GM in talks with Facebook to return as a paid advertiser

Article by Christian A., on January 18, 2013

Talks are ongoing between General Motors Co and Facebook Inc about the possible return of the U.S. automaker as a paid advertiser, according to Alan Batey, GM's interim marketing chief. GM announced eight months ago that it will stop running ads on Facebook. At the Detroit auto show, Batey confirmed that talks are ongoing with the officials of the social networking website.

However, he asserts that there’s nothing to announce yet. Batey told Reuters that GM halted the ads because it just didn’t recognize their value. A few days before the May 2012 IPO of Facebook, GM announced that it was dropping paid ads on the website since it had minimal impact on consumers. Previously, GM said that for its Facebook presence, it had to spent around $40 million. Of this amount, just $10 million was paid to Facebook for advertising.

About $30 million goes to content creation, advertising, and the media agencies. Last summer, sources said that the two companies were talking about GM's comeback and Facebook said that it will offer data to GM to demonstrate how effective the paid ads are.

Back then, Facebook didn’t offer any concessions. Batey said that he won’t give details about the talks or indicate when GM may return to Facebook, where it continues to have pages for which it pays no fees to market its car and trucks. Batey said that he wouldn’t want to make any predictions.

But he admitted that “there were some things.” GM also said last May that it won’t have ads during the 2013 Super Bowl because the spots were overpriced. Batey said that the decision is still in place. Batey also revealed that there’s nothing to be said yet on whether GM will hire a permanent chief marketing officer. The position was vacated last August by chief Joel Ewanick, who was fired for not properly disclosing the full cost of a $559 million sponsorship agreement with English soccer club Manchester United.

If you liked the article, share on:

Topics: gm, facebook, advertising

Comments

Recommended

Dubai is one of the few countries where expensive cars are the norm, many of which are specially modified as well. And this just in: Bentley has debuted the new...
by - November 21, 2017
The 2018 Jaguar XEL with its stretched-out wheelbase and longer doors is the newest addition to the growing list of premium sedans in China---joining the ranks of Mercedes-Benz C-Class L,...
by - November 21, 2017
Honda this week announced that its all-new 2018 Clarity Plug-in Hybrid will arrive at US dealerships with a starting price of $33,400 beginning on the first of December. Because the...
by - November 21, 2017
Lamborghini had been expected to refresh its entry-level model – the Lamborghini Huracan – in late 2018 or early 2019. But here is some good news for fans of the...
by - November 20, 2017
The Chevrolet Corvette will be turning 65 years old in 2018, and as part of the celebrations, the brand is introducing a special edition C7 – the Chevrolet Corvette Carbon...
by - November 19, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries