What is #StopHateForProfit?
The #StopHateForProfit campaign has urged companies to pause their Facebook ad spend during July 2020 due to Facebook allowing content which is said to encourage violence towards those protesting for racial injustice.
Currently over 90 well-known brands have joined the campaign, including Coca-Cola, Levi’s, and Unilever. While it’s great that large corporations are urging change for the better, it also poses the question of whether this could be a potential opportunity for smaller brands?
How so? Let’s take a look.
The potential outcome for smaller brands
For smaller businesses that have a limited advertising budget, the Facebook ads boycott by large corporations could prove an interesting opportunity.
That’s because with fewer advertisers using Facebook ads, there is less competition in the Facebook ads auction. If you’re new to using Facebook ads, Facebook uses an auction to determine the very best advert to show a user at a certain time.
Millions of auctions occur every day as advertisers compete to show their ads to similar target audiences. Only a select number of ads can be shown to one user at any one time, and so, advertisers must bid against each other.
However, Facebook does state that it’s not necessarily the highest bid that wins an auction – the ad with the most relevant content will be chosen.
When there’s less advertiser competition, the CPM (cost per thousand impressions) will decrease, meaning your overall spend will be significantly less. This occurred during the peak of the Covid-19 pandemic in March and April 2020, when many brands decreased their budget spending, reflecting in lower CPM.
Now is the time to start Facebook advertising
If you’re a new or upcoming brand with a limited marketing budget, now is the perfect time to advertise on Facebook.
Of course, that doesn’t mean you need to ignore current news events. Be smart, think outside the box, and use this to your advantage. You can use your Facebook Ads to drive brand awareness, engagement, and conversions, as well as being mindful and sympathetic to your audience.
If you are looking for branded content ads or mobile-first creatives for your Facebook or Instagram ads, take a look at how Insense can help you.