• Shikhin Agarwal

Facebook Marketing Partners Ecosystem Continues to Grow


Ad-tech industry has been in flux for the intermediaries, like Facebook Marketing Partners (FMP), through last 6 quarters. These companies went through decline in valuations (roller coaster of the comparables like, NASDAQ:FUEL, etc.) and gross margins as a result of squeeze from dominant market players like Facebook and big Agencies. On the whole, raising additional capital remained challenging. Despite challenges, the FMP ecosystem continues to grow from 156 at end of year 2016 to 174 as of Q2 2017.

These 174 partners are divided across seven Specialities on Facebook Marketing Partners Directory (Media Buying speciality was discontinued):

Four most competitive specialities are:

- Ad Tech (companies that build their products using Facebook's APIs),

- Community Management (organic/free posts management),

- Content Marketing (companies dealing with content creation workflows), and

- Measurement (analytics and insights on free and paid social media)

Obviously, lines have become increasing blurred across these seven specialities causing a headache to the product managers to stay differentiated. In addition to Salesforce featuring across 4 different specialities, 23 partners offer 2 or more specialities.

Yet, the most important questions are:

- How far can FMP ecosystem grow given the challenges? This is hard to say at this point.

- What kind of 35 companies were featured as 35 new FMPs? This is something we love to dig deeper.

A quick, high level research indicated the following major company capabilities:

In our next post, we would explore detailed capabilities of these companies to get a sense of the direction of the social media marketing & advertising industry, competitiveness and differentiation.

#socialmedia #socialmedia #adtech #facebookmarketingpartners

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