Doobie-us: Pot ads come to Twitter amid cannabis industry collapse
Elon Musk’s fondness for 420 jokes is well-documented on Twitter, where the CEO loves responding to tweets with comments like “420 haha.” So it makes sense that Musk is well aware of opportunities for cannabis advertisers to reach Twitter users who like tweeting about marijuana as much as he does. It comes as no surprise, then, that Twitter announced yesterday that it would become the weed-friendliest social platform and start allowing some previously restricted cannabis ads to appear in Twitter feeds of users in states that have legalized weed.
“As of today, in certain US states, we have taken measures to relax our cannabis ads policy to create more opportunities for responsible cannabis marketing—the largest step forward by any social media platform,” Alexa Alianiello, Twitter’s lead of ad sales and partnerships, wrote in a blog post.
This policy change sets Twitter apart from other advertising giants like Meta, which bans both CBD and THC ads, and Google, which allows some CBD ads but bans marijuana ads, including instructional content.
“Going forward, Twitter is allowing advertisers to promote brand preference and informational cannabis-related content for CBD, THC, and cannabis-related products and services,” Alianiello wrote.
Previously, Twitter had only allowed US advertisers to post ads for approved CBD topical products. Now it appears that weed delivery services and accessories like vape pens could be advertised, according to Yahoo News.
Twitter’s new policy allows approved cannabis advertisers to target users in areas of Canada and the US where marijuana is legalized. Approved ads can only promote “informational or brand-preference content” and cannot glamorize cannabis use, appeal to minors, or advertise the price or distribution of cannabis. Celebrities and athletes cannot endorse cannabis in ads. US advertisers cannot show people using cannabis products or people under the influence of cannabis. They are also prohibited from encouraging users to cross state lines or making misleading or false claims, including about marijuana health benefits.
In the US, where marijuana has been legalized in 21 states but remains a federally illegal industry, only licensed advertisers can expect to be pre-authorized by Twitter. Those advertisers agree to accept full responsibility for complying with laws. Targeting in the US is restricted to Twitter users older than 21.
Twitter did not respond to Ars’ request for comment on its new policy.
It’s unclear how quickly Twitter will be able to authorize cannabis advertisers, but Amy Deneson, co-founder of the Cannabis Media Council, told Politico that Twitter’s embrace of cannabis advertisers is “groundbreaking” for an industry currently lacking straightforward online tools to reach wide audiences. Deneson told Politico that Twitter has set no minimum ad purchases for the cannabis industry and will be matching any ad buys before March to boost reach for new cannabis advertisers, regardless of budget size. [Update: A spokesperson for the Cannabis Media Council told Ars that although it has planned its inaugural campaign, the council is not currently running ads on Twitter and has no plans in the immediate future to run ads. Deneson said in a statement that Twitter made a good business decision with its policy change, which could generate “significant revenue.” The cannabis industry, Deneson said, will benefit from having more advertising channels on Twitter that “will give cannabis and cannabinoid brands another avenue to reach and grow their audiences.” Twitter’s move could possibly persuade other mainstream media and platforms to allow cannabis industry ads.]
Twitter’s policy update could help save some weed businesses from failing amid a cannabis industry financial collapse. Fortune reported this month that many businesses are failing due to “excessive debt, falling marijuana prices, competition from illegal sellers, and high taxes.”
It’s easy to see how the cannabis industry and Twitter could help prop each other up during difficult financial times. Search Engine Journal reported last month that Twitter advertising is down 40 percent, and more than 500 top advertisers have paused spending. Cannabis advertisers could help fill that revenue gap.
The move could pose a risk of further alienating some Twitter advertisers, though. If major brands grow concerned about how Twitter is verifying cannabis advertisers and feel hesitant about having their ads appear near cannabis ads, Twitter may suffer even more prolonged pauses in spending from its biggest advertisers, Politico reported.
Twitter will also have to train staff to determine when a cannabis industry ad is appealing to minors or glamorizing weed consumption. Without clear standards, which ads get approved could depend on who is assessing the ads, and that would make it harder for cannabis businesses to design impactful campaigns in line with the rules.
https://arstechnica.com/?p=1918179