Lindsey Rayner appointed Managing Director of marketing agency Levergy
She brings extensive experience as a senior agency executive and has a particular interest in sports sponsorship and passion-led marketing
SOCIAL MEDIA
Widespread disbelief as Musk sues advertisers he claims boycotted X
By our African Marketing Confederation News Team | 2024
Maverick billionaire believes organisations unlawfully agreed to boycott his platform, thereby losing it billions of dollars in ad revenue.
The global advertising and marketing community, as well as the international media, has reacted with surprise and disbelief at a decision by Elon Musk to sue various organisations who failed to advertise on his X platform in 2022.
His lawsuit, filed in the US state of Texas, relates to the period in 2022 not long after he bought the platform then known as Twitter. Advertising revenue tumbled because many advertisers were wary of being on Twitter, believing the new ownership was not serious enough about removing harmful online content and hate speech.
Musk and his management team are suing FMCG giants Unilever and Mars, private healthcare company CVS Health, and renewable energy firm Orsted, as well as the World Federation of Advertisers.
Central to X’s legal claim is the allegation that the organisations unlawfully agreed to boycott Twitter, thereby losing it billions of dollars in ad revenue.
Elon Musk. Photo: Prime Minister’s Office, Government of India
John McCarthy, Opinion Editor for the industry publication The Drum, says a “bewildered” advertising community has “responded with incredulity that a brand safety discussion would be blown up into a freedom of speech debate”.
The Drum polled more than 100 marketers to get their initial reaction to the statement from X chief executive Linda Yaccarino claiming the groups systematically – and illegally – sought to boycott the platform as part of a broader effort to force X’s hand into suppressing right-leaning voices on the platform.
‘A wall of ridicule’ from the industry
“The industry’s response was a wall of ridicule, a consensus that the platform owned by a man who only last year told advertisers to ‘go *** yourself” had made its bed and now had to sleep in it,” McCarthy writes.
“X’s growing irrelevance in the eyes of the world’s top marketers owed more to its own actions than a shadowy cabal of media execs, many argued.”
Nils Pratley, Financial Editor of the London-based The Guardian newspaper, says “Elon Musk is being ridiculous. Companies are free to choose where to advertise”.
Pratley states: “It is less than a year since Elon Musk told advertisers who were shunning his social media site, X, that they could take their business elsewhere permanently. In fact, he encouraged them to do so.
“Come on, you’re running a profit-seeking business, like most of the rest of the media world. If you can’t make the revenues stack up, that’s your problem. If anyone is guilty of showing monopolistic tendencies here, it is X in believing it deserves to be protected from everyday commercial pressures.”
The marketing currency that’s far more valuable than money
Why attention is the ultimate currency in a world of endless distractions – and how to make it work for your brand.
Gathering of Ethiopian marketers discusses Africa’s marketing trends
Africa is changing rapidly, so the continent’s marketers must work to shape trends and not merely react to them, Addis Ababa event hears.
PR company Edelman unveils new pan-African regional advisory service
New business offering to be steered by senior executives in four regions and will provide high-level support to clients.
Zimbabwe aims to seize emerging European coffee export opportunity
Rising demand in key European markets for specialty grade beans that are ethically sourced could boost Zim’s coffee industry.
How the metaverse is changing consumer engagement and blurring lines
Study examines emergence of virtual representations of individuals, which are blurring the lines between physical and digital identities.
Volkswagen Group Africa continues creative partnership with Ogilvy
Ogilvy presented a “unique partner model” during an 11-month pitch process involving 15-plus agencies and multiple rounds of presentations.
Poor cold chain logistics resulting in massive food wastage in Africa
Nigeria reportedly has less than 4% of its cold chain capacity requirement. Much of Africa faces a similar challenge.
Latest magazine discusses high-level insights for Africa’s marketers
The latest issue of Strategic Marketing for Africa, the magazine for deep-thinking African marketing professionals, is now available.
Skies of change: The effect of Marketing 5.0 in African aviation
As African commercial aviation expands, Marketing 5.0 has a vital role to play in enhancing operational efficiencies and customer service.
Want to make a sale? Pitch in public and give the customer more space
Researchers find that the location of sales interactions may be just as important as crafting a clever sales pitch.
