X is facing a challenge familiar to many tech giants: stalled user growth. In an attempt to lure advertisers back, the platform is resorting to ad discounts, offering $500 in ad credit for $250 in ad spend.

But is this the answer? Here’s why relying solely on discounts might backfire for X.

While offering lower ad costs seems like an easy way to attract advertisers, it comes with hidden costs. Heavy discounts can make X’s ad space seem less valuable, potentially leading to long-term lower rates. Also, discounts might attract the wrong crowd of budget advertisers with less targeted campaigns, cluttering the platform with irrelevant ads and harming user experience.

Discounts can be a temporary tool to attract advertisers, but they don’t address the core issue of user growth. X needs to prioritize user experience, explore new revenue models, and adapt to stay relevant. 

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