Meta, the parent company of Facebook and Instagram, has announced a new policy that will charge advertisers an additional fee when promoting posts through iOS apps.
This policy change is due to Apple’s update to its App Store Review Guidelines in 2022, which now classifies “boosted posts” as in-app purchases.
Impact of the New Policy on Advertisers
- Starting in late February in the United States and expanding to other markets later this year.
- Apple will handle the billing process for “boosted posts” directly through iOS apps.
- This means the cost of promoting posts on iOS apps will become more expensive for advertisers.
Meta: No Choice But to Comply with the New Policy
- Meta has stated that they have no choice but to comply with Apple’s policy.
- “We don’t want to remove the ‘boosted posts’ feature, as it can hurt small businesses by making them less visible and potentially eliminating their way of promoting their business,” Meta wrote.
Changes in the Payment Process
- In addition to the additional fee, advertisers who still want to promote posts through iOS apps will be required to use a new payment process.
- They will also be required to top up their account balance in advance and pay for the promotion directly before the post is displayed.
Avoiding Additional Fees with Mobile Web or Desktop
- Advertisers who pre-fund their accounts through the iOS apps, i.e. Facebook and Instagram, will be charged a 30% fee.
- As an alternative, they can pre-fund their accounts through their Meta account on desktop or mobile web.
- This way, they can use the funds to promote posts from various devices, including iOS apps, without incurring additional fees.
Advertiser Dissatisfaction Expected to Increase
- This new policy is expected to generate significant dissatisfaction among advertisers, especially iOS users.
- Meanwhile, Meta continues to work on providing alternative solutions, but many users prefer the convenience of using the mobile app.
- This is further compounded by the new payment system, which is considered inconvenient. The “additional fee” adds to the burden on advertisers and potentially hinders promotional activities on Meta’s platforms.
So, how will Meta and Apple respond to advertiser feedback going forward?
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