X continues to make strides in reassuring ad partners about its commitment to brand safety by rejoining the World Federation of Advertisers’ ‘Global Alliance for Responsible Media’ (GARM). This move highlights X’s dedication to addressing the challenge of harmful content on digital media platforms and its monetization via advertising. Despite previous setbacks, X is now reinstating its relationship with GARM, signaling a renewed effort to uphold the parameters set out in the GARM guidelines.
Following Elon Musk’s takeover at X, the app experienced a significant exodus of Twitter’s brand safety team, leading X to stray from its GARM commitments. This shift, coupled with other cuts, caused X’s ad revenue to decline by around 50%. Advertisers began to view X as a platform where lax content moderation rules allowed offensive content to proliferate, posing a risk of negative brand association in ad placement. Reports of increased hate speech and conspiracy theory content on X further fueled concerns among ad partners.
One of X’s key challenges lies in its relatively limited reach compared to other social media platforms like Instagram, YouTube, Facebook, TikTok, and Snapchat. With 250 million daily active users, X falls short of offering the same audience size as its competitors. Moreover, Musk’s controversial views and amplification of conspiracy theories present additional hurdles for brands looking to advertise on the platform. The lack of audience growth since Musk’s takeover further diminishes X’s appeal as a platform for brand promotions.
To regain advertisers’ trust and maximize ad intake, X must focus on growth and innovation. Musk’s ambitious projections of reaching 600 million daily active users by 2025 and 931 million DAU by 2028 emphasize the importance of scaling X’s audience. While X’s stagnant growth may hinder these goals, initiatives like X Payments and xAI’s Grok chatbot offer potential avenues for expansion. By reviving growth and introducing innovative features, X can enhance its appeal to ad partners and revitalize its ad business.
In addition to growth and innovation, strengthening brand safety partnerships like participating in the GARM framework is crucial for X’s recovery. Collaborating with industry organizations and committing to responsible media practices can help X build credibility and trust among ad partners. By aligning with industry standards and fostering a safe advertising environment, X can attract more brands to its platform and drive ad revenue growth.
X’s journey to reassurance ad partners and regain its foothold in the advertising landscape requires a multi-faceted approach. From recommitting to brand safety initiatives like GARM to focusing on growth and innovation, X must address various challenges to maximize its ad intake. By prioritizing audience expansion, fostering a safe advertising environment, and leveraging innovative solutions, X can pave the way for a successful ad business revival. Despite the uphill battle, X has the opportunity to regain advertisers’ trust and secure its position in the competitive digital advertising space.
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