Report that Twitter's World Cup related advertising revenue is 80% lower than expected

Twitter has so far recorded record traffic and ad revenue around the timing of the World Cup, but at the FIFA World Cup Qatar 2022, which started on November 21, 2022, ad revenue fell 80% below Twitter's expectations. The New York Times reports.

Twitter Keeps Missing Its Advertising Targets as Woes Mount - The New York Times
https://www.nytimes.com/2022/12/02/technology/twitter-advertising-targets-missed.html

Twitter losing ad revenue during World Cup | Mashable
https://mashable.com/article/twitter-world-cup-ad-revenue

According to The New York Times, three people familiar with Twitter's advertising business said, 'Twitter's expected World Cup-related advertising revenue is 80% lower than expected.' We are reporting. Due to the global recession, Twitter expects sales in the fourth quarter of 2022 (October to December) to be $1.4 billion (about 188 billion yen), less than the previous year's $1.6 billion (about 215 billion yen). was doing. However, as Twitter continues to fall short of its weekly advertising revenue targets, final sales in the fourth quarter of 2022 may drop to around $1.1 billion (approximately 148 billion yen). person is speaking.

Elon Musk, who bought Twitter, has repeatedly pointed out that the company is in dire financial straits. Therefore, Mr. Mask has announced Twitter Blue, which allows you to get an authenticated badge for 1200 yen per month to secure a new revenue stream for Twitter. However, since the release of Twitter Blue, which can acquire this certified badge , the number of spoofed accounts that have acquired the certified badge has increased rapidly , so major advertising agencies are recommending customers to 'stop advertising on Twitter'. was also reported.

Elon Mask officially released 'New Twitter Blue' where you can buy a certified badge for 1200 yen per month, and the gray official check mark will be immediately abolished - GIGAZINE

Since Twitter relies on advertising revenue for 90% of its revenue, advertisers' departure from Twitter can be a matter of life and death for the company. However, after Mr. Mask acquired Twitter, `` unfreezing the account ' ' and `` abolishing the policy to prevent the spread of misinformation about the new coronavirus ' ' have made advertisers hesitate to post ads on Twitter The New The York Times points out. There are also voices that hate speech has surged on Twitter in recent weeks due to the unfreezing of Mr. Mask's large account and the abolition of the misinformation spread prevention policy.

Additionally, based on internal Twitter documents and testimonials from people familiar with the matter, The New York Times said, 'Some brands only promise to promote events like the Super Bowl, with big discounts or whatever the reason. , We have a clause that allows you to withdraw ads from Twitter.' In particular, automakers are concerned about posting ads on Twitter, and General Motors seems to be concerned that Twitter data will be shared with Tesla, an electric car maker owned by Mr. Mask.

``Especially in the last four weeks, trust in Twitter has fallen to the ground,'' said Ellie Bamford, head of global media at advertising agency R/GA. In fact, IPG, R/GA's parent company and one of the world's largest advertising agencies, has advised its customers to pause advertising on Twitter.

Due to the large number of spoofed accounts on Twitter, major advertising agencies also recommend customers to ``stop advertising on Twitter''-GIGAZINE

According to The New York Times, as of May 2022, the month after Musk announced that he would acquire Twitter , there were 3,980 companies advertising on Twitter. However, as of October 2022, when Mr. Mask completed the acquisition of Twitter, the number of companies posting advertisements has drastically decreased to 2315 companies. It is believed that this number is further reduced by Mr. Musk's measures. In addition, it is reported that Twitter's advertising revenue in Europe, the Middle East, and Africa has decreased by 15% year-on-year, and the number of advertisements posted has decreased by 49% on a weekly basis.

Concerned about advertisers leaving Twitter, Twitter is offering some brands incentives to advertise, The New York Times reports. According to The New York Times, the more advertising dollars you spend on Twitter, the more often Twitter will post ads for that brand, according to another media outlet .