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| Twitter offers free ads to attract brands to advertise on its platform |
The Wall Street Journal reported Saturday that Twitter is offering new advertising incentives to attract brands to the social media platform, whose advertising campaigns have deteriorated after it was acquired by Elon Musk for $44 billion.
The Post's emails said Twitter would offer incentives based on advertisers' spending, including $250,000 in free advertising space to advertisers who spend the same amount on the platform.
In the United States, advertisers earn 25% bonus on $200,000 spent on ads, 50% bonus on $350,000 spent on ads, and 100% bonus on $500,000 spent on ads. As a result, Twitter's new incentives allow advertisers to get 100% value by spending half of what they would normally spend on ads on the platform.
Ad buyers say Twitter's new incentives can be used to buy promoted Tweets shown during Super Bowl week, which is the most popular time for advertising on Twitter.
Twitter is under financial pressure to attract many advertisers who have suspended spending since Musk bought the company in late October. The advertisers pulled out primarily over concerns about Musk's moderation methods and concerns that their ads would appear alongside controversial content.
Musk said last November that Twitter was experiencing a "significant drop in revenue," losing $4 million per day.
Several major brands, including drugmaker Pfizer, United Airlines, General Motors and automaker Volkswagen, have stopped spending on Twitter ads.
According to data analysis from research firm Sensor Tower, more than 75% of Twitter's top advertisers who advertised on the platform prior to Musk's acquisition stopped spending in the week ending Jan. 8.
Convincing advertisers to return to Twitter will be critical, as nearly 90% of Twitter's $5.1 billion in 2021 revenue will come from advertising.
And the Wall Street Journal reports that to qualify for the latest incentives, a brand must use some of Twitter's products, such as a new keyword avoidance tool that lets advertisers create a keyword of up to a thousand keywords be able. that their ads do not appear above or below their tweets. contain these words.
In early January, Twitter announced that it would expand the types of political ads allowed on its platform in the coming weeks, an apparent reversal of the 2019 global ban on such ads.