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Initiative president calls Facebook and tells its customers to pull the ads

 

 

Mat Baxter, CEO of the advertising agency Initiative, used his LinkedIn profile on Wednesday to criticize Facebook about his latest scandal concerning user data. Baxter called Facebook's behavior "flagrant" and said it's advising customers to stay out of the platform. In all the security and data privacy issues of Facebook users this year, the CEO is one of the first major advertising executives to say that his agency would advise customers not to advertise on the platform .

What motivated the comment Baxter's message on LinkedIn was a response to the New York Times' Tuesday report that Facebook had shared more user data than what was previously announced, including with Apple, Amazon, Microsoft, Bing, Netflix, Spotify, etc. Baxter's LinkedIn message drew 262 likes and more than 60 comments. Some commentators encouraged Baxter to take a stand, while other industry professionals responded. A social media account manager said that it would be "absolutely detrimental for a brand to not advertise with Facebook."

The Wall Street Journal drew more attention to Baxter's message on LinkedIn in LinkedIn when she published an article in her CMO Today section highlighting the call of the CEO at a stand against opponents against Facebook.

A spokesman for IPG, the parent company of Initiative, told the Wall Street Journal that comments from Baxter Michael Roth, CEO of IPG, said the following: "We are waiting to all media platforms to be transparent about their use of consumer data and we will continue to work closely with our media partners, including: Facebook, to ensure we have the best information when we inform our clients case by case on the best way to invest their media budgets. "

Responses of Marketers. As a result of the New York Times report, media buyers told the company that Facebook's Marketing Land data contracts would have no impact on advertising investments on the platform In the Marketing Land report released Wednesday, Aimclear founder Marty Weintraub said his digital agency customers were more concerned about marketing results of performance that legal remedies from Facebook.

at likely marketing results, "Weintraub told Marketing Land.In response to our report, Marketing Land expressed dismay among marketers but no one did not admit to withdrawing advertising dollars from Facebook or advising customers to do so.

Tony Verre, Vice President of Commerce ectronic at The Integer Group in Dallas, said Baxter's position of advising customers not to advertise on Facebook was commendable, and he would like other global news agencies to do the same. But he added that agencies have a responsibility to do what is best for their clients.

"As true as is a moral and ethical stance, Baxter and Initiative have a fiduciary responsibility to Mr. Glass," Until users begin to leave Facebook, until the end of the day. " that users reject misconduct, mismanagement and mismanagement of the platform, other media agencies will continue to feed it, because, as the saying that it will It's where the money is. "(As a partner of the Omnicom network, Integer Group is 100% committed to Facebook campaigns, said Glass.And although it does not participate directly in any advertising campaign on Facebook, he managed The Facebook campaign was published in September.)

Glass pointed out that Baxter did not mention the fact that Initiative is the Global Media Agency for Amazon – A Company That, According to the New York Time Report she was one of the people of the Law. The partners of cebook had access to the data of the users benefiting from the data sharing rules of Facebook.

"Will Baxter also abandon Amazon as a customer and not spend advertising dollars? While Facebook is the easy target – the big and bad monster – Baxter and Initiative deposing Amazon as a customer would really show its commitment, right? ", Demanda Glass.

The Facebook Response. In response to Baxter's LinkedIn message, Carolyn Everson, vice president of global marketing solutions for Facebook, told the Wall Street Journal that Facebook was focused on educating users about privacy options and commenting on the company's relationship with IPG, parent company of Initiative: "Every day, we work hand in hand with our advertising partners to help them develop their activities and to better serve their customers We have a strong partnership with IPG agencies around the world and we hope this will continue for years. "

Facebook promptly reacted to New York Times report when he debuted. Tuesday, saying that he had done nothing wrong.

"To be clear: none of these partnerships or features allowed companies to access information without the permission of individuals, nor did it violate our 2012 agreement with the FTC, "wrote the director of Facebook. the news blog of the company .

Why You Should Care About It Baxter's comments are catching the eye as he is one of the few advertising executives who has spoken directly to Facebook about his ongoing mismanagement of user data. It is rare for you to find an advertising agency CEO – especially a representative of LEGO, Unilever, Victoria's Secret and Revlon – willing to go as far as Baxter in advising customers not to post ads on Facebook.

It's hard to determine what will "affect the masses" if industry leaders oppose Facebook, a company that has long been a key revenue engine for thousands of print media agencies. publicity. In 2017, brands were ready to quit YouTube about security measures, and many took the floor, including Keil Weed, CMO of Unilever. But the situation was different as YouTube put brands at the heart of extremist content.

Facebook's privacy issues do not pose a direct threat to brands. In fact, the opposite is true: Facebook's management of user information benefits brands and agencies alike, as it enables highly targeted advertising practices that deliver unparalleled results to advertisers. However, if more and more industries are pushing back and actually generating advertising revenue, there is a risk that Facebook's advertising activities will be taken into account. The problem to be solved here is whether advertisers will go against their business objectives and adopt a moral stance against Facebook's user policies.

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Amy Gesenhues Is The Journalist Of The General Assignment Third Door Media, which covers the latest news and updates for Marketing Land and Search Engine Land. From 2009 to 2012, she was an award-winning columnist for several dailies from New York to Texas. With over ten years of experience in marketing management, she has collaborated on various traditional and online publications, including MarketingProfs.com SoftwareCEO.com and the magazine Sales and Marketing Management. Read more articles from Amy.