Unlabeled clickbait ads on X raise concerns over transparency
What's the story
X, the social media platform formerly known as Twitter, has seemingly rolled out a new ad format that's causing quite a stir.
Users have noticed ads in their "For You" feed that don't allow for likes or retweets and don't even reveal the advertiser or indicate that it's an ad.
The new format seems designed to blend in with regular content, featuring just text, a photo, and a fake avatar, per Mashable.
Details
Chumbox-style ads indicate struggles for advertisers
These new ads on X look a lot like "chumbox" advertising, which you usually find at the bottom of content farm sites and is known for being clickbait.
Some examples include "This Seems Unbelievable, But Happens in Dubai Everyday" and "These Incredibly Cool Gadgets That Are Going To Sell Out This Year. Act Now!"
The fact that chumbox-style ads are popping up on X suggests the platform is having trouble attracting advertisers, leading to partnerships with third-party ad providers.
Scenario
Declining ad revenue forces X to partner with third-parties
Since Elon Musk took over, X has had a tough time getting advertisers on board.
Half of its biggest advertisers stopped their campaigns soon after Musk's acquisition.
Moreover, reports say that returning advertisers are spending up to 90% less on X than before the takeover.
To fight falling ad revenue, X might have teamed up with third-party adtech companies like Taboola to sell available ad space.
Twitter Post
Take a look at the post from X user
This new ad format reminds me of what you see on the bottom of low quality "news" websites 😂
— Markets & Mayhem 🤖 (@Mayhem4Markets) October 6, 2023
The ads also cannot be blocked or reported
Ad blockers, however, may still work
Have you seen these weird ads here yet? pic.twitter.com/S7vnHPGwhF
Insights
New ad format breaks from traditional X ads
The new ad format on X is a big departure from traditional ads on the platform. Before, ads were just regular posts that advertisers paid to show in users' feeds/profiles.
The new format doesn't have engagement buttons—likes, retweets, or replies—and it doesn't include the three-dot icon button that lets users report or block ads.
Plus, the new ads don't have an attached X account, so it's unclear who's behind the ad and whether it's an ad at all.
Facts
Uncertainty surrounds future of X's ad format
Right now, it's not clear if X is just testing this new ad format or if it's here to stay.
The lack of transparency and user engagement options raises questions about the user experience and whether the platform can attract advertisers in the future.
As X keeps grappling with dropping ad revenue, we'll have to wait and see how these new ad formats affect the platform and its users.