Advertising is one of the most important aspects of running any successful business. As print advertising fades into the past, businesses are looking for new ways to get their message across. According to one report, car wraps and television ads are viewed as the two most memorable forms of media.
However, even television advertising is suffering in 2017 as more organizations throw money into their digital advertising budgets.
Facebook and Google are making billions from online advertising already, and now Twitter is hoping to play a major role in this fast growing market.
According to Advertising Age, Twitter has been making the push into video advertisements like its contemporaries in social media (Facebook, Snapchat, Instagram), and the app’s pre-roll videos are particularly popular.
“We kept saying we want to buy with them like we do TV,” said Michael Law, executive Vice President of video investment at Dentsu Aegis Network. “If we want to replace a TV rating point with online video inventory, and want them to be equal, we have to think about the environment they’re running in. That’s why we worked with Twitter.”
Despite the company’s video success, Twitter plans on diminishing certain aspects of its own advertising products. Tech Crunch reports that after Twitter’s uninspiring earnings report, the company is trying to improve its advertising strategy by simultaneously reducing it.
“2017 will be about simplifying and differentiating our revenue products,” said Jack Dorsey, Twitter CEO. “It’ll take time for all the results we want to see.”
After years of testing and implementing various advertising strategies — some of which worked better than others — Twitter now plans on shifting to the simpler side of its business.
“The approach was to let 1,000 flowers bloom, but if products are hard to use I don’t even know where to start with what to use it for,” said an anonymous company source to Tech Crunch. “Picking news and talk, that simplification has driven some clarity. Now they are trying to drive the same kind of clarity with the monetization products.”
Although Twitter is shaving back its ad spending for the time being, the social medial behemoth will surely continue to be relevant within the digital realm.
