World’s largest advertiser cuts $140 million dollars worth of digital ads and sees sales increase

Paul Dughi
Jul 30, 2017 · 2 min read

The world’s largest advertiser — Procter & Gamble- has been vocal about concerns over where its online ads are running and who’s clicking on them made a startling announcement at the end of July.

After spending a third of its ad budget last year online — and watching sales diminish 8% — the company announced last quarter it cut online digital ad spend by $140 million dollars. Despite the cutbacks, sales grew 2%, according to AdAge.com.

Jon Moeller is the CFO for P&G. He told the WSJ the ads that were cut were “ineffective, where either we were serving bots as opposed to human beings or where the placement of ads was not facilitating the equity of our brands.”

P&G pulled out of YouTube ads last March after ads showed up on questionable sites. P&G leaders have also been public in their complaints about online ad fraud and bot clicks.

“Clearly we don’t need to be spending money that is seen by a bot and not a person. Clearly we don’t need to be spending money on ads that are placed in inappropriate places, and that’s why you see a significant reduction.” — P&G CFO Jon Moeller in Ad Age.

Digital Vault

The intersection of Digital + Media + Marketing

Paul Dughi

Written by

VP/General Manager at WAAY-TV & PulseLocal Digital in Huntsville, AL #DigitalAllStar #MediaInfluencer

Digital Vault

The intersection of Digital + Media + Marketing

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