Meta’s European ad growth dropped to 18% in the third quarter, down from earlier highs, following the rollout of less personalized advertising options.
Key points
- Meta reported 18% year-over-year ad revenue growth in Europe for Q3.
- Growth slowed from approximately 40% in Q1 and 24% in Q2.
- The slowdown follows the introduction of Less Personalized Ads in the EU.
Meta reported slower advertising revenue growth in Europe during the third quarter. The company saw an 18% increase year-over-year, which is lower than previous quarters and trails performance in the US and Canada.
What happened
According to Wired, Meta reported 18% year-over-year ad revenue growth in Europe for the third quarter. This figure represents a decline from approximately 40% growth in the first quarter and 24% in the second quarter. The company’s earnings briefing on Wednesday highlighted that revenue growth has slowed since the European Union introduced Less Personalized Ads models at the beginning of this year. Meta’s European performance is currently lagging behind that of the US and Canada.
Why it matters
Ad revenue growth in Europe slowed as Meta implemented new privacy-focused advertising options. The transition to Less Personalized Ads limits the data available for targeting, which can reduce ad effectiveness. Companies relying on precise audience segmentation may see lower engagement rates when user data is restricted. This shift reflects broader regulatory pressures in the EU regarding digital privacy and data usage.
The fix
- Review current advertising strategies for compliance with EU privacy standards.
- Analyze performance metrics before and after the rollout of new ad models.
- Adjust targeting parameters to work within less personalized constraints.
- Monitor competitor strategies in the European market for comparative insights.
Why it matters
Organizations should expect fluctuations in ad performance when privacy regulations change. Teams usually need to adapt targeting strategies to comply with new data restrictions. Check whether your current campaigns rely heavily on granular user data. Adjust expectations for return on investment as targeting capabilities become more limited. Focus on creative quality and broad audience appeal to maintain engagement levels.
What to do and how to stay safe: Meta
- Review your organization’s advertising compliance with EU privacy regulations.
- Analyze recent ad performance data to identify trends related to targeting changes.
- Consult with legal teams to ensure marketing practices align with current laws.
- Monitor official updates from Meta regarding new advertising policy implementations.
Step-by-step guide: What is password policies and how they protect systems
General security guidance from the Crypt Weekly newsroom. It is not confirmed advice from the organisations named in this story.
Frequently asked questions
How much did Meta’s ad revenue grow in Europe in Q3?
Meta reported 18% year-over-year ad revenue growth in Europe for the third quarter.
What caused the slowdown in ad revenue growth?
The slowdown followed the rollout of Less Personalized Ads models in the European Union.
How does Europe’s growth compare to the US and Canada?
Meta’s European ad revenue growth is lagging behind the performance in the US and Canada.
