GM (GM) Hints at Possible Return to Facebook (FB) Advertising
Tweet
Share
E-mail
Get Alerts GM Hot Sheet
Price: $79.41 -1.27%
Overall Analyst Rating:
SELL (= Flat)
Dividend Yield: 0.9%
Revenue Growth %: -0.3%
Overall Analyst Rating:
SELL (= Flat)
Dividend Yield: 0.9%
Revenue Growth %: -0.3%
Join SI Premium – FREE
General Motors (NYSE: GM) wishes it could quit you Facebook (Nasdaq: FB).
According to Reuters this morning, the Detroit, MI-based automaker and everyone's favorite social networking site might be in talks for GM to re-assume an advertising campaign.
GM made a public announcement ahead of Facebook's IPO last May about how it would stop putting ad dollars to work at Facebook, seeing little in the way of return on the spend. GM said it dedicated about $40 million to its Facebook effort, with only $10 million being spent on advertising.
Alan Batey, GM's interim Chief Marketing Officer, said talks between the two were ongoing. Comments were made at the NAIAS in Detroit this week.
Though GM's total spend might not move the pointer too much in terms of Facebook's overall take, it might signal to other corporations that its okay to use Facebook for broader advertising measures.
On Tuesday, Facebook debuted Graph Search, which aims to connect users for more precise searching. Though the platform isn't expected to be a Google (Nasdaq: GOOG)-killer, it may help garner more ad dollars for those that want to pinpoint campaigns.
Shares of Facebook and General Motors are lower Wednesday.
According to Reuters this morning, the Detroit, MI-based automaker and everyone's favorite social networking site might be in talks for GM to re-assume an advertising campaign.
GM made a public announcement ahead of Facebook's IPO last May about how it would stop putting ad dollars to work at Facebook, seeing little in the way of return on the spend. GM said it dedicated about $40 million to its Facebook effort, with only $10 million being spent on advertising.
Alan Batey, GM's interim Chief Marketing Officer, said talks between the two were ongoing. Comments were made at the NAIAS in Detroit this week.
Though GM's total spend might not move the pointer too much in terms of Facebook's overall take, it might signal to other corporations that its okay to use Facebook for broader advertising measures.
On Tuesday, Facebook debuted Graph Search, which aims to connect users for more precise searching. Though the platform isn't expected to be a Google (Nasdaq: GOOG)-killer, it may help garner more ad dollars for those that want to pinpoint campaigns.
Shares of Facebook and General Motors are lower Wednesday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- UBS Reiterates Buy Rating on General Motors (GM) as Defense Opportunity in Focus
- Castle Biosciences CFO Frank Stokes named Houston Business Journal honoree
- Dyne Therapeutics adds Barry Greene to its board of directors
Create E-mail Alert Related Categories
Insiders' BlogSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
