The Weekend Leader - 7 Reasons Why Investing in a Facebook Page May Not Be Ideal for Your Business

7 Reasons Why Investing in a Facebook Page May Not Be Ideal for Your Business

10-June-2023

Photo: iStock.com/ Urupong

The recent changes made in Facebook’s algorithms have raised concern among many users around the world about the declining organic reach of their pages, which has affected their businesses in many ways.

While Facebook users have been complaining, You Tube users have generated a lot of income through their channels. In this article, we will explore 7 reasons why investing in a Facebook page may not be ideal for your business.

Declining Organic Reach


One major concern for businesses is the significant decline in organic reach on Facebook. In the past, businesses could reach a large portion of their follower base without additional advertising expenses.

Unfortunately, algorithmic changes have severely impacted organic reach, limiting businesses' ability to engage effectively with their audience. This decline raises questions about the fairness and transparency of Facebook's policies.

Pay-to-Play Model


Facebook's current model seems to follow a "pay-to-play" approach. Businesses are now required to invest in advertisements to reach their existing followers, creating an ongoing spending cycle.

The organic reach has dropped drastically and many businesses that invested lakhs of rupees building their followers are now being forced to spend even more money on reaching their very own followers.

The sudden decline in organic reach is seen as ethically questionable and contrary to sound business practices and also as a clear deficiency in service.


Lack of Transparency


Facebook's evolving algorithms often lack transparency, leaving businesses uncertain about the criteria that determine content visibility. This lack of clarity creates a sense of unpredictability, making it challenging for businesses to strategise and adapt to ensure effective reach.

In contrast, platforms like YouTube provide creators with more insights and transparency into their content's performance and audience engagement.

Limited Data Ownership



Businesses investing in a Facebook page often have limited access to user data and analytics, hindering their ability to understand their audience and tailor their marketing efforts accordingly.

Facebook's data policies and restricted access to valuable user insights make it difficult for businesses to develop personalised and targeted campaigns. In comparison, YouTube offers robust analytics and data ownership to content creators, enabling them to optimise their content strategy effectively.

Rising Advertising Costs


With the decline in organic reach, businesses have become increasingly reliant on paid advertisements to reach their target audience on Facebook.

Consequently, advertising costs have risen, placing a considerable financial burden on businesses, especially small and medium-sized enterprises. This aspect further questions the return on investment for businesses in relation to their Facebook page.

Shifting User Demographics


Facebook's user demographics have undergone a shift in recent years, with younger generations gravitating towards other social media platforms.

This trend has implications for businesses targeting specific age groups or demographics, as their audience may not be as active or engaged on Facebook. Diversifying marketing efforts across multiple platforms becomes crucial to ensure broader reach and engagement.

Competitive Alternatives

As businesses evaluate their social media marketing strategies, they are increasingly recognising the potential of alternative platforms, such as YouTube, that provide revenue-sharing opportunities.

YouTube's ad-sharing model has enabled creators to build successful careers, earning substantial revenue through their content. This contrast in revenue-generation options has prompted businesses to explore other platforms that offer greater financial incentives.

There are many success stories of YouTube creators who have not only built their brands but have also found financial success through the platform. Here are some of the Indian You Tube Success stories.

Bhuvan Bam: Known for his YouTube channel "BB Ki Vines," Bhuvan Bam started creating humorous and relatable content. Today, he is one of India's most successful YouTubers, with millions of subscribers and brand collaborations that have helped him achieve tremendous financial success.



Prajakta Koli: Popularly known as "MostlySane," Prajakta Koli's YouTube journey began with comedy sketches and vlogs. With her engaging content and infectious personality, she has gained a massive following and collaborated with numerous brands, establishing herself as a prominent influencer and entrepreneur.

Gaurav Chaudhary: Gaurav, popularly known as "Technical Guruji," started his YouTube channel to share tech-related knowledge in Hindi. With his passion and expertise, he has garnered millions of subscribers and collaborations with leading tech brands, making him one of India's most influential tech YouTubers.

While Facebook continues to be a prominent social media platform, recent changes in its algorithms and business practices have raised concerns among businesses, especially in terms of declining organic reach and limited revenue-sharing opportunities.

As businesses in India plan their social media strategies, it becomes essential to evaluate the return on investment and consider diversifying their presence across platforms that offer more transparency, revenue-sharing incentives, and targeted audience engagement. By adopting a strategic and diversified approach, businesses can maximise their reach and build successful digital brands. - TWL Bureau




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