Facebook is struggling to attract an audience to its Watch platform, making the service mediocre for advertisers and, for some executives, not worth staying for. It is now adapting its strategy to reach more than 30 years.
This is according to CNBC, which reports that the product, released in the US in August 2017, is not thriving and is being largely ignored by media buyers.
A move to the expansive digital video advertising market is crucial to Facebook's future growth, Mark Zuckerberg told investors in October. "Video is a critical part of the future. It's what our community wants, as long as we can make it social, and I think it will end up being a big part of our business as well. "
The company, according to Variety, has invested up to $ 1 billion in original content for the Watch platform. So far, the company has attracted up to 50 million users in the United States each month, the company said in August, although it hardly scratched the surface of the 1.8 billion monthly users registered on YouTube worldwide. According to comments made to CNBC, the company admitted to publishers that it has struggled to familiarize users with the Watch brand.
It is well known that the platform in general is struggling to attract younger users and teenagers. Hootsuite data reported by WARC revealed that about 10 million people aged 13-17 abandoned the platform between January and April 2018. This was, however, more than offset by the growth among older users.
Aware of this demographic reality, Facebook has hinted that it wants its watch shows to reach millennia post-college, which means that now the parents are old or above.
One company told CNBC that Facebook's interest in talent suggests that change as the company pushed for concerts with established stars rather than social media influencers. Two of their shows feature heavy stars from the American showbiz world, including Jada Pinkett Smith and Catherine-Zeta Jones. Elsewhere, Facebook is bringing back MTV The real world, one of the first reality series that aired in 1992.
But the fight has been pushing people (and advertisers looking for them) out of the news feed. "We see Watch and News Feed serving complementary purposes, so it makes sense that video consumption and discovery are happening in both places," said Matthew Henick, director of content strategy and planning for Facebook, in a statement . But other commentators have noted the major change in user behavior, which he assumes is possible.
An alternative view is that Facebook is also offering conflicting advice to advertisers, with the recommendation that content less than 15 seconds is the future at odds with the argument for a long-term content and advertisement proposition.
As Motley Fool's Adam Levy noted in August, part of the problem of Facebook may be competing directly with YouTube rather than offering something completely different. "The clock needs to be an alternative to YouTube, a video destination that offers something different," he said. "Facebook started trying to mimic YouTube, but it's starting to find a new angle to take advantage of its huge, integrated user base."
Originated from CNBC, Searching for Alpha, Variety, The Verge, Motley Fool; Additional Content by WARC Staff