X, previously known as Twitter, has unveiled a new feature allowing advertisers to exert more control over the placement of their ads on the popular social media platform.
With "Creator Targeting," advertisers will now have the ability to run ads alongside content from a "curated list of premium content creators."
"This means giving advertisers more control to be able to use the self-serve X Ads Manager to run pre-roll video ads against the video content of their chosen creator(s) in both the home timeline and profile," X wrote in a blog post.
Creator Targeting: Select and connect with creators on X— Business (@XBusiness) February 13, 2024
If it’s happening in the world, people are watching it on X. From sports to gaming, music to news, business to finance – X is home to all conversations, and a growing number of content creators. Since launching our ad…
Additionally, the feature also aims to offer advertisers greater assurance that their ads will not be displayed alongside objectionable material.
This move comes in response to concerns raised by advertisers regarding their ads appearing alongside controversial or offensive content, influencing their decision to pull out of the platform last year.
Furthermore, X plans to introduce the option for brands to serve ads exclusively on individual creator profiles, effectively eliminating the risk of their ads appearing together with posts not aligned to their company values.
Elon Musk's Rocky History With X Advertisers
Since Elon Musk's acquisition of the social media network in 2022, concerns have lingered among advertisers that X's content moderation policies have relaxed.
Notable brands like Apple and Disney paused their ad spending on X after Musk amplified antisemitic conspiracy theories on the platform.
Musk's public confrontation with these brands only exacerbated the situation. During a New York Times DealBook interview, Musk lashed out, telling them to "go f*ck yourself."
This incident prompted a report by the Financial Times, indicating that X was turning to smaller advertisers to bolster revenue following the alienation of major brands.
Yesterday's announcement is widely perceived as an effort to entice advertisers back to X, as the platform's advertising revenue has experienced a substantial decline since Musk assumed control.
X's advertising revenue plummeted by 50% last year, falling short of its $3 billion target with an estimated $2.5 billion generated throughout 2023.
Today's announcement may also serve as a strategic move by X to attract creators to its platform and challenge YouTube's dominance in the video creator space.
MY FIRST X VIDEO MADE OVER $250,000! 😲— MrBeast (@MrBeast) January 22, 2024
But it’s a bit of a facade. Advertisers saw the attention it was getting and bought ads on my video (I think) and thus my revenue per view is prob higher than what you’d experience pic.twitter.com/nViVpZbWBb
X has been actively pursuing prominent creators, with Musk personally reaching out to top influencers like MrBeast to share content on the platform.
MrBeast disclosed earning $263,000 in ad revenue from his initial video on X, though he expressed skepticism about the figure. Later on, MrBeast raffled off his payout to 10 followers who liked and shared his post.
According to a statement made by X CEO Linda Yaccarino last September, the platform had already paid out nearly $20 million to creators since launching its ad revenue sharing program in July of last year.
Editing by Katherine 'Makkie' Maclang