Home News X urges advertisers to allocate a $1,000 monthly budget or face losing verification status

X urges advertisers to allocate a $1,000 monthly budget or face losing verification status

by admin
Twitter's advertising strategy

As part of its transformation into X, Twitter is apparently adopting a firm stance with advertisers in a bid to bolster its financial results. Reports from earlier this month suggested a dramatic 50 percent plummet in Twitter’s earnings. According to The Wall Street Journal, Twitter’s latest revenue-boosting tactic involves persuading brands to spend at least $1,000 per month on advertising to preserve their verification status on the platform.

Musk responded to a tweet referencing The Wall Street Journal’s report, stating that the “moderately high” fee aims to counteract the proliferation of fraudsters establishing “millions of accounts” on the platform. Musk suggested an alternative approach where brands could opt to pay a monthly fee of $1,000 for the company’s verified organization badge.

Clearly, Twitter is exploring avenues to mitigate its financial losses, with its primary revenue stream being advertising. The Wall Street Journal also notes that Twitter is cutting costs for some of its advertising slots. For instance, Twitter is offering a 50 percent markdown on all new bookings until July 31st. The company posits that these reductions are designed to give advertisers the opportunity to “gain reach during critical moments” such as sporting events.

While the $1,000 monthly fee may not pose a problem for larger brands, the new requirement could adversely impact smaller businesses that are unable or unwilling to make such a commitment due to budgetary constraints.

The editorial team at BuyTechBlog independently selects all recommended products, irrespective of our parent company. Some of our articles may contain affiliate links. If you make a purchase through one of these links, we might receive an affiliate commission. All prices are accurate at the time of publication.

Frequently Asked Questions (FAQs) about Twitter’s advertising strategy

What is Twitter’s new policy for advertisers?

Twitter, now rebranded as X, is reportedly asking advertisers to spend at least $1,000 per month on the platform or risk losing their verified status.

Why is Twitter implementing this new policy?

In response to a substantial revenue loss, Twitter is adopting this new policy to boost its financial results. It’s part of their efforts to counteract the issue of fraudsters creating numerous fake accounts.

What alternatives are available to advertisers?

Twitter’s CEO, Elon Musk, suggested that brands could opt to pay a monthly fee of $1,000 for the company’s verified organization badge instead of advertising.

How is this new policy likely to affect smaller businesses?

The mandatory $1,000 monthly fee could potentially hurt smaller businesses that either cannot afford or do not wish to commit such an amount to advertising.

Are there any discounts available on Twitter’s advertising slots?

Yes, Twitter is offering a 50 percent discount on all new bookings until July 31st, aiming to enable advertisers to gain reach during critical moments like sporting events.

More about Twitter’s advertising strategy

You may also like

7 comments

ElonFanGirl July 27, 2023 - 9:52 am

It’s a Musk world we’re living in and we’re just playing in it! TBH $1000 seems fair to prevent scam accounts.

Reply
DigitalDiva July 27, 2023 - 10:16 am

Typical! Another big company crushing the little guy. not all can afford a thousand a month!

Reply
AdStrategyKing July 27, 2023 - 2:14 pm

Yeah, i saw it coming. With the rebranding and revenue loss, they were bound to shake things up.

Reply
SMBsUnite July 27, 2023 - 3:21 pm

What? 1K/month thats crazy. We small biz owners need to band together and push back!

Reply
BrandGuru July 28, 2023 - 12:12 am

Maybe it’s time for smaller businesses to pivot to other platforms. Any suggestions guys?

Reply
JakeTheSnake July 28, 2023 - 2:43 am

wait, a grand a month just to stay verified?? This is ridiculous! What about small biz?

Reply
AdMan101 July 28, 2023 - 2:54 am

it’s a smart move from Twitter (sorry, X), businesses will have to put skin in the game to maintain their rep.

Reply

Leave a Comment