Twitter May Be Looking At Subscriptions to Boost Revenue

WebProNews
Twitter May Be Looking At Subscriptions to Boost Revenue

Twitter may be looking at subscription options in an effort to boost revenue and offset sluggish ad sales.

Like many social media platforms, Twitter has seen a surge in users as a result of the pandemic. During the most recent quarter, the company’s Monetizable Daily Active Users (mDAU) grew some 34% year over year, coming in at 186 million.

In spite of the good news, sluggish ad sales resulted in a 19% decline in year over year revenue. With $683 million in revenue for the quarter, Twitter saw an operating loss of $124 million.

To help offset the ad business, Twitter is looking at a number of options, including subscriptions.

We’re also in early stages of exploring add’l potential revenue products that complement our advertising business, which may include subscriptions & others. It is very early; we do not expect any revenue against these in 2020. $TWTR

Twitter Investor Relations (@TwitterIR) July 23, 2020

Subscriptions could be a game-changer for Twitter, giving it a way to better compete with new platforms. Only time will tell, however, if the company will commit to this route, and what the final version may look like.

Twitter May Be Looking At Subscriptions to Boost Revenue
Matt Milano

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