"He stated that the previous advertising technology lacked appropriate targeting, leading to users seeing irrelevant spam ads. "An ad that meets a user's needs, if it's a product or service that they want, especially when they want it, that is actually content," stated Musk. Musk also highlighted the use of Grok for AI matching to correlate user interests with specific products or services, resulting in a significantly improved matching process."
"He urged advertisers to consider creating ads for specific products and services to connect users with products and services that would improve their lives, rather than generic or brand-based advertising. "We finally have the technology to do that by using AI matching," assured Musk. He further highlighted the strong purchasing power of X's users, calling them the wealthiest advertising demographic across any social, digital, or traditional media platform."
"Musk's announcement comes after a series of significant changes in X's advertising strategy. In June, Musk revealed that X would charge advertisers based on vertical screen size, a move aimed at curbing the creation of giant ads that impair the user experience. This marked a significant shift in the platform's revenue strategy."
X introduced advanced advertising technology that leverages AI matching (Grok) to correlate user interests with specific products and services. The system aims to replace generic or spammy ads with product-specific ads delivered when users want them. The platform positions these targeted ads as content that improves user experience by meeting actual needs. Advertisers are encouraged to create ads for distinct products and services rather than broad brand campaigns. The platform also emphasized the high purchasing power of its user base as a key advertising advantage. Recent policy shifts include charging advertisers based on vertical screen size to limit oversized ads and protect user experience.
Read at Benzinga
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