How Much is a Facebook User Worth?

Are You Interested LogoAdam Ostrow wrote an interesting piece on Mashable about the value of a Facebook user. Based on the publicly traded company SNAP Interactive (previously eTwine holdings) that owns the Are You Interested and Meet New People applications, Adam Ostrow deduced that the value of each Facebook user is $1.40. You can read his post to see how he got to this conclusion. This is a far cry from the hundreds of dollars that Lee Lorenzen of Altura Ventures has valued Facebook at.

I would argue that $1.40 a user is still a low estimate. Facebook can earn significantly more from each user and a leading application can expect significant growth over the next 12 months. Additionally, Are You Interested is far from finished in optimizing their advertising system. Additionally, this calculation is the value of a dating application user. Other applications can build brand relationships and create significantly more value per user.

Valuing Facebook users at this point is a completely inaccurate science at this point but revenue information from a public company helps us come up with an estimate. If you are heavily invested in the social networking space you may want to consider buying some SNAP Interactive stock. Then again, this company is traded over the counter and lack of daily volume may just prevent you from exiting your position anytime soon.

So how much do you value a Facebook user? Do you have any creative ways for more effectively monetizing your application users?