"If you don't want to know the story behind it, scroll down and jump into "What to do about it"
As a business owner or marketer, you've likely encountered the frustration of having your Facebook ads rejected, with no clear explanation as to why. It can be a major roadblock in getting your message out to potential customers and achieving your marketing goals.
Sounds Familiar? Because for me this is a nightmare and it can be especially disheartening when the rejection is based on a violation of the Fair Housing Act (FHA) - a law that prohibits discrimination in housing and housing-related services transactions.
SO, WHAT HAPPENED?
In 2019, the U.S. Department of Housing and Urban Development (HUD) and Facebook reached a settlement regarding allegations that Facebook's advertising platform allowed landlords and home sellers to engage in housing discrimination by excluding certain groups, based on race, sex, ethnicity, and others such as families with children or people with disabilities, from seeing housing ads.
Under the terms of the settlement, Facebook agreed to take steps to prevent housing discrimination on its platform, including:
Modifying its advertising platform to allow housing advertisers to include or exclude audiences based on specific interests, behaviors, and other characteristics, but not on the basis of race, color, religion, national origin, sex, familial status, or disability.
Conducting regular audits of a sample of housing ads to ensure compliance with fair housing laws.
Providing training and resources to help advertisers understand their obligations under the Fair Housing Act and how to avoid engaging in discriminatory advertising.
Providing HUD with regular reports on its efforts to prevent housing discrimination on its platform.
OK, FAIR ENOUGH... BUT WAIT! WHAT'S THE DIFFERENCE BETWEEN "HOUSING" AND "HOUSING-RELATED SERVICES ACCORDING TO THE FHA?
Well, according to the FHA, Housing refers to the sale or rental of a dwelling. A dwelling is defined by the FHA as any building or portion thereof that is intended for occupancy as a residence by one or more families. This includes single-family homes, apartment buildings, and condominiums, among others.
Housing-related services, on the other hand, refer to services that are provided in connection with the sale or rental of a dwelling. These services can include activities such as advertising, appraisal, financing, and home improvement services, among others. The definition of housing-related services under the FHA is broad and includes a wide range of activities that are connected to the sale or rental of a dwelling.
Holly Sh.....
HOW WOULD THIS IMPACT FACEBOOK CAMPAIGNS FOR HOME IMPROVEMENT SERVICES?
The impact of the Fair Housing Act (FHA) on Facebook campaigns for home remodeling services can be significant. The FHA prohibits discrimination in housing-related transactions, including the provision of services to improve or maintain a dwelling. This means that businesses offering home remodeling services must ensure that their advertisements and promotions on Facebook comply with the law and do not violate the provisions of the FHA.
For example, advertisements for home remodeling services cannot include language that indicates a preference or discrimination based on race, color, religion, national origin, sex, familial status, or disability. Also Hyper Targeting (Zip Codes) is not allowed.
This can include language such as "perfect for families" or "ideal for retired couples". Additionally, the images used in these advertisements must be neutral and not suggest any preference or discrimination based on protected characteristics.
LET'S SAY I HAVE A BUSINESS THAT OFFERS SERVICES SUCH AS POOL CLEANING, ROOF REPLACEMENT, IMPACT WINDOWS, BATH REMODELING, GARAGE COATING, CLOSETS, KITCHENS, FLOOR, ETC.
I know my market to the bone, and also know exactly what are the Zip Code areas that are more likely to convert, age, race, sex, avg. Income and interests.
I also have a list of all my past customers for the last 6 years and want to use it as a lookalike audience for my multi- funnel strategy such as Traffic, Lead Gen and Conversion Campaigns.
Would all this be violating discriminatory policies ?
In theory the answer is No. Targeting your advertising to specific zip codes, age ranges, and interests is not inherently discriminatory.
However, it's important to ensure that your advertising and promotions do not include any language or imagery that indicates a preference or discrimination based on race, color, religion, national origin, zip code, sex, familial status, or disability.
OBVIOUSLY THERE IS A GREY AREA AROUND THIS TOPIC AND A LOT OF PEOPLE IN THE INDUSTRY "INCLUDING META TEAMS" ARE NOT CLEAR WHAT TO DO ABOUT IT. IT SEEMS TO BE A DISCRETIONARY PROCESS.
This is mostly their argument: "Housing Repairs"
What I mean is that services like Bath remodeling, Impact Windows Replacement, and Kitchens may or may not be considered special ad categories and by just requesting a manual review you can have your ads back and running.
Now, for products like Garage coatings and something floor remodeling, and other, you can have a hard time keeping up with promotional and non promotional campaigns.
FACEBOOK STILL FLAG ADS RELATED TO HOME IMPROVEMENT SERVICES AS DISCRIMINATORY. WHY?
Since December 2019, Facebook has been publishing housing ads in its Ads Library, which allows anyone to search and view these ads.
Facebook will keep this practice and provide notice to users about the availability of housing ads through the Ads Library.
THINK ABOUT IT! MANY OF THE FOLLOWING ADS SHOULD NOT BE CONSIDERED A HOUSING - SPECIAL AD CATEGORIES.
Find examples of housing related ads so you can see for yourself what Facebook and "the algorithm" understands as a "special ad category"
In this case, "Floor Coating" is considered a Housing Special Ad Category and I strongly believe that many representatives use Ads Library to back their judgements about approving or not rejected ads.
CAN I LUNCH TARGETED CAMPAIGNS WITHOUT USING HOUSING SPECIAL ADS CATEGORIES?
Yes, you can continue adding non-promotional iterations of your ads in both creatives and ad copies to avoid the algorithm to trigger and if it does, the manual review may be easy on you.
You can also try Promotional campaign using both Value and/or Percentage focus offers and combine them with some financial incentive. Keep in mind that the latter is more likely to be rejected because you will be triggering "Housing" and "Credit" which fall under the scope of the SAC.
Also, if you have a significant number of rejections compared to rejection reversals, your ad account may be in risk of penalty. Keep this in mind.
Not everything is bad, if we fall into SAC for whatever reason, just look at it as a broad "Prospecting-Kind-of-Campaign" and you will be surprised how effective these types of campaigns can be.
Jus be as good as you can in communicating your services instead of who you are.
In conclusion, the Fair Housing Act and its provisions regarding advertising of housing and housing-related services have important implications for businesses and advertisers. It's crucial to understand the requirements and guidelines set forth by the FHA to avoid discriminatory practices and maintain compliance. Choosing to select the special ad category may have some advantages and disadvantages, but ultimately it's important to consider the needs and goals of your advertising campaign and determine the best solution that aligns with your business objectives while also being in compliance with the FHA regulations. Taking the time to educate yourself and implement best practices will help ensure the success and legality of your advertising efforts.
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