Here are additional insights from the earnings call;
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Meta expects advertising strength to continue and its ad investments to pay off.
“On your second question, which is about the Q1 year-over-year – sorry, the Q1 revenue guide. This really just reflects a lot of the trends we saw in Q4, which is strong, broad-based advertising demand across verticals, particularly within online commerce and gaming. I’ll also note that we get the benefit from having February 29th in this quarter. And again, just the improvements that we continue to accrue to the business from all of our investments in improving ad performance over time,” CFO Susan Li said.
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In 2023, China-based advertisers represented 10% of Meta’s overall revenue and contributed 5% to the total worldwide revenue growth.
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Reels is now contributing to net revenue across Meta’s apps and the company is now focused on improving their recommendations.
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In Q4, ad impressions grew by 21% driven by Asia-Pacific and Rest of World while the average price per ad increased by 2% " driven by advertiser demand and currency tailwinds, which were partially offset by strong impression growth, particularly from lower-monetizing surfaces and regions."
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WhatsApp is succeeding more broadly in the United States; hence a huge opportunity given that the U.S. is an important contributor of revenue.