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Adapting to Apple’s Changes: Meta Introduces Additional Charges for Boosted Posts on Instagram and Facebook
Meta, the parent company of social media giants Facebook and Instagram, announced on Thursday that it will be implementing a new fee for advertisers who wish to boost the visibility of their posts on these platforms’ iOS apps. This change is a direct result of a recent update in Apple’s App Store policies, where the tech giant extended its traditional 30 percent cut of digital purchases to include boosted posts, which essentially serve as advertisements.
A Response to Apple’s Update
The 2022 update targeted Meta and other social media applications that offer in-app payments for users to increase the reach of their content. Consequently, Meta has issued a statement emphasizing the impact on small business owners and influencers who seek to purchase boosts on iOS. According to Meta, these individuals will now be billed through Apple, with the company retaining a 30% service charge on the total ad payment, prior to applying any relevant taxes.
However, Meta has outlined an alternative solution for users to circumvent this additional charge. Users can still purchase boosts on Instagram and Facebook through their desktop or mobile websites, thereby bypassing the Apple fee that is specifically imposed on iOS users.
The Value of Boosted Posts
Meta underlines the significance of the boosting feature, stating that removing it from the apps would negatively impact small businesses. By making the feature less discoverable, businesses could potentially lose a valuable tool for promoting their products or services.
To further adapt to the changes brought by Apple, Meta has introduced a revised payment process for users who wish to boost posts through its iOS apps. They will now need to add prepaid funds and pay for these funds before having their boosted posts published. Additionally, Meta will charge an extra 30% to cover Apple’s transaction fee for preloading funds on iOS. Initially, this new payment process will be rolled out in the United States, followed by “additional markets and countries” later in the year.
Apple’s Perspective
Apple spokesperson Adam Dema defends the requirement of in-app purchases for digital services, including boosting. According to Dema, boosting is categorized as a digital service, making in-app purchases a necessity. He maintains that this has always been the case, with successful examples of other apps implementing such payment structures.
To read How Meta Advertisers Can Avoid the 30% Apple Charge for Boosted Posts
Meta’s Ongoing Criticism of Apple
Meta joins a growing list of companies criticizing Apple and its recent policies. Following the introduction of a 27% tax on alternative payment methods in the United States, Apple has also disclosed plans to permit developers in the European Union to utilize alternative app stores, subject to a newly introduced “Core Technology Fee.”
In conclusion, Meta’s decision to introduce additional charges for boosted posts on Facebook and Instagram’s iOS apps reflects its adaptation to Apple’s updated App Store policies. The implementation of fees poses challenges for small business owners and influencers, but alternative avenues are available to continue utilizing the boosting feature without incurring these extra costs.
