Spending on adverts on Twitter dropped by 70 per cent in December, new data has revealed.
The fresh statistics, from advertising research company Standard Media Index, shows that firms are losing confidence in the social media platform and raises further questions about whether Musk will be able to turn things around.
According to reports, Twitter is is attempting to reel lucrative advertisers back in with a variety of promises.
Earlier this month, the Wall Street Journal reported Twitter was giving advertisers £400,000 if they matched it in ad spending on the site. Twitter has not yet confirmed these reports.
Researchers at Pathmatics have estimated that the billionaire businessman’s purchase of Twitter triggered nearly half of the top 30 advertisers to ditch the platform altogether, which Musk blamed on activist groups.
Roughly 90 per cent of Twitter’s revenue stems from ad sales.
Meanwhile, Research service Insider Intelligence has forecast a 39.1 per cent reduction in Twitter’s ad revenues during the next two years.
Twitter did not respond to City A.M.‘s request for comment.