The effort gained traction earlier in June amid pressure from civil rights organisations like the National Association for the Advancement of Colored People and the Anti-Defamation League.
In June, the "Stop Hate for Profit" campaign was started by USA civil rights groups after the death of George Floyd.
Many advertising companies are chooseing to boycot Facebook at the moment, but why? Both policies will be applied on its platform across the globe. The barista chain past year spent $95m on Facebook. Let's see how the company will come out of it, this time.
The companies had explained during the week that Facebook was not the target of the movement but to drive home a message on the moderation of bigoted and prejudiced contents. The social media network's stock price tumbled 8.3 per cent on Friday on Nasdaq closing at 216.08.
Facebook Founder and CEO Mark Zuckerberg on Friday announced tweaks to a number of policies around hate speech and voter suppression but the measures have not helped halt the snowball of companies taking a stand to stop advertising from the platform in the USA amongst the backlash over the company's alleged failure to contain the rampant spread of false information and incendiary content on the platform.
Facebook accounts for about 23 per cent of the entire USA digital advertising market, according to eMarketer. A Lululemon spokeswoman said that the company would suspend paid ads on Facebook and Instagram.
He added that the company will explore other media options for its ads in the U.S.in a bid to discourage "divisiveness and hate speech during this polarized election period in the U.S". "For brands this is like navigating a minefield and it also reflects on their spends on various social media platforms", says Hegde. The retailer will continue posting unpaid content on Facebook, which it said is its second-largest paid advertising platform.
Over the past few weeks, many companies have announced that they are going to boycott Facebook, and here's exactly why.
"We believe in bringing communities together, both in person and online, and we stand against hate speech", the Seattle-based corporation, which operates thousands of restaurants around the world, said in a brief statement.
Beverage company Pepsi is also reportedly planning a Facebook advertisement boycott in July and August. According to the campaign, Facebook "allowed incitement to violence against protesters" fighting for racial justice in America in the wake of George Floyd, Breonna Taylor, Tony McDade, Ahmaud Arbery, Rayshard Brooks and so many others.
But why exactly is everyone boycotting Facebook? According to a report in The Washington Post on Sunday, a video post by Trump in 2015 calling for a ban on Muslim immigrants drew severe criticism by several senior Facebook leaders, including Zuckerberg.
The changes announced Friday are the most significant Facebook has made after months of actions from employees and legislators, yet critics argue they are still too incremental. He said the company has invested in human review and artificial intelligence to identify almost 90% of the hate speech the company removes before anyone is able to report it. However, companies take the call nearly on a daily basis.
In a statement shared with exchange4media, Verizon Media said: "Our brand safety standards have not changed".
"Zuckerberg's new changes don't go almost far enough", Robinson said on Twitter.
Zuckerberg added that there is no newsworthiness exemption to content that incites violence or suppresses voting.