For four consecutive quarters, Twitter advertising revenues have been declining year by year. But Twitter's advertising business is not plummeting as much as it's stabilized, according to the advertising marketers.
Twitter's advertising activity suffers from a Goldilocks paradox. Twitter has a large audience, but not big enough. This is a good place for brand advertisers to attract people's attention, but not all the time. He has strong points in direct response advertising, but they are obscured by his direct response struggles. The real-time nature of its product separates it from other social platforms like Facebook, but it also causes advertisers to put it in touch with news publishers rather than with social platforms (a categorization that even Twitter acknowledged). As a result, Twitter remains able to compete for a share of advertisers' budget, but it is not able to earn as much shares as it could have done before.
[Read the full article on MarTech Today.]