Exclusive: Facebook reaches 1 million active advertisers
By Jennifer Saba
(Reuters) - Facebook Inc said on Tuesday it now has 1 million active advertisers globally who used the platform in the last 28 days, a milestone for the company that is seeking to revive its revenue growth.
A vast majority of those advertisers are small business owners who have flocked to the world's No. 1 social network.
Facebook executives are hoping to net even more small advertisers since 16 million local businesses, ranging from jewelry sellers to clothing stores, set up free pages on the network.
While pinpointing how much money small advertisers spend only online is difficult, in total they spent approximately $32 billion during 2012 in the United States, according to market research firm eMarketer.
"Most small business owners start off as Facebook users, then migrate to become page owners, and from there migrate to become advertisers," said Dan Levy, Facebook director of small business.
He said that Facebook does not plan to start charging businesses to set up pages.
Advertising accounts for 85 percent of Facebook's revenue - which also includes dollars from the world's largest brands and advertising agencies. But the company is trying to spark its ad growth following a sharp slowdown last year.
Last quarter, Facebook reported first-quarter revenue of $1.46 billion. Advertising revenue rose 43 percent, the fastest growth rate since the end of 2011. Continued...