Home Data Facebook Bans Ethnic Targeting For Credit, Housing, Employment Advertisers

Facebook Bans Ethnic Targeting For Credit, Housing, Employment Advertisers

SHARE:

facebookFacebook will disable targeting based on ethnicity for credit, housing and employment advertisers. ProPublica first reported the development.

The move, announced Friday in a blog post by Erin Egan, Facebook’s VP of US public policy and chief privacy officer, follows criticism from policymakers about the legality of “ethnic affinity marketing,” which Facebook introduced two years ago, but didn’t enter the public conversation until Julia Angwin and Terry Parris Jr. of ProPublica wrote about it in October.

Facebook will prevent this sort of targeting by creating a tool to scan ad content and alert buyers when they are about to make an illegal purchase, and it will also update its advertising policies and provide educational materials that make industry regulations explicit.

This is the first time Facebook has scaled back on targeting. The platform brought in roughly $7 billion in Q3 ad revenue largely due to its unique data and targeting capabilities.

Racial targeting is against federal law in the housing, employment and credit verticals. The Fair Housing Act of 1968 makes it illegal for advertisers “to make, print or publish, or cause to be made, printed or published any notice, statement or advertisement, with respect to the sale or rental of a dwelling that indicates any preference, limitation or discrimination based on race, color, religion, sex, handicap, familial status or national origin.”

The Civil Rights Act of 1964 extends the same laws to employment recruitment.

“We take these issues seriously,” Facebook’s Egan wrote. “Discriminatory advertising has no place on Facebook.”

But Facebook isn’t scrapping ethnic affinities altogether.

“We will continue to explore ways that our ethnic affinity solution can be used to promote inclusion of underrepresented communities, and we will continue to work with stakeholders toward that goal,” Egan wrote.

Policymakers were pleased with the action Facebook has taken. New York state Attorney General Eric Schneiderman, US Rep. Robin Kelly (D-Ill.) of the Congressional Black Caucus and US Rep. Linda Sánchez (D-Calif.) of the Congressional Hispanic Caucus helped Facebook reach its decision.

Subscribe

AdExchanger Daily

Get our editors’ roundup delivered to your inbox every weekday.

“We welcome Facebook’s announcement that it wants to look for other ways to combat discrimination, and look forward to further conversations with Facebook to ensure robust and specific prohibitions against discriminatory ad targeting based on gender, sexual orientation, religion and other protected characteristics,” said Wade Henderson, president and CEO of the Leadership Conference on Civil and Human Rights, in a statement.

The Center for Democracy and Technology (CDT) said in a blog post that it supports Facebook’s ban of ethnic affinities.

“We are pleased that Facebook took action to implement some of our suggestions,” wrote Aletha Lange, senior policy analyst at CDT. “These changes will improve Facebook’s platform and protect its users from the worst types of discriminatory advertising.”

But Facebook is walking a thin line and should be careful to avoid such illegal activity in the future, advised Gary Kibel, a partner within the digital media, technology and privacy practice group at the law firm of Davis & Gilbert LLP.

“There are many laws and self-regulatory guidelines that address how an individual’s status as a member of a protected class can be used,” he said. “Both marketers and platforms should ensure that they do not intentionally or unintentionally run afoul of such requirements.”

Facebook did not respond to requests for comment.

Must Read

play button with many coins isolated on blue background. The concept of monetization of the video. Making money on video content. minimal style. 3d rendering

Exclusive: Connatix And JW Player Merge To Create A One-Stop Shop For Video Monetization

On Wednesday, video monetization platforms Connatix and JW Player announced plans to merge into a new entity called JWP Connatix. The deal was first rumored in July.

HUMAN Raises $50 Million

HUMAN plans to build a deterministic ID from its tracking of more than 20 trillion digital signals per week across 3 billion devices, which will aid attribution for ecommerce.

Buyers Can Now Target High-Attention Inventory In The Trade Desk

By applying Adelaide’s Attention Unit scoring, buyers can target low-, medium- and high-attention inventory via TTD’s self-serve platform.

Privacy! Commerce! Connected TV! Read all about it. Subscribe to AdExchanger Newsletters

How Should Advertisers Navigate A TikTok Ban Or Google Breakup? Just Ask Brian Wieser

The online advertising industry is staring down the barrel of not one but two potential shutdowns that could radically change where brands put their ad dollars in 2025, according to Madison and Wall’s Brian Weiser and Olivia Morley.

Intent IQ Has Patents For Ad Tech’s Most Basic Functions – And It’s Not Afraid To Use Them

An unusual dilemma has programmatic vendors and ad tech platforms worried about a flurry of potential patent infringement suits.

TikTok Video For Open Web Publishers? Outbrain Built It.

Outbrain is trying to shed its chumbox rep by bringing social media-style vertical video to mobile publishers on the open web.