Walt Disney Co. has reportedly significantly reduced its planned advertising spending on Facebook, amid a growing boycott from major companies due to hate speech on the social network.
Disney is concerned about Facebook’s enforcement of policies against objectionable content, sources familiar with the matter told the Wall Street Journal. They say that the company has paused advertising for Disney+, after heavily promoting the streaming service earlier this year on the social network. A source added that Disney has paused advertising for Hulu on Facebook-owned Instagram, while other divisions of the company are reviewing their plans.
Disney was the top U.S. advertiser on Facebook for the first half, the Wall Street Journal reported, citing estimates by Pathmatics. The research firm pegged Disney’s spending on Facebook ads over the six-month period at $210 million.
The time frame for Disney’s downsized spending on Facebook ads remains unclear, according to the report. Unlike other companies that have pulled out of the social network, Disney quietly shifted its advertising plans.
Advertisers pull out of Facebook
The Stop Hate for Profit campaign, which was started in June, demanded Facebook address racism in its platforms. Retailer Eddie Bauer, ice cream maker Ben & Jerry’s, and production company Magnolia Pictures, in addition to more than 100 other small businesses, formed part of the advertising boycott. They were later joined by Verizon and PlayStation.
Other companies such as Coca-Cola, Starbucks, and Microsoft have also paused their spending on social media advertising, though their moves were not part of the Stop Hate for Profit campaign.
Facebook is hurting from the lost advertising revenue. It remains unclear if Disney is officially joining the Stop Hate for Profit movement. Digital Trends has reached out to the company for clarification on the matter, and we will update this article as soon as we hear back.
