General Motors Co. and Facebook are in talks about resuming the ads, two months after a high profile falling out, people close to both companies said, Detroit News reports.
GM’s chief marketing officer Joel Ewanick and Facebook’s global ad sales head Carolyn Everson reportedly met for the first time at the recent Cannes advertising festival to discuss what would bring the automaker back to the table.
General Motors has made no decisions, and wants more evidence that paid advertising on Facebook is effective, the company confirmed. The automaker is willing to reconsider Facebook if it concludes there’s a proper return on the investment, a person familiar with the discussions said.
GM said in May it decided to stop advertising on Facebook, after the company said the ads just don’t work.
However, at that time, Sources told inautonews the reason GM decided to pull its advertising is because Facebook wouldn’t let the company run “bigger, higher-impact ad units” than what it currently offers — i.e., small display ads and Sponsored Stories. GM wanted to run a full-page takeover. Facebook said no.
GM spends about $40 million on its Facebook presence, but only about $10 million of that is paid to Facebook for advertising. The rest covers the creation of content and the agencies involved.
The company also decided not to advertise during the National Football League’s Super Bowl championship next year.
However, GM announced in May that has signed a three-year sponsorship deal with Manchester United, the world’s most popular football club, fixing Chevrolet as the team’s exclusive automotive sponsor.
Joe Ewanick, GM chief marketing officer said football, or soccer as it is known in the United States, has a broad fan base around the world.
“More than 3.5 billion people follow soccer and only about 400 million people follow the NFL,” added Ewanick, referring to the US National Football League, which controls the Super Bowl.
“We have to go where the our customers are,” he said.