It appears that Twitter’s days as a “high-risk” entity for advertisers are coming to an end. This is, at least, according to WPP-owned GroupM, one of the industry’s premier media agencies. GroupM has reportedly informed its clients that the firm no longer considers Twitter “high risk.”
The media agency’s update came just days after Musk’s announcement that he would be stepping down as Twitter CEO, and that his replacement would be advertising veteran Linda Yaccarino. Prior to her role as Twitter’s new CEO, Yaccarino worked as NBCUniversal’s head of advertising.
GroupM’s update bodes well for Twitter, especially considering that the agency branded the social media platform as “high risk” back in November. Citing three people reportedly familiar with the situation, the Financial Times noted that GroupM’s updated classification could encourage the agency’s clients to increase their ad spending on Twitter.
One of the publication’s sources noted that GroupM had been waiting until there was a “return to normalcy” on Twitter, especially with regard to harmful content on the platform. And while Yaccarino’s transition as CEO is not the end-all-be-all of the matter, it was nonetheless a step in the right direction.
“While the job is not done, there have been material improvements,” one of the FT‘s sources noted. The person reportedly added that the agency is also “cautiously optimistic” about the appointment of the advertising veteran. GroupM, for its part, has not issued a comment on the matter as of this writing.
GroupM is not the only agency seeing a shift in the winds. S4 Capital head Sir Martin Sorrell noted that Yaccarino’s “appointment will encourage clients to have another look” and that “Linda will make a difference if given the wiggle room.” Ben Foster of The Kite Factory also noted that the “hardline approach” adopted by some brands against Twitter is starting to soften.
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