The UK is introducing a digital services tax which is intended to get more money out of tech giants. However Google sent an email to advertisers to inform them that this charge would be passed on to advertisers.
The email stated “As of 1 November 2020 we will begin adding a fee to your next invoice or statement for ads served in specific countries”. If you serve ads in Turkey and Austria there will be a 5% charge added to your statements. For ads serving the UK there will be a 2% fee added. Amazon have also announced that the UK 2% will be passed on to sellers, while Facebook is expected to follow suit.
If you’re a digital marketer, you need to inform your clients the effect it will have on them and their budgets.