Advertisement
  1. SEJ
  2.  » 
  3. Facebook

Meta Reportedly Developing Privacy-Friendly Ad Options

Meta's 'Basic Ads' won’t use advanced targeting, and are intended to counter losses caused by data privacy concerns

Meta Reportedly Developing Privacy-Friendly Ad Options

Meta, Facebook’s parent company, is reportedly in the process of developing a new type of ad that will rely on less user data for targeting.

Rather than relying on personal data, the ads will be measured using basic metrics like engagement and video views.

Initially reported by Business Insider, this product is said to be intended for advertisers seeking to build brand awareness and shape product perception.

Pricing has not been announced and so far, Meta, Facebook’s parent company, has not commented.

Changes Seemingly Drive By Privacy Changes

Meta’s ad revenue has been on unstable ground since the release of iOS 14 in September 2020, which allowed iPhone users to opt-out of having their data collected. This feature is expected to cost Facebook nearly $16 billion in lost revenue in 2022 alone.

Last April in Meta’s First Quarter 2022 Results Call, CEO Mark Zuckerberg discussed concerns about what this could mean for the social media giant and addressed strategy moving forward.

“We’re managing the headwinds from signal loss… This means growing first-party understanding of what people are interested in by making it easier for people to engage with businesses in our apps – whether that’s completing purchases on Facebook or Instagram, or messaging businesses on WhatsApp or Messenger,” Zuckerberg said on the call. “It also means making sure we build the best privacy enhancing technologies to provide accurate targeting and measurement to advertisers even when purchases aren’t happening within our apps.”

Quality of Ads Could Counterbalance Lack of Granular Targeting

If “Basic Ads” does rely on engagement and video views, as is being reported, this could mean an advertisement’s reach and performance will depend upon the amount of engagement it generates.

An ad that receives a high level of engagement, would theoretically reach a larger audience. However, this exposure will be offset to some degree through viewers who will never convert into customers.


Source: Business Insider

Featured Image: kovop58/Shutterstock

Category News Facebook
ADVERTISEMENT

Subscribe to SEJ

Get our daily newsletter from SEJ's Founder Loren Baker about the latest news in the industry!

Topic(s) of Interest*
By clicking the "SUBSCRIBE" button, I agree and accept the content agreement and privacy policy of Search Engine Journal.
Ebook

Brian Frederick

Brian is an experienced writer with a background in journalism, marketing and advertising. He has been writing online since the ... [Read full bio]

ADVERTISEMENT
Advertisement
Read the Next Article
Read the Next