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Marketing and Sales Twitter is offering advertisers incentives in an effort to get more companies to buy ads on the platform

Twitter is offering advertisers incentives in an effort to get more companies to buy ads on the platform (Photo by Tayfun Coskun/Anadolu Agency via Getty Images)

By Savannah Young Leaders Staff

Savannah Young

News Writer

Savannah Young is a news writer for Leaders Media. Previously, she was a digital reporter for WATE Channel 6 (ABC)...

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Dec 2, 2022

Twitter Lures Advertisers

Twitter is offering advertisers incentives in an effort to get more companies to buy ads on the platform.

Key Details

  • After many companies pulled back on ad spending, Twitter is now offering generous incentives to keep money flowing to the platform.
  • One of the incentives to get advertisers back is a match in advertising spending. Advertisers who spend at least $500,000 in ads with a “100% value add,” up to a $1 million, according to an email from Twitter.
  • The incentive is only valid for ads that run before the end of the year, pushing advertisers to jump on the offer and write a big check to Twitter.

Why it’s news

Big brands including General Motors, General Mills, and Volkswagen all cut back on ad spending to Twitter after Elon Musk took over the platform.

Musk’s plans for Twitter from the very beginning was to transform the app into a free-speech platform, which many businesses thought was opening the platform into a hate speech space so many advertisers cut ties with Twitter.

Considering ad spending makes up around 90% of Twitter’s revenue the drop in ad sales was bad for the company and Twitter revenue fell.

Musk took to Twitter multiple times assuring advertisers that Twitter would not be a hate speech platform and that the site remains a safe place for any brand, but advertisers remained weary.

In an effort to get advertisers spending money on Twitter again Musk has introduced a plan of offering advertising incentives. 

One of the incentives is Twitter will match advertisers on ad spending. Advertisers who spend at least $500,000 in ads with a “100% value add,” up to a $1 million, according to an email from Twitter.

Advertisers who spend a smaller amount will still qualify for a match, but of a smaller amount.

Only ads purchased before the end of the year will qualify for this ad creating a sense of urgency for advertisers to hop on and send money to Twitter.

Bankruptcy

This advertising match seems like a last ditch effort to get money flowing to Twitter and if the platform doesn;t start making money it could end with a bankruptcy filing. 

Twitter has been losing money quickly and unless something can be done, Elon Musk says it could potentially end with a bankruptcy filing.

Musk has attempted to reverse Twitter’s falling revenue by adding subscription services and attempting to gain back lost advertisers, but hasn’t been very successful in his endeavors.

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