Facebook stock is down by 13%, which translates to ~$75Bn loss in market cap.
FYI: This is Facebook’s worst since July 2012. And going by the current emotions, expect it to go worse atleast for the next few days.
What can Facebook do?
Apart from fixing the core issue, Facebook needs to learn from Apple.
When the news about Apple battery slowdown came out, Apple instantly offered battery replacement for 50% discount; while geeks and media still hold Apple against the issue, consumers / generic public at large has moved on and will buy the next ‘thinner’ iPhone.
Coming back to Facebook, what’s really important is this:
Facebook needs to convince consumers that their data is safe. And the company will stop all unethical practice.
For the love of $$, Facebook can’t turn into a charity. But given the current sentiment, here is what I believe will work.
Enable Facebook users to opt-out of data sharing for a small fee (maybe, starting with $1/year).
That is, Facebook PRO
Why not? Imagine a tier pricing where you use Facebook PRO and see no ad / have better control over your feed? A preference in selling/buying marketplaces?
And in the process, improve the user’s experience by 10X. A good (re)starting point?
That is, make them believe again that Facebook is ‘still’ about YOU (user) and not THEM (i.e. Facebook).
Note that just like Apple case, the regular user of Facebook still doesn’t have an alternative to Facebook and the company just needs to throw in more weight to win back everyone.
What’s your take, Mr. “I AM THE CEO, BITCH” Zuck?