Facebook-Apple spat escalates: Facebook launches PR campaign defending targeted advertising
On Thursday, social media giant Facebook launched a campaign called "Good Ideas Deserve To Be Found" attempting to explain to users how small businesses rely on targeted advertising. Facebook will air commercials on radio and on TV, including during the Golden Globe Awards on Sunday. The move is seen as a defense against Apple's upcoming curbs on cross-platform ad tracking on iOS.
Facebook spending millions to save its advertising-dependent revenue model
Under the campaign, the company will launch an Instagram sticker and a Facebook hashtag "DeserveToBeFound," so small businesses can market their products across its properties. Reuters cites a source familiar with the matter saying Facebook is spending millions on this ad campaign. Facebook's business model relies on revenue from ads and businesses that let customers purchase directly from within Facebook and Instagram.
Facebook waives fees, will simplify Ads Manager for small businesses
Facebook added that it will simplify its Ads Manager interface for small businesses. It is a tool that enables brands to buy and create Facebook ads for themselves. Alongside this, the company will continue to waive the fees it charges from businesses for selling via Facebook and Instagram. The fee waiver has been extended through June in an attempt to attract small businesses.
Campaign strengthens Facebook's argument in favor of personalized advertisements
The move seems to bolster CEO Mark Zuckerberg's retaliation against Apple's upcoming policy changes. Apple will launch a feature called App Tracking Transparency in an upcoming iOS update. It will mandate app developers to seek consent before collecting users' Identifier for Advertisers (IDFA) tags. Simply put, IDFA enables your search for headphones on Amazon to manifest as a headphone ad on, say, Instagram.
Facebook expects revenue to plummet if Apple proceeds with policy
Soon after Apple announced the changes, Zuckerberg told investors of Facebook and its subsidiaries that a sharp drop in revenue can be expected if Apple goes ahead with the changes. Facebook even ran full-page newspaper advertisements explaining how small businesses depend on advertising. Apple CEO Tim Cook defended its pro-privacy move at a conference, taking a jab at Facebook and Google's invasive tracking policies.
Meanwhile, Apple fails to listen to its own anti-advertisement rhetoric
While Zuckerberg seems to have taken Apple's policy change as a personal attack, the smartphone maker clearly isn't practicing what it preaches. Earlier this month, we reported Apple pushing advertisements in App Store's search menu. The move drew flak from long-time iOS users. Despite being embroiled in antitrust lawsuits, Facebook alleges Apple is participating in anti-competitive behavior.
