25 February 2021
Twitter said Thursday that it plans to increase the amount of money it makes off of its users by allowing them to pay creators directly for content they like.
Why it matters: The company is trying to broaden its revenue stream away from being dependent mostly on ads, and particularly on ads from big brands.
Details: Twitter announced it will create a new feature that allows users to charge their followers for more content via a payment tool called "Super Follows."
- The product will allow Twitter users to charge for premium content, like a newsletter subscription, badges showing support, or bonus tweets.
- Twitter also said it's experimenting with putting other features behind a paywall, including its Tweetdeck portal that allows hyper-engaged Twitter users to monitor lots of tweets in real-time.
Be smart: The ability to allow users to pay for specialized access to additional content is a growing trend among social platforms, and something that has long been used in the gaming community.
- Amid the pandemic, more apps are focusing on the "creator economy," or products and features that allow people to pay their favorite creators directly for exclusive content.
The big picture: The news was unveiled alongside new goals from Twitter executives about how it plans to grow the company more broadly.
- The company said it plans to increase its monetizable daily active user base (mDAUs) from 152 million at the end of last quarter to 315 million by Q4 2023.
- It also plans to more than double its global annual revenue to over $7.5 billion by Q4 2023.
Yes, but: To achieve this goal, subscriptions won't be enough. The company needs to improve its ads business to make it more accessible to small and medium-sized advertisers around the globe, not just Fortune 500 companies.
- Twitter's global vice president of revenue Matt Derella said that the company makes 85% of its ad revenue today from brand ads, or ads that help big companies build their reputations. Only 15% of Twitter's ad revenue comes from performance ads, or ads that help small businesses sell things.
What's next: To help scale its ads business, Twitter said it has completely overhauled its ad-serving technology and refocused on how to broaden its user base to be able to serve more ads.
- The tech giant presented investors with its newfound focus on topics and micro-communities to help drive more engagement.
- That includes a new feature called "Communities," which will help the company focus on building groups around certain topics.
- Focusing on topics will help the tech giant increase engagement on the platform, the company's head of consumer product Kayvon Beykpour said.
- Early experiments show that topical tweet recommendations drive 8.2% engagement, as opposed to 3.2% from account-based tweet recommendations.
- The company plans to expand its topic data base from about 6,000 topics today to "hundreds of thousands" of topics globally in the next few years.
The bottom line: In terms of innovation, "We agree we've been slow," CEO Jack Dorsey conceded. "We've been working ourselves out of a significant deficit for years."
- "We expect the next few years will show our most ambitious strategy to evolve."
Transcripts show George Floyd told police "I can't breathe" over 20 times
Section2Newly released transcripts of bodycam footage from the Minneapolis Police Department show that George Floyd told officers he could not breathe more than 20 times in the moments leading up to his death.
Why it matters: Floyd's killing sparked a national wave of Black Lives Matter protests and an ongoing reckoning over systemic racism in the United States. The transcripts "offer one the most thorough and dramatic accounts" before Floyd's death, The New York Times writes.
The state of play: The transcripts were released as former officer Thomas Lane seeks to have the charges that he aided in Floyd's death thrown out in court, per the Times. He is one of four officers who have been charged.
- The filings also include a 60-page transcript of an interview with Lane. He said he "felt maybe that something was going on" when asked if he believed that Floyd was having a medical emergency at the time.
What the transcripts say:
- Floyd told the officers he was claustrophobic as they tried to get him into the squad car.
- The transcripts also show Floyd saying, "Momma, I love you. Tell my kids I love them. I'm dead."
- Former officer Derek Chauvin, who had his knee on Floyd's neck for over eight minutes, told Floyd, "Then stop talking, stop yelling, it takes a heck of a lot of oxygen to talk."
Read the transcripts via DocumentCloud.