The European car manufacturer is suspending its advertising purchases on the social network while waiting to see what the platform bought in October by Elon Musk will look like.
More advertising and sponsored content for Peugeot, Citroën and Fiat on Twitter. This is the decision taken by the automotive group Stellantis following the takeover of the social network by Elon Musk.
“We are suspending paid advertising posts until we have a better understanding of the platform’s future under its new leadership,” the automaker said in a statement to Reuters.
The automotive group born from the merger of Fiat Chrysler with Peugeot PSA thus joins the list of advertisers who have decided to pause their advertising investments on Twitter.
A loss of 4 million per day
In recent days, the airline United Airlines, the food group General Mills, the pharmaceutical group Gilead and above all the car manufacturers General Motors and the American subsidiary of Audi have cut their marketing expenses on the platform. For the latter, it is also a question of cutting the income of a competitor. Elon Musk having pledged part of his Tesla shares to afford the social network.
A leak from advertisers that the new owner of Twitter does not deny. The billionaire thus claimed that since his takeover, the company had suffered a massive drop in revenue with an estimated loss of $4 million per day.
Worrying news when Elon Musk went into debt to the tune of 13 billion dollars to afford the platform for the blue bird. While the interest on the debt owed by Twitter has so far amounted to $ 50 million a year, the financial arrangement of its new owner could, according to the Wall Street Journal, increase the amount of repayment to $ 1 billion per year. year.
To achieve this without further injection of liquidity, the boss of Twitter is counting on new subscription services or even a fully paid version of the social network.