Facebook has always been known for being progressive in the social media sphere, with innovations spicing up the social lives of its users.
Most of the features that have been presented by Facebook platform have been improvements on its main app.
Lately, Facebook opted for a complete rebrand of this platform and a major product strategy transition. Mark Zuckerberg announced that the company would rebrand and be known as Meta.
The main reason for this is the company’s new focus, the Metaverse.
Why did Facebook change to this video-orientated virtual reality product offering?
What prompted such a sudden change in strategy?
Mark Zuckerberg has always had the vision of connecting users across the world together on his platform. Private messages, visual content posting, and easy post sharing were the options users have grown accustomed to.
The features Facebook had seemed like there are no more that could be added, but then Facebook pulled a rabbit of the hat again, but why the sudden change in strategy?
Facebook reached negative growth
Facebook has been around for almost two decades and has multiple generations using the platform, from baby boomers to Gen X.
Over the years, the platform has grown the number of users and reached millions globally. This attracted significant investment from private and angel investors funding the expansion of Facebook.
However, lately, Facebook has been losing users, and it seemed like there was nothing that the company could do to prevent this.
Rebranding and refocusing on video product offerings might have been the only bailout that could save Meta Facebook.
Social media has been overtaken by video content
Video has taken the world by storm, and users engage better with this type of visual content than any other type of content.
Mark realized this, and Facebook Video came about in the form of Reels, Lives, and native posts. The video production company statistics spiked as small businesses that use Facebook started marketing using video as a form of content.
Therefore, to remain competitive, Facebook opted for a more video-intensive solution that could shape the future of the social media industry.
Meta’s weak forecast and Stock Plunge
Despite the efforts to rescue Facebook from losing investment due to being ex-growth and facing intense competition from video-based social platforms like TikTok, Meta & Facebook’s stock plunged.
At the same time, the stock forecast for Meta is currently seeming weak at this point in time.
Cause of Meta’s stock plunge
Meta Facebook promises bright ideas for the social media industry, but somehow this company is still bleeding money in the stock market.
What is the cause of this plunge?
The main revenue source Facebook has used over the years is advertisements.
This revenue source became shaky over the past couple of months with the new Apple update release on ads.
The update makes it harder for Meta Facebook to generate revenue from advertisements. At the same time, Facebook is facing strong competition from TikTok.
Meta’s legal implications
Additionally, Meta has some legal implications inherited from the former brand it succeeds.
These legal issues were dormant for quite a while but have come to the public’s attention again due to this rebranding.
Some of the legal issues include criminal offenses that Facebook has catalyzed through its former and current usage policies, respectively.
The legal implications have led to distrust and loss of confidence from current investors.
At the same time, a small PC company in Arizona is suing Meta for using the name Meta since it is trademarked for their business.
Facebook focus on video products – The future of Meta
Although the future of Facebook seems a bit bleak due to the legal concerns pending as well as loss of revenue,
Meta has some futuristic concepts for the Metaverse. This futuristic digital platform will be one of the greatest video products to ever hit the market and it’s sure to disrupt the marketing world forever.
Development of the Metaverse
The development of the Metaverse won’t only impact video production but will intensively rely on AR/VR.
Although there will be parts that might require 3D videos, such as real estate sales and other similar aspects, most of the Metaverse will be virtual reality.
Will this development be revolutionary and invite other tech giants to join in the development, Who knows?
Metaverse might invite private and angel investors interested in seeing the development through.
Metaverse has already gained popularity with the recent virtual real estate deals, fashion shows, gaming competitions and some big names backing the concept.
The future is certainly Metaverse-oriented but there’s still a long distance to cover before it takes the shape that Zuckerberg dreams of.
Focus on 3D video production
3D videos are most popular in cinema screenplays. Most movies are now available in this viewing quality.
However, the Metaverse proposes that users with AR/VR headsets can have a taste of this in their daily lives.
As mentioned above, users can buy and sell property using 3D videos produced for the Metaverse.
This could also impact e-Commerce in this major tech development. The focus on 3D video production will change how current visual content producing companies market themselves and handle projects.
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