Facebook average revenue per user was $1.28 in Q2, but still below Q4 2011 average

Facebook’s earned an average $1.28 revenue per user in the second quarter of 2012, a nearly 6 percent increase over last quarter, but not even a 2 percent gain year over year. The company’s highest ARPU was in Q4 2011 when it brought in $1.38 per user.

U.S. and Canada revenue per user was back up to its Q4 2011 average of $3.20, but Europe and Asia are still below where they had been. Facebook attributes this to poor economic conditions in Europe and rapid growth in Asia where it hasn’t begun to monetize as well.

As expected, revenue cannot keep pace with user growth as the social network expands in developing countries and other areas where the company’s advertising and payments business is still weak. Facebook experienced 29 percent year-over-year growth in monthly active users, bringing its total to 955 million MAU. Executives noted that Brazil and Japan were among some of the fastest growing regions. These could be much more profitable in the future, as Facebook is actively working to improve its sales and business relations there. For instance, the company is hiring a SMB growth specialist, Japan and a director of online sales and operations, South and Latin America. Facebook also held a version of its fMC marketing conference in Tokyo in March.

However, in India, Indonesia and many African countries, where a larger percentage of users are on feature phones — and sometimes not on desktop at all — monetization will happen more slowly.

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One Response to “Facebook average revenue per user was $1.28 in Q2, but still below Q4 2011 average”

  1. Musings on Facebook's Mobile Future | FBPPC says:

    [...] of its mobile site and apps. Yet what many anxious observers overlook when assessing Facebook’s average revenue per user is the relatively brief history of the company’s efforts to make money on mobile to [...]

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