money Morning E-letter Money Morning
August 7, 2012 Sorry... Facebook is Still Only Worth $7.50
a Share


By Keith Fitz-Gerald, Chief Investment Strategist
The technorati took me to task. So did Wall Street.

They were agitated by an article I wrote in May explaining why the world's most hotly anticipated IPO, Facebook (Nasdaq:FB), was worth a mere $7.50 a share at best.

"Out of touch," one of the critics said. A "luddite" charged another.

"Doesn't grasp the significance of so many users," one Wall Street insider opined--who happened not coincidentally to work for one of Facebook's investment bankers.

Since then the social media darling has fallen another 31% to nearly $22 a share. Ten weeks later, Team Hoodie hasn't done much to merit an upgrade either.

Sorry guys...Facebook is still only worth $7.50 a share - likely less.

Here's why.

The Cold, Hard Facts for Facebook

At the time I reasoned that Facebook's valuation simply didn't merit the 100 times earnings IPO price of $38 a share based on comparable figures from Google (Nasdaq: GOOG) and Apple (Nasdaq: AAPL).

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But there were a host of other factors as well.

I cited falling revenues, a lack of control over the mobile market channel, increasing distrust from customers who were voting with their feet and the concurrent departure of major advertisers like GM which will cost Facebook an estimated $10 million a year in revenue alone.

I also posited the assumption that Facebook would be unable to maintain the 100% plus growth that many investors believed was baked into the proverbial cake.

Google couldn't. Apple couldn't. And both of them are real businesses.

That's the key...real businesses.

Fact is, Facebook still hasn't figured out what it wants to be when it grows up.

Despite the fact that CEO Mark Zuckerberg does have some excellent advisors, the company isn't going to be able to hide the fact that its "business" is nothing more than a colossal time-wasting collection of personal interest items for much longer.

Other problems abound, too. All of them point to a lower share price.

For instance, Team Hoodie seems more intent on creating new applications than they do on making money from customers. There seems to be a disconnect between what's cool and what actually makes money.

Take the recently unveiled tablet-based Facebook application for example.

Sure, it gets Facebook on a mobile device but there's no plan I can discern for how the application creates a different experience nor how it will generate money from all those eyeballs.

Then there's the Facebook phone. First it's happening, then it's not. This suggests that Team Hoodie may have serious internal strategy battles and be fraying around the edges.

Facebook's "Fiscal Cliff"

Call me crazy, but I think Facebook's numbers reflect this already.

One quarter into its public life, Facebook's net income dropped by $295 million to a loss of $157 million.

The cost of customer acquisition is going up so that's clearly digging into its bottom line.

So is the way the company chose to account for stock-based pay in adjusted earnings. Had management not chosen to exclude stock-based pay, the loss may have been orders of magnitude worse.

And finally, Facebook has its own fiscal cliff of sorts.

The 91-day lock up period imposed on employees and company insiders following Facebook's IPO expires later this month. That means another 268 million shares could come up for sale further depressing the value of the 2.1 million shares already outstanding.

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With the stock now off $16 from its $38 IPO price there's definitely an incentive to sell. A large number of employees are probably anxious to get out before the markets destroy their windfall gains. I know I would be.

As the chart below shows, former employees have already hit the dislike button and sold.



Figure 1: Source: SecondMarket, Inc.

Call me a skeptic but I find it especially convenient and more than a little coincidental that 79% of the total Facebook-related market volume comes from former employees and 86% of the total Facebook-related transactions come from the same group.

Investors are the next biggest group of sellers by total dollar volume accounting for 12.4% of the total and 4.8% of the number of sellers. Perhaps they haven't given up the ghost yet.

Either way, the chart is kind of scary when you consider the exponential growth associated with Facebook stock sales because the old adage certainly applies. What goes up, must come down.

Don't get Zuckered again. The clever folks are the ones who already sold.

Best Regards,

Keith Fitz-Gerald,
Chief Investment Strategist
Money Map Press
Further Reading...

On the heels of the Facebook IPO fiasco, many investors we left to wonder how they could find the next big thing and avoid getting "facebooked" in the process. In this article Keith offers five ways to separate the winners from the losers.

The Real Story Behind the Knight Capital Trading Fiasco

By Shah Gilani, Capital Wave Strategist
Oh, you are going to love this.

That whole Knight Capital fiasco last Wednesday, when a software glitch caused them to flood the market with thousands of unintended orders, it ain't exactly what you think it is.

Sure, they tripped over themselves in the dark pool where they were trying to compete.

But somewhat interestingly (okay, a LOT interestingly), the competitor that drove them to "upgrade" their trading software, which malfunctioned and caused them to actually bid-up share prices erroneously and then buy them at inflated prices, was none other than, wait for it...

The New York Stock Exchange.

That's not the whole story, or even the good part. Oh, it gets better. A lot better

Knight claimed a $440 million trading loss on Wednesday resulted from their computer glitches and sunk the company (at least for now; I'll get to that).

Well, according to Nasdaq (this was on its site: nasdaq.com), it wasn't a trading loss at all. Knight paid Goldman Sachs a $440 million fee (commission?) to take the errant shares Knight had bought on Wednesday morning off its hands.

Now, I don't know what Goldman did with those shares, but my guess is they held most of them and sold them on Friday when the market soared a few hundred points. Of course, that's not a "prop" trade. Knight is a customer of Goldman's (it is now...).

But who cares?

Goldman Sachs ripped a customer for a $440 million fee, virtually bankrupting it in the process, flipped the shares it bought from Knight to "help" them (and first of all, probably overly hedged itself... as in enough to be net short... the large stake it holds in Knight's convertible preferred) for a tidy profit, and then probably shorted the stock (before "helping" them, and themselves to their little fee) before the stock collapsed, then probably gave it its "lifeline" (that's a guess, and I'm being sarcastic, but it's possible). And maybe we'll find out where that lifeline Knight got on Friday really came from) before buying a ton of Knight's shares back on Friday before hearing (of course... before) that several big firms were looking at buying Knight.

What's my point in the above LONG sentence? Who cares! That's all business as usual at the Golden Vampire Sachs.

That's after-the-fact stuff.

What's more interesting is why all this happened in the first place.

Here's what you probably don't know...

To subscribe to Shah's free newsletter, Wall Street Insights & Indictments and continue reading click here....


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Everything You Do Is Being Recorded -Gay Vaynerchuck

Gay Vaynerchuck's  tips for the modern businessman:

1.  Interact with your customers;

2.  Be differentiated, be remarkable (cf Seith Godin)

3  Everything is recorded.

4.   Do not write or say something on the web that you will regret.

---------- Forwarded message ----------
From: Business Thrival <deniseandjynell@businessthrival.com>
Date: Tue, Aug 7, 2012 at 5:01 PM
Subject: Everything You Do Is Being Recorded




Trouble viewing this email, click here.

Issue # 113 - August 7, 2012
Dear Jorge,

What if I told you that everything you do and say can be found by others for generations to come? Most people don't think about this, but it's true, especially with the internet.

Just think about this for a minute. How many times have you searched in Google or Bing to find information about someone, to watch a video of a speech given, or to find answers to your questions in a forum or blog post?

In today's Main Essay, you will learn more about how the complete history of our lives is being recorded for future generations. This makes it even more critical that each one of us makes a greater difference in this world we all occupy together.

In today's Check It Out section, you will learn about a new way to "hack" the authority of Facebook AND YouTube to get tons of cheap advertising for any kind of business.

In the Quick Tips section, you will learn how to refuel your body, how to strengthen your brain's memory, and how you can lift your spirits when you are having a bad day.  

 
We hope you enjoy this issue of the Business Thrival Newsletter.

Cheers,

Denise Gosnell
Publisher
Business Thrival, Inc.

  

Everything You Do Is Being Recorded
By Denise Gosnell


As I started to pack for my trip to New York this week, I've been thinking about how at this same event last year, I had the good fortune to hear Gary Vaynerchuck speak.  Gary shared with us how he achieved his business success and worldwide fame by leveraging the power of social media and human interactions to grow his Wine Library Internet TV show into a global sensation.

Gary Vaynerchuck is an incredibly successful entrepreneur who grew his family wine store in New Jersey to a huge national wine enterprise. Gary is one of my favorite entrepreneurs on the planet, and in today's article, you'll learn why.

In his presentation last year, Gary spoke about how everything we all say and do is being recorded for future generations. For example, what we say, what we do, where we work, and the complete history of our lives are being recorded for future generations.

So what does any of this matter? It means that we should all be spending our time making a difference, and doing things that are worthwhile. If we work on projects we hate or if we offer products or services that are not good for people, we will have to face those consequences for the rest of our lives. And worse yet, so will our children and grandchildren.

Here are a few tips that I have learned from Gary Vaynerchuck that we can all benefit from moving forward:

Tip #1: Everything You Do Is Being Recorded For The Future

Everything we do matters, and is being recorded for future generations. If you are thinking about doing something or releasing a product or service and it just doesn't feel right, then don't do it.

You don't want to regret it later and have to deal with that decision for the rest of your life. So make sure that you are adding value to others, and leave opportunities behind if they don't feel right to you.

Tip #2: Watch What You Say And Do

Pay attention to what you are saying and doing. For example, if you are posting things in your Facebook account that you would be embarrassed for your child or grandchild to see, then maybe you shouldn't post it.

You should assume that anything you post online is being aggregated into the "Book About You" that future generations will be able to retrieve in just a few seconds with some future version of Google and Bing.

One great way to grow your business is through content marketing, like posting videos on YouTube…

…and another great way to grow your business is through social marketing on sites such as Facebook and Twitter, like Gary Vaynerchuck used to skyrocket his internet TV show about wine.

Well, here's another guy who just figured out how to marry the two.

He figured out a new way to "hack" the authority of Facebook AND YouTube to generate a ridiculous amount of cheap, targeted traffic.

Click here to learn how he did it.


Tip #3: Personally Interact With Your Customers

Even though Gary is a multi-millionaire, he still takes the time to answer his customer's questions and to make each and every one of them feel extraordinary. So many people in today's business world have a team that guards them from their customers, and they lose touch with what is going on inside the business.

Sure, there are times when you need team members to protect your time you so you can focus on your critical tasks. But the key point is that you should keep yourself in touch with your customers and communicate with them from time to time too.

Tip #4: Be Extraordinary With The People You Interact With

You should also make an effort to be extraordinary with everyone you interact with. You never know who you are interacting with, even at the post office or the grocery store. That person could be the daughter or mother of an important person you have been wanting to meet. And each and every person deserves to be treated with respect even if they don't have a famous family member.

I always appreciate being reminded about how important it is that we all find work that we love and that allows us to help others in the process. And I'm glad that preparing to fly to New York today reminded me about what Gary shared with us last year at this same event.

I hope that today's article helps convey some of that to you as well. 

To make a difference in everything you do, implement these four tips:

1.  Make sure you add value so you don't regret it in the future.  If something doesn't feel right to you, don't do it!

2.  Watch what you say and do.  Don't say something you would be embarrassed for your grandchildren to see.

3.  Personally interact with your customers.  Never lose touch with the most important people to your business – the customers that you serve!

4.  Be extraordinary with everyone that you interact with.  Every person on the planet deserves to be treated with respect, and you also never know who they are connected to or related to!

Let us know your thoughts on today's issue.
Post your comments here.

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The people who are crazy enough to think they can change the world, are the ones who do.

Click here to watch "Think Different"
  
Hello Denise and Jynell of the Business Thrival report. I started to read and everything I found to be was inspiring and useful. I made myself a copy to keep near by where I can reflect upon, because I found the content to be rich and of importance.

Quote: In today's Main Essay, I talk about how everything we do is being recorded for future generations. This makes it so critical for each of us to work on projects that we enjoy, and that serve others.

I love this...from someone who is interested and wants to learn more, for a thriving business and life...Thank you guys for sharing this enlightening information.

Debbie

[Note: Debbie's comment is from another version of today's main essay that was featured in August 2011.]
Body:

We all know that breakfast is an important meal of the day, but many of us still ignore it. Breakfast refuels our body after our body has spent all its energy repairing and recovering while we were sleeping. Get going with breakfast.

Mind:

When's the last time you grabbed a pencil and paper and let your mind go—drawing stars, circles and hearts, or whatever scene or object popped into your head? Surprisingly, doodling has been found in studies to boost concentration, which is an essential first step to learning and memory. A free-flowing pen could be the key to strengthening your brain's memory.

Spirit:

If you find yourself have a bad day or not performing as well as you would like, here is a little trick you can implement to lift your spirits. Take a 5-minute break and start thinking of everything that you are grateful for, and say them out loud. Here are some examples: "I'm grateful that I'm alive today, I'm grateful for my beautiful children, I'm grateful that I live in a country with freedom", etc. After 5 minutes of being grateful for all the great things in your life, you will immediately find yourself in a better mood.

 

  

 

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"Be the best, do your best, expect the best"

Friday, July 20, 2012

Fwd Wall Street Daily on Facebook - It is not the next Google

WSD, Louis Basense says that Facebook can not be the next Google.  So spare the comparison.  There are however interesting comparison at Social Media Revolver.

Facebook is fun to use.  Its being fun to use can not be matched by Google plus.

Please take note that other sharing platform are fun to use.

But Google plus allows your feed to grow fast vs. Facebook.

---------- Forwarded message ----------
From: Wall Street Daily <wallstreetdaily@wallstreetdaily.com>
Date: Thu, Jul 19, 2012 at 6:22 PM
Subject: Spare Me the Weak Facebook Comparisons




Wall Street Daily
Top Business Magazine is Calling it the: "Super-Subprime Crisis"
One mainstream medium and many other commentators are predicting it will be a watershed event so big they're comparing it to "the Fall of Rome." Yet another source described it as the "plight of the rich world"... an event that will have vast economic and political consequences... and that no tax hikes or slashes to government spending will be able to fix... And a third admits that nothing will shape the future of western markets more so than this coming event... To find out about this watershed event, click here.

Spare Me the Weak Facebook Comparisons
By Louis Basenese, Chief Investment Strategist

Louis Basenese Long (long) before it was popular, I told investors to avoid Facebook's (Nasdaq: FB) IPO like the plague. Literally. (See here, here and here.)

I don't need to tell you that I made the right call. By now, everyone's aware of Facebook's flop as a publicly traded company.

However, with Facebook set to report earnings for the first time next Thursday - and its stock off 37.6% from its opening day high - I feel the need to reiterate my stance.

Why? Well, apparently, some investors are still convinced Facebook promises to be the next hot internet stock, like Google (Nasdaq: GOOG) or Amazon (Nasdaq: AMZN). While I'm all for a spirited debate, there's no debate here.

Facebook is nothing like Google!

The services the two companies provide are completely different. The only commonality they share is that they generate revenue from selling advertising. Or, should I say, Facebook is trying to generate revenue from advertising.

There's a key difference, though. Google serves up ads to its users after they've searched for a very specific term. They're on the hunt for something, and therefore much more likely to click on ads related to that topic.

In comparison, users on Facebook aren't submitting specific search terms. They're not hunting for anything, except maybe a long lost acquaintance. As a result, there's no natural upsell and Facebook just forces ads on users that might be relevant.

When it comes to pinning down users' interests, though, guessing and knowing are totally different. And the difference shows up in the advertising results. Google is effective. To date, Facebook is not.

What if we compare Facebook to Google in terms of early stock price performance? That doesn't work, either.

You'll recall, Google debuted at $85 per share in August 2004 and never looked back. Meanwhile, Facebook priced its IPO at $38 and briefly traded up to $45 per share. But it's been falling ever since.

Consider this myth busted! Facebook is not the next Google.

So what about Amazon?

Well, here, too, we lack any direct connections between the underlying businesses.

Amazon is an online retailer for everything. It sells actual goods. Facebook is a social networking site that tries to provide a service to users, just so it can make money by advertising to them.

The connection Facebook lovers try to make with Amazon is the fact that Amazon's stock struggled out of the gate, too. But then it rebounded mightily. In the first five days of trading in May 1997, Amazon's stock fell 46.2%. It then rallied 233% over the next six months.

As Bespoke Investment Group, says, "So the thinking goes that if Amazon could pull off a big reversal, maybe Facebook could, too."

That's a big maybe!

If Facebook were to rally like Amazon, its market cap would balloon to almost $230 billion. That would make it one of the five largest companies in the United States.

Sorry folks. Even the village idiot understands that it makes no sense for a company with $4 billion in annual sales to be one of the largest companies in America. The math just doesn't add up.

Bottom line: Please spare me the weak Facebook comparisons. Facebook is not the next Google or Amazon. Based on the fundamentals, the next stop for share prices is lower, not dramatically higher. So keep avoiding the stock like the plague.

Ahead of the tape,


Louis Basenese

This virtual monopoly is set to multiply gains many times over.
In the coming months... if this company has doubled or even tripled in price... you could be sitting around stunned, wondering how you missed out on this... Or, you could go here now to find out about an opportunity to make up to 10 times your money. It all gets started on August 8. More here.
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