Meta advertisers are adrift in adversity as bug-filled problems persist

Advertisers are experiencing several issues with Meta ads, including frequent bugs, ad overspending without proper compensation, and a lack of timely communication from Meta regarding these problems. Specifically, there have been instances where Cost Per Mille (CPM) rates have spiked, causing advertisers to be charged significantly more for ad delivery. Additionally, when issues are reported to Meta representatives, the response is often slow or non-existent, leading to frustration among ad executives.

Meta's response to the ad overspending caused by bugs has been largely unsatisfactory for advertisers. Max Langlois and Rok Hladnik have both reported that communication with Meta's client support managers has not led to a resolution, and advertisers are often left without official communication from Meta. In some cases, advertisers who do hear back from Meta are offered credits instead of actual refunds for the money lost due to bugs. This has led to a growing frustration among ad executives.

Selom Agbitor, co-founder of tattoo skincare brand Mad Rabbit, has taken proactive steps in response to the issues with Meta's ad platform by reducing spend on Meta by about 20% to 25%. This decision has not impacted revenues as much as anticipated, and it has encouraged the exploration of other advertising channels. Agbitor's team is now testing alternatives such as YouTube, TikTok, podcasts, and Connected TV (CTV) to diversify their advertising strategy and reduce reliance on any single platform.

Advertisers are considering reducing their spend on Meta ads due to ongoing bugs and instability issues that have led to overspending and underspending, as well as errors occurring multiple times each month. The lack of effective support and communication from Meta has damaged the relationship between the platform and its advertisers. Additionally, the need for diversification and the desire not to be overly reliant on one platform are driving advertisers to explore other channels. Macro-economic factors and competition are also influencing spending decisions, particularly for European brands.

The industry perspective on diversifying from Meta ads is that many in the advertising sector are actively seeking to diversify their ad spend. This sentiment is driven by the desire to not be overly dependent on Meta, coupled with the frustration over the platform's bugs and the lack of adequate support. Even large holding companies are starting to reconsider their reliance on Meta. The industry is questioning whether Meta's dominance in social spend is justified or a result of default and laziness. There is a consensus that exploring other options is necessary, and advertisers are evaluating their approaches to ensure they are spending their clients' money effectively.