Twitter said Thursday in an SEC filing that it plans to ramp up revenues by allowing its users to pay creators directly for content.
It’s kind of like, “You want this content? You willing to pay a little extra for it? OK, now that you’re here, you wanna pay a little more for this, over here? Look, over here!”
These special users – currently numbering approximately 192 million – are called mDAUs (monetizable daily active users), and Twitter said it’s targeting a goal of 315 million mDAUs by the end of 2023.
Hand in hand with that goal, the company says, is to at least double its annual revenue in that year.
“We agree we’ve been slow,” CEO Jack Dorsey said regarding company innovation. “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.”
Twitter’s stock rose 3.7% Thursday from $71.91 and was trading at $78.49 early Friday afternoon ET.
The aggressive plan to double revenue would mean a rise to at least $7.5 billion in 2023, Twitter said.
The company seeks to diversify its revenue stream, widening its reach and distancing itself from primary dependency on ads, particularly the big brands.
Twitter’s global vice president of revenue, Matt Derella, said Twitter collects only 15% of company ad revenue from performance ads, or ads that help small businesses.
The feature designated as the big revenue driver allowing users to charge their followers involves a payment tool called “Super Follows,” with premium content including newsletter subscriptions, badges pledging support and bonus tweets.