Twitter: New CEO seeks reconciliation with advertisers – 8/11/2023 – Tech

Linda Yaccarino, CEO of X, formerly known as Twitter, is reinstating her “client council,” an exclusive group of marketing and advertising agency executives, in the latest attempt to rebuild relationships with brands that were strained after the platform acquisition. by Elon Musk.

“Excited to continue the momentum in our business and we are officially bringing back the customer council in the fall,” Yaccarino said in a tweet Thursday. The platform has not yet determined who will be part of the group.

Yaccarino, in his first live television interview since taking the helm of the company in May, told CNBC that some brands, including Coca-Cola and Visa, had returned to the platform, and that the company’s operational run rate was “very close to the break-even point.

It answered questions from users and advertisers about whether it was capable of operating without interference from Musk. “I have autonomy,” she said. “Just think of it as a kind of relay race. Elon works in technology, dreams of what’s next, passes the baton to me, I take it to market.”

Silicon Valley social media platforms such as Meta have long created unique forums to help attract advertising dollars, often offering the biggest investors an inside look at up-and-coming products, seeking their advice on complex issues and providing reassurance on “brand safety”—an industry term referring to the risk of ads appearing alongside problematic content and fake news.

Before the Musk acquisition, X had a customer board that met several times a year. The meetings were attended by up to 100 marketing executives from major brands, as well as purchasing directors at advertising agencies, according to people familiar with the matter.

When Musk bought the platform for $44 billion last October, the board last met in early November. Advertisers have raised concerns about brand safety after the billionaire decided to ease content moderation policies and fire many moderators and sales staff.

One person who attended that November meeting said Musk seemed unsatisfied with the questions. Shortly after, X stopped communicating with the longtime group.

Its rebirth comes as Yaccarino, former head of publicity at NBCUniversal, continues a charming drive to bring back advertisers, many of whom have left the platform due to Musk’s unconventional leadership style and changes in moderation. The company’s advertising revenue has dropped about 50% since Musk took over, and the platform is still cash-flow negative, according to Musk.

So far, Yaccarino, which has a reputation for solid advertiser relationships, has had some success, attracting several big companies like Mondelez to return and rolling out new brand safety controls.

She also met with talent agents at Creative Artists Agency and United Talent Agency, as well as A-list celebrities in Hollywood last month, as the platform tries to land high-profile artists to increase engagement.

During Thursday’s interview, she said users will soon be able to make video calls without having to share their phone numbers with anyone. She reiterated the company’s commitment to facilitating payments on the platform.

However, many media and advertising industry executives warn that Musk’s controversial behavior could undermine any goodwill Yaccarino brings.

Some noted its absence in Musk’s rebranding announcement to users last month, when he said Twitter would lose its familiar bird logo and become “X”.

She later wrote on the platform: “X is the future state of limitless interactivity — centered around audio, video, messaging, payments/banking — creating a global marketplace for ideas, goods, services and opportunities.”