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A new scenario in Digital Marketing after Twitter takeover by Elon Musk
04
Nov 2022

By Cosmocrat Software Solutions

A new scenario in Digital Marketing after Twitter takeover by #Elonmusk

There is no second thought about the potential of Social media role and its impact in the field of Digital marketing. There are so many potential social media platforms which are the choice of Social Media Marketers like Pinterest, Google, Facebook and Twitter. Recently the deal got over Twitter acquisition and now the Eon Mask, I prefer to call him the real master acquired twitter. He started investing in the shares in January 2022 and started the acquisition process in April and finally acquired Twitter on 28th October 22. The certain changes are on card for sure. It may be the layoffs and the reduction in charges from $ 20 to proposed $8 for algorithm boost and verification to be paid by the users. The pessimistic investors and saturated user numbers lowered the share price as well as the Twitter posted an estimated loss of nearly $ 344 million. All this provided the opportunity to Elon and propelled him to initiate and finally acquire Twitter.

Strategic Possible Changes:

The changes in the infra as well as the working pattern and ideology are bound to occur once the ownership changes. Although it is also important to take up a decision to sell the established platform at right juncture and the same is true to acquire. Still in order to revive Twitter the task is not that simple but the approach of Elon and his capacity to pump the money and entrepreneurial bend of mind for taking loans to run the show is al proven. This takeover has increased the debt of the company balance sheet Musk has taken a loan of $13 Billion already to get the deal sealed. This will be an interest liability of one Billion Dollar every year on the company. The interest amount is even higher than the profit of company for financial year 2021.
There is a need of generating revenue from the sources apart of Advertising on the platform.

The following are the presumed changes for financial gain on priority:-

  • A verification charges as $ 8 per month to establish a premium account to the services. The estimated accounts on twitter are 4 Lakhs, which will generate $ 38 million per year this is a little contribution to compensate loan interest of $1 Billion.
  • The other area of concern is the revival of blocked account as even the account of Donald Trump whose account was banned in January 2021 once his supporters stormed in the United States Capitol.
  • In response to critics view that Musk would create a chaos with his support for free speech he clarified that it would not be platform free for all hellscape and the laws of the specific country would be applicable in regards to hate speech.
  • The intention of Elon is to create a Super App where multiple services can be availed by encompassing all Apps. This may lead to give a rise in revenue though ads and services commission.

Future of Twitter:

With lot many critics and the present business scenario it is not easy to predict the future. The approach of Elon may turn the wheel in any direction as he made the intent clear for reforms by exiling the top executives and support for free speech under certain controls as well as revival of blocked accounts may pull the user tally. It may swing either way but still the future looks to be better and investment by Elon is not going to be dumped.

This swing is definitely going to be the concern for a close watch and analysis for the Social Media Marketing companies to take the steps with due caution.

In this fast pace unprecedented happenings, the challenges are for the digital marketing for the business houses as well as social media marketers. We at Cosmocrat Software Solutions are in the process of monitoring and analysis of the trend changing at a fast pace, so that we can adopt the appropriate approach to take the leverage of changing trends in the field.

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