Twitter is offering advertisers major incentives to spend money on the platform as a way to lure them back after Elon Musk‘s buyout prompted 50 of them to pull back.
The social network is offering advertisers who book at least $500,000 in ‘incremental spending’ to have 100% of their spending matched – capped at $1 million – according to an email viewed by the Wall Street Journal.
Musk’s platform is reeling in the wake of seeing dozens of advertisers including Chipotle, Wells Fargo, Verizon and Nestle pausing or completely stopping their ad spending.
The new advertising offer is only valid for purchases that run before the end of this year, according to the Journal. However, many brands are not biting due to safety concerns about the social network, executives at four of the largest global media agencies told Ad Age.
Twitter is offering advertisers major incentives to spend money on the platform as a way to lure them back after Elon Musk’s buyout prompted 50 of them to pull back
DailyMail.com has contacted Twitter for comment on this story.
Advertising comprises about 90% of Twitter’s revenue – it accounted for $4.5 billion of its $5.08 billion revenue in 2021 – and Musk has previously complained about advertisers having left because they were pressured by activist groups to do so.
The California-based company has suffered a number of setbacks since Musk’s $44 billion takeover, including the botched rollout of its Twitter Blue subscription service. For a fee, brands or any users can pay a fee to have access to certain services and be verified as legitimate.
However, upon the initial release, a number of users took advantage of the feature to impersonate major brands and send out tweets that in some cases sent stock prices tumbling.
Twitter paused the program and has said it will relaunch with more safeguards in place as well as color-coded checkmarks to distinguish between verified accounts for companies and those for regular users.
The long list of companies that have paused spending includes General Mills, General Motors, Hilton Worldwide, Whole Foods Market and Yum! Brands.
Musk previously blasted Apple in a series of tweets for reducing its spending on the platform. On Wednesday, the mogul tweeted about having cleared the air with Apple CEO Tim Cook during a visit to the company’s spaceship-style headquarters in Cupertino, California.
Advertising comprises about 90% of Twitter’s revenue – it accounted for $4.5 billion of its $5.08 billion revenue in 2021 – and Musk has previously complained about advertisers having left because they were pressured by activist groups to do so
Musk previously blasted Apple in a series of tweets for reducing its spending on the platform. On Wednesday, the mogul tweeted about having cleared the air with Apple CEO Tim Cook during a visit to the company’s spaceship-style headquarters in Cupertino, California
This post first appeared on Dailymail.co.uk
