How does a social networking website make money like face-book ?

Question

How does a social networking website make money like face-book ?

Answer 1

Through advertising, I imagine

Answer 2

The big joke about Facebook is that even though it's "worth" some $8-billion (according to Facebook), it really doesn't make any money -- they're trying with all the ads and sponsored applications, but it actually doesn't produce any positive revenue. They're hoping to generate $1-billion per year by 2015 but it makes nowhere near that now.

Answer 3

oh come on this business model is now ended, new idea and u have made it!

Answer 4

Facebook and other social networking sites are great big pools of consumers as far as advertisers are concerned. Just like Yahoo!, facebook and other sites know a lot about their members - their likes and dislikes, what they do for a living, where they live, all sorts of stuff that companies selling products or services would LOVE to know.

So, they make that information (demographics) available to advertisers/businesses. If the site reaches the kinds of people they want as customers, they'll pay to be featured as an advertiser. It can be VERY lucrative, especially for companies that want Internet-savvy customers.