Twitter Brings Ads To Logged Out Users

The social media network has brought ads to its logged out users in its efforts to growth and compete with its rival.

Twitter, Inc. has fallen by 11% since Jack Dorsey was appointed as the official chief executive officer of the social media network in October. On Thursday, the stock of the social media website fell by 4% registering its all-time low at $23.31. Initially Yahoo! Finance did mention the 52-week stock low at $21.01 at intra-day trading. On that day, the entire stock market was reported down.

The social media network announced that it would start to promote ads to its ‘logged out audience’ as well due to which the stock did witnesses an increase in its price. However, this announcement is not exactly what the investors are looking for.

It is safe to say that 2015 has been the worst year for the social media site’s stock. Furthermore, year-to-date stock is down by 30%, which indicates a decline in users of the site. The management of Twitter thought that the new move of showing ads available to logged out users could bring better days to the company, the Wall Street analysts still remain cynical. They suggested that the social media company would have to do much more than this to get back in the game and compete with other social media websites.

Ken Sena, employee at Evercore, stated that advertisers mostly want social media networks on board who have larger target audience or user base. In comparison to Facebook’s 1.5 billion monthly active user base, Twitter’s 320 million users are not less to monetize from advertisements overall. Apart from that, Snapchat and Twitter are advertiser’s first choice than the social media site itself.

In comparison to the same quarter, the user base of the social media website only increased by 2 million, which is noted as the worst growth of the company yet. This growth rate made many analysts believe that the social media is about to hit its peak now. It will need to make efforts to attract new users to the micro-blogging platform.

The ads for outside users were Twitter’s thought outside the box but it’s not something that can bring growth and a bright future to the organization. We can easily say that not all hope is yet lost because when comparing to Facebook, any social media platform will look like a loser, but in its own space, Twitter show signs of growth and betterment. At this point, Wall Street should try to cheer the company instead of losing faith in it.