Advertisers are not entirely pulling away from X (formerly Twitter), despite the platform’s controversies, particularly concerning its owner, Elon Musk. This is evidenced by the attendance of around 80 marketers at X’s New York headquarters on September 17, 2024, for a client council session. These sessions serve as opportunities for advertisers to assess the platform and its advertising potential.
Jasmine Enberg, an analyst at eMarketer, noted that advertisers are still curious about X’s developments, even if they are cautious about spending due to the platform’s perceived risks. X did not provide any direct comments on the event.
At the event, senior marketers from companies like McDonald’s, Lenovo, and the NFL gathered to hear CEO Linda Yaccarino emphasize X’s role as an essential platform for connecting brands to audiences, particularly around cultural events.
Elon Musk
Yaccarino highlighted engagement statistics from events like the Olympics and the U.S. presidential race, underscoring X’s strength in facilitating real-time conversations. She reiterated familiar buzzwords like “global town square” and assured advertisers about the platform’s commitment to brand safety, despite its ongoing challenges.
A notable new addition to the session was the introduction of Angela Zepeda, X’s new global head of marketing, marking her first public appearance in the role. Zepeda supported Yaccarino’s pitch by citing rising video views and active user metrics, while hinting at upcoming features, such as payments and AI-driven tools like Grok.
Other X executives followed, covering various aspects of the platform’s offerings, including content strategies and brand safety. Monique Pintarelli, head of the Americas, shared that 90% of X’s top 100 advertisers from 2023 were still active on the platform, with many increasing their ad spending.
However, despite the positive messaging, challenges remain for X. A survey by Kantar revealed that 26% of advertisers plan to reduce their spending on X next year, and only 4% of marketers believe ads on X are brand-safe, compared to 39% for Google.
Brand safety remains a key concern for many advertisers, though the bigger issue might be Musk’s polarizing persona, which makes some brands wary of associating with the platform.
The timing of the event was also complicated by X’s ongoing legal battles, including a federal antitrust lawsuit against organizations like GARM and Unilever. This legal tension adds to the strained relationship between X and the advertising industry. However, X’s leadership continues to pitch the platform’s value, hoping that strong ad performance can outweigh concerns about brand safety and Musk’s influence.
