Twitter has become the first social media platform in the US to allow cannabis ads. The platform earlier allowed ads for cannabis-infused or hemp-derived CBD topical products.
Competitor platforms
Competitor platforms like Facebook, Instagram, and TikTok do not permit marijuana advertisements that comply with US federal law. On the other side, some states have legalised the use of medical marijuana.
The platform has been at the heart of some of the most potent grassroots movements, according to Twitter, "many of which have started with a single Tweet" which is how the company introduced the update in a blog post.
Twitter acknowledges the usage of marijuana for recreational purposes as well as in alcoholic and fast food beverages.
The post reads, "The cannabis space on Twitter is fun and engaging with users Tweeting about their experiences using cannabis – whether medicinally, for wellness, or recreation – as well as recommending brands, products, and retail locations. The conversation also reflects where the cannabis industry is currently heading: legislative/policy reform, business development, and community impact."
Twitter says it will permit cannabis companies to advertise, as long as they have a proper license. The post further highlights, "Going forward, Twitter is allowing advertisers to promote brand preference and informational cannabis-related content for CBD, THC, and cannabis-related products and services."
The new update indicates that Twitter is looking at different options to boost its revenue after several advertisers pulled the plug from the platform following Elon Musk's formal takeover in late October 2022.
Apple and Amazon
Apple and Amazon were among Twitter's biggest clients for ad revenue. Both companies arbitrarily stopped ads on the platform last year. To resolve the issue with the companies, Musk personally got in touch with top executives.
Unfortunately, it looks that Twitter's revenue is declining. The Platformer published an analysis on Twitter's income last month, which showed a 40% year-over-year decline in Q4 2022. Given that Twitter is now a private company, the precise numbers are still unknown. According to a study, the business earned about $942 million during the most recent quarter.
Given that Musk has terminated multiple offices and cut half of Twitter's staff since November, the losses may be limited in the current quarter. The business even discovered a way to profit from extra office supplies. Last month, the corporation auctioned off a variety of gadgets, office supplies, and even kitchenware.
In many nations, Twitter is also experimenting with a Blue membership. The blue checkmark is added to the profile by the subscription. In India, it costs Rs 900 per month (Android and iOS).
