A recent survey conducted by Kantar revealed that about one-quarter of advertisers are planning to reduce their spending on social media site X (formerly known as Twitter) in the upcoming year. This decrease in ad spending would represent the biggest pullback from any top advertising platform. The decline in advertiser interest comes as X has been experiencing an exodus of advertisers, including major companies like Apple, Coca-Cola, and Disney who have removed their paid ads from the platform in recent years. Some of these advertisers cut ties with X following controversial incidents such as billionaire owner Elon Musk’s endorsement of an antisemitic post.
X’s advertising woes have persisted into 2024, with the World Bank ceasing all paid advertising on the platform after a CBS News investigation revealed that their ads were appearing alongside racist content from accounts that promote neo-Nazi and white nationalist ideologies. Jerrad Christan, a Democratic candidate for Ohio’s 12th district, also pulled his campaign ads from X after they were found to appear under antisemitic posts. Despite X’s brand safety settings, advertisers like Christan’s campaign communications director, Tim Cox, expressed concerns about the platform’s ability to ensure their ads do not appear alongside objectionable content.
Kantar’s survey, based on interviews with 18,000 consumers and 1,000 senior marketing executives globally, revealed a decline in trust among marketers in advertising on X since Elon Musk acquired the platform in 2022. Only 4% of marketers view X as providing brand safety, in contrast to Google, which is perceived as the platform with the highest level of safety. This lack of trust in X’s brand safety measures may pose challenges for the platform in attracting advertisers back, particularly under the leadership of X CEO Linda Yaccarino. Marketers, as brand custodians, require a level of trust in the platforms they use to protect their brand’s reputation.
According to Kantar, marketers have been shifting their marketing spend away from X for several years, with this trend accelerating in the last 12 months. The unpredictability of X, along with concerns about brand safety, makes it difficult for marketers to feel confident about advertising on the platform. In contrast, consumers ranked YouTube as their top digital brand for advertising, while Amazon and TikTok were their favorite platforms. Consumers find Amazon ads to be relevant and useful, while TikTok ads are perceived as more entertaining and engaging.
In conclusion, the survey results from Kantar highlight the challenges that X faces in regaining the trust of advertisers and attracting back ad spending. The platform’s struggles with brand safety, combined with incidents of ads appearing alongside objectionable content, have eroded confidence among marketers. While other platforms like YouTube, Amazon, and TikTok continue to be favored by both advertisers and consumers, X may need to make significant changes to address these concerns and regain advertisers’ trust in the future.
