By WSJ City
Facebook said it is ramping up its global advertising spending as it aims to rebuild trust after a series of privacy missteps and other controversies dented the social-networking giant's reputation.
Marketing chief Antonio Lucio said the company has been tarred by election interference and misinformation on Facebook as well criticism of its privacy and data management. The FTC is also investigating its privacy practices
-- The push could more than double the company's advertising spending.
-- Ad-tracking firm Kantar estimated it shelled out $382m in the US last
year, up from $50m in 2017.
-- Facebook will work with a revamped roster of creative agencies on
campaigns for brands including WhatsApp and Instagram.
-- This is a shift from hiring shops for specific projects, many of them
aimed at businesses instead of consumers.
"There's no question we made mistakes and we're in the process of addressing them one after the other, but we have to tell that story to the world on the trust side as well as on the value side," said Antonio Lucio.
Why This Matters
Facebook does trail some big rivals when it comes to ad spending. According to Kantar's estimates, Amazon spent $1.84bn on US ads last year, making it the fifth-largest advertiser in the country. Google spent $660m in 2018, Kantar said. The Kantar figures don't include some digital ad spending.
A fuller story is available on WSJ.com
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(END) Dow Jones Newswires
June 17, 2019 04:15 ET (08:15 GMT)
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