Why Marketers are Fleeing X and Flocking to TikTok in 2024
In a stunning turn of events, the social media landscape is undergoing a seismic shift as advertisers abandon Elon Musk‘s beleaguered platform X (formerly Twitter) in droves, while TikTok emerges as the new darling of digital marketing.
This exodus marks a dramatic reversal of fortune for the tech billionaire’s ambitious plans and signals a potential changing of the guard in the world of social media advertising.
The Great Migration: TikTok’s Meteoric Rise
According to Kantar’s latest Media Reactions report, a staggering 77% of marketers are planning to increase their ad spend on TikTok.
This surge in popularity comes as no surprise, given the platform’s algorithm-centred mechanisms that have captivated users and advertisers alike.
With over half of TikTok marketers expressing their intention to boost investment in the coming year, the short-form video app is poised for unprecedented growth.
X Marks the Spot of Decline
Meanwhile, X continues its downward spiral, with net advertising spend on the platform showing no signs of recovery.
Jane Ostler, Kantar’s EVP of Thought Leadership, poses a poignant question: “Is this truly a boycott, or simply an ongoing decline in investment from marketers as X continues to face brand safety issues?”
The numbers paint a grim picture.
In 2023, a net 6% of marketers planned to increase their investment in Twitter (now X).
Fast forward to 2024, and a net 14% expect to reduce their spending on the platform.
This dramatic reversal has led to X losing nearly 50% of its ad revenue since Musk’s takeover.
Musk’s Meltdown: A Timeline of Turbulence
Elon Musk’s tenure at the helm of X has been nothing short of tumultuous.
From apologising for irrelevant ads to telling fleeing advertisers to “go f*ck themselves,” Musk’s erratic behaviour has done little to instill confidence in the platform.
The timeline of events reads like a cautionary tale of how not to manage a social media giant:
February 2023: Musk apologises for annoying ads
November 2023: Major brands pull advertising amid anti-semitism scandal
June 2024: Musk attempts damage control at Cannes Lions
August 2024: X takes legal action against boycotting advertisers
The Trust Factor: X’s Uphill Battle
Kantar’s Jane Ostler highlights a crucial issue plaguing X: “Marketers’ perceptions of X are that it is neither particularly trustworthy nor innovative; two hurdles it needs to overcome to win back media spend from advertisers.”
This lack of trust has been exacerbated by recent events, including the dissolution of the Global Alliance for Responsible Media (GARM) and a damning Adalytics report revealing ads for major brands appearing alongside pornographic and racist content.
The Bottom Line: A New Social Media Order?
As X grapples with its identity crisis and legal battles, TikTok stands poised to capitalise on the shift in advertiser sentiment.
The contrast couldn’t be starker: while X fights to retain its dwindling ad base, TikTok is welcoming marketers with open arms and an algorithm that promises unparalleled engagement.
The question now is whether Musk can right the ship and regain advertiser trust, or if X will continue its descent into irrelevance.
One thing is clear: in the fast-paced world of social media, today’s titan can quickly become tomorrow’s cautionary tale.
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