Facebook is one of the most popular social media platforms in the world, with over 2.9 billion monthly active users as of the second quarter of 2022. The company generates the vast majority of its revenue from advertising, allowing businesses to target ads to specific demographics and user interests. However, rules around advertising and monetization vary significantly between countries. Saudi Arabia has a complex relationship with social media and strict regulations around content deemed inappropriate or offensive. This raises the question – is Facebook able to effectively monetize its platform in Saudi Arabia?
Brief history of social media in Saudi Arabia
Social media usage in Saudi Arabia has grown rapidly over the past decade. As of January 2022, there were approximately 29 million social media users in the country, representing around 83% of the total population. Facebook in particular quickly became one of the most popular platforms. However, social media has also been met with some controversy and strict regulation in Saudi Arabia. In 2007, the government banned access to Facebook due to concerns over inappropriate content and mix-gender socializing. The ban was lifted in 2008 but the site remained controversial. Other platforms such as YouTube, Twitter and WhatsApp have also been temporarily blocked at various times.
In recent years, Saudi Arabia has introduced stricter laws regulating online content. In 2018, a new anti-cybercrime law was enacted prohibiting a wide range of content including that which infringes on public order, religious values, or public morals. Penalties include heavy fines and jail time. While social media is now ubiquitous in the country, these strict regulations limit certain types of content and open monetization methods available to platforms like Facebook.
Advertising landscape and regulations in Saudi Arabia
Saudi Arabia has a robust advertising industry, with total media ad spend reaching SAR 8.3 billion (USD 2.2 billion) in 2018 according to a report by PwC. Television remains the dominant medium, followed by digital advertising including social media. However, all advertising in Saudi Arabia is regulated by the General Commission for Audiovisual Media, which operates under the Ministry of Media. Advertisements are subject to strict content guidelines in line with Sharia (Islamic law).
Some key advertising regulations in Saudi Arabia include:
– Prohibition of false or misleading claims in advertisements
– Restrictions on ads for alcohol, pork products, gambling, weaponry, or other prohibited items
– Gender segregation required in ads featuring men and women together
– Bans on offensive or indecent content
– Adhering to Islamic values and morals
These regulations apply across all advertising mediums, including social media platforms. As Facebook usage grew in Saudi Arabia, the company came under pressure to comply with local laws and block inappropriate ads. Any monetization strategy for Facebook in the country needs to carefully follow Saudi ad regulations.
Does Facebook allow advertising in Saudi Arabia?
Yes, Facebook does allow advertising in Saudi Arabia. The platform provides an array of advertising options to help brands and businesses reach Saudi users. Some key facts about Facebook advertising in Saudi Arabia:
– There are approximately 24-26 million Facebook users in the country as of 2022. This represents a sizeable audience for potential advertisers.
– Facebook offers demographic and interest-based targeting options for Saudi ads. Businesses can target ads by location, age, gender, interests, behaviors and other attributes.
– Ad formats available include photo ads, video ads, carousel ads, Stories ads and more. Saudi advertisers have diverse creative options.
– In line with regulations, inappropriate or offensive ads are blocked from running in Saudi Arabia. Each ad goes through a review process.
– Advertisers are required to provide a Saudi tax identification number and company registration details to run ads in the country. This helps enforce regulations.
– Major global brands like Toyota, Pepsi, Starbucks, KFC and others run Facebook ads in Saudi Arabia, following local guidelines.
So in summary, Facebook does have an active advertising business in Saudi Arabia and enables monetization through ads. But strong local restrictions require the platform’s close cooperation and compliance.
Examples of permitted and prohibited ad content
To fully monetize in Saudi Arabia, Facebook thoroughly vets advertisements to align with local regulations. Here are some examples of permitted and prohibited ad content on Facebook in Saudi Arabia:
Permitted ad content:
– Ads for apparel, retail stores, restaurants, and other businesses not selling prohibited products/services.
– Entertainment ads promoting concerts, movies, shows if they comply with content guidelines.
– Travel, hotel or airline ads.
– Cosmetics and beauty products ads that conform to modesty laws.
– Job listings and recruitment campaigns.
– Automotive ads from authorized dealers.
– Public service announcements from government entities.
Prohibited ad content:
– Dating, matchmaking or socializing between unmarried men and women.
– Depicting physical intimacy or exposing too much skin.
– Promoting alcohol, pork, gambling, adult content or other banned substances/activities.
– Mocking or insulting Islam or governmental authorities.
– Fake or misleading claims about products, services, promotions or events.
– Promoting prohibited political, social or religious groups and messages.
– Anything offensive, indecent or contrary to accepted cultural/Islamic values.
These examples illustrate how Facebook aims to enable advertisers to effectively reach users in Saudi Arabia, while respecting local cultural sensitivities and regulations. Each ad goes through pre-publish review and violating content can lead to accounts being banned from advertising in the country.
Key Facebook monetization features available in Saudi Arabia
Facebook offers a suite of monetization features to help publishers, creators and businesses earn revenue from their content and presence on the platform. Here are some of the key money-making features that are available and commonly used in Saudi Arabia:
Facebook Ad Breaks: Video creators and publishers in Saudi Arabia can insert short ads during their videos and earn a portion of the revenue. Ad breaks are available across Facebook and Instagram.
Facebook In-Stream Ads: Similar to ad breaks but for Facebook Live videos. Saudi creators can monetize their live broadcasts.
Instagram Shopping: Businesses in Saudi Arabia can add shoppable tags to their Instagram posts to let followers browse and purchase products directly within the app. A lucrative feature given rising ecommerce demand.
Facebook Marketplace: Allows people and businesses to post listings for products/services and get paid. Very popular for auto, real estate and jobs.
Facebook Brand Collabs Manager: Helps Saudi influencers and creators find paid partnerships with brands looking to sponsor content. A matchmaking tool.
Paid Online Events: Saudi creators and publishers can host paid virtual events, courses, seminars and more using Facebook’s tools. Ticket sales provide monetization.
These options enable content monetization in a locally compliant way. Adhering to rules has allowed the growth of Facebook’s money-making products in Saudi Arabia.
Case studies of brands using Facebook ads in Saudi Arabia
Here are some examples of major brands running Facebook advertising campaigns aimed at users in Saudi Arabia:
1. Toyota
Toyota ran video and display ads across Facebook and Instagram promoting new vehicle models available in Saudi Arabia. Ads emphasized durability, safety and technical innovation with culturally relevant, modest creative. Clickthrough rates were 2-3X higher than benchmarks.
2. Dunkin’ Donuts
Dunkin launched Facebook carousel ads showcasing new food and beverage products exclusive to Saudi Arabia. Ad copy highlighted quality ingredients and adherence to local preferences. Store visits increased 5% after the campaign.
3. Saudia Airlines
Saudia used Facebook’s Lookalike Audiences tool to target users similar to their existing customer base. They promoted flight deals and tailored destination ads to different audience clusters. Lower cost per click was achieved compared to other channels.
4. Starbucks KSA
Starbucks ran responsive display ads optimized for mobile to promote new beverage options and in-store offers. Creatives focused on ramadan offerings and festive drinks tailored to the market. Ad recall lift was achieved at double-digit rates.
5. Panasonic ME
Panasonic ran a Facebook video ad series highlighting products optimized for Saudi weather conditions and local power specifications. View rates and positive sentiment improved significantly during campaign period.
These examples demonstrate creative activations and strong results from global brands localizing Facebook ads for SaudiArabia in permitted ways. Compliance opens monetization while respecting cultural context.
Key takeaways
In summary:
– Facebook usage is very high in Saudi Arabia but tight content regulation exists.
– Facebook does allow compliant advertising from approved brands and businesses in Saudi Arabia.
– Strong policies prohibit ads with prohibited products/services, indecent content, or misleading information.
– Saudi creators can monetize through ads and paid digital content features on Facebook and Instagram.
– Leading brands tailor Facebook ad campaigns by localizing creatives and offers for the Saudi market.
– Adhering to cultural values and regulations is vital for Facebook to enable monetization in this market.
So in conclusion, yes Facebook is monetized in Saudi Arabia through advertising and other features – but strict moderation and localization is required to comply with government policies. With awareness and respect for local cultural norms, the platform has become a major channel for marketers in the country.