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Meta introduces 'No-Cost EMI' for advertisers in India

Meta is also expanding the scope of its Small Business Loans initiative to over 19,000 pin codes across India

August 30, 2022 / 01:04 PM IST
(Image Courtesy: Reuters)

(Image Courtesy: Reuters)

Facebook parent Meta announced on August 30 that it will allow advertisers to pay for their ad campaigns in easy installments over three months at no additional interest, amid a tough operating environment due to the global economic downturn.

India is the first country within Meta where the 'No Cost EMI' feature has been launched, the company said.

Meta said the feature will be provided through participating banks to address the evolving need for working capital for advertisers. They can choose any amount between Rs 3,200 and Rs 500,000 to convert to EMIs.

The company will bear the applicable interest payable to the bank, and give it as an upfront discount to the business on its ad spends, it said.

Meta said it is also expanding the scope of its Small Business Loans initiative to over 19,000 PIN codes across India, thereby covering almost the "entire length and breadth of the country".

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Introduced last year, the initiative enables business loans for Meta's small business advertisers through third-party lending platforms. They can apply for collateral-free business loans from as little as Rs 30,000 to as much as Rs 1 Crore.

Apart from these announcements, Meta also announced a 24x7 chat support for all its active advertisers in India through the ‘support’ option on the Meta Business Help Center.

“With these announcements, every advertiser on Meta in India, irrespective of their ad spends, has access to financial and service support, at the click of a button to unlock new growth opportunities. We know that each business is on a distinct journey and we are committed to building India-focused solutions keeping in mind their unique needs" said Ajit Mohan, VP and MD (Facebook India) Meta.

Mohan said they hope these initiatives will help small businesses "achieve their business goals with greater flexibility and ease".

Rising inflation and uncertainty around a looming recession along with other macro environment challenges has resulted in advertisers cutting back their ad spends this year, thereby impacting the revenue growth of firms dependent on digital advertising such as Meta that faced its first ever revenue drop in Q2 2022.

"We seem to have entered an economic downturn that will have a broad impact on the digital advertising business. It's always hard to predict how deep or how long these cycles will be, but I'd say that the situation seems worse than it did a quarter ago," Meta CEO Mark Zuckerberg said during the company's earnings conference call on July 27.
Vikas SN
first published: Aug 30, 2022 01:04 pm
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