Facebook introduces new monetization options from Live Online Events for businesses

Facebook has launched a new feature for businesses. They will be able to monetize online events through Facebook now. This feature has been launched in the US and around nineteen countries on August 14th, 2020.

The coronavirus pandemic hit the world and crashed many businesses in the first few months of the year 2020. Small and medium businesses especially suffered a bad fate. Most of them had to shut down completely, while some businesses resorted to online systems and tech apps in order to keep running somehow. Due to social distancing and lockdown implementations, many large organizations also started using apps and tools to hold their live meetings, classes, and conferences.

Facebook’s Events feature was designed for letting the users organize and respond to gatherings in the real world with people on Facebook. But now, as per the Head of Facebook App, Fidji Simo, Facebook Events is going to give a platform to host large events through Facebook Live, and give the ability to business owners or hosts to create an event, set a date, set a price, promote the even, and collect the money earned from the attendees of the event on Facebook.

Facebook’s Messenger Rooms also provide a platform to host smaller and more interactive meetings.

Fidji Simo has claimed that Live broadcasts on Facebook Pages were twice in June 2020 as compared to the same period last year. Due to the pandemic, many business owners had to bring their services online to reach and maximize their engagement with their remaining clients. This was and is a measure to protect the businesses from completely dooming. Owners of small and medium businesses resorted to hosting events and meetings to sell off their products and services. Even some of the paid events that were organized during the testing phase of this new setting on Facebook, most of these events ranged from cooking classes, meet-and-greet, fitness classes, podcast recordings, boxing matches, live clothes exhibition, live beauty counseling, talks on various subjects, etc.

Facebook is currently not going to charge any fees from these paid online events till 2021. For the countries where Facebook Pay has been launched, and for the web and Android operating systems, there will be no fee till next year and the businesses will get 100% revenue from their online events.

However, Apple already charges a 30% App Store tax, so Facebook has asked them to either reduce this tax or allow them to offer Facebook Pay so that they can absorb all the costs on behalf of the end-user to help businesses that are struggling due to the COVD-19 pandemic. Apple unfortunately has not complied with either request of Facebook, so, now the businesses will receive 70% of revenue instead of 100%.

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