Recent leaks from Twitter/X’s back-end code have hinted at an upcoming rollout from Musk’s team. They’re set to unveil three tiers of X Premium subscriptions.
Users will have access to three distinct packages: Basic, Standard, and Plus. These tiers come with different levels of ad exposure and a range of features. This strategic shift in X’s revenue model has the potential to influence other social media platforms if it proves successful.
Naturally, users were surprised when they encountered @aaronp613’s xeet on the new X Premium subscription tiers on Twitter/X:
X Premium will be broken up into 3 tiers:
Premium Basic – Full Ads
Premium Standard – Half Ads
Premium Plus – No Ads pic.twitter.com/I0CyaQf2ME— Aaron (@aaronp613) October 5, 2023
What are the new X Premium subscription tiers?
So, what can users expect from these new subscription tiers? Let’s break it down:
- X Premium Basic: This is the entry-level tier, designed to offer an enticing price point for users. However, it comes with a catch – you’ll see full ads in your feed. It’s a trade-off for the budget-conscious.
- X Premium Standard: For those seeking a middle-ground experience, the Standard package might be the sweet spot. You’ll encounter half as many ads compared to the Basic tier, striking a balance between cost and ad exposure.
- X Premium Plus: This is the cream of the crop. The Plus package promises an entirely ad-free experience, but it comes with a higher price point. If you’re willing to invest, you can bid farewell to those pesky ads.
Why is X making this move?
X’s decision to revamp its pricing structure is driven by a combination of factors. On one hand, they’re aiming to drum up interest in their subscription service. On the other, they need to comply with stringent European privacy regulations.
By offering an ad-free option, X aligns with EU rules that grant users the power to opt out of data tracking for personalization purposes. Additionally, this premium offering could help offset potential losses resulting from stricter data collection policies.
Potential challenges ahead
While the ad-free subscription model holds promise, there are hurdles to overcome:
- Revenue share implications: A significant shift towards ad-free packages could impact the revenue shared with creators, as ad earnings are likely to dip. Striking a balance between sustaining creator income and platform profitability will be a crucial task for X.
- Pricing strategy: X faces the challenge of finding the right pricing strategy to compensate for lost ad revenue, while still making premium tiers appealing to users.
- User adoption: Elon Musk has stressed the need for users to pay for access to combat bots and spam. The success of this venture hinges on a sizable portion of users opting for paid subscriptions.
- Privacy concerns: While the ad-free option only applies to the “For You” feed, concerns about data collection and user privacy persist. X will need to address these concerns while demonstrating a commitment to safeguarding user data.
In taking this bold step towards tiered pricing and an ad-free subscription option, X is signaling a paradigm shift in its revenue model. As further details emerge, it will be fascinating to see how X navigates the intricacies of pricing, revenue implications, and user adoption while upholding privacy regulations.
The X Premium subscription tiers move has the potential to reshape not only X but also the broader subscription and pricing practices of social media platforms, so stay tuned for updates!
Meanwhile, if you are a frequent Twitter/X user, you may have missed and want to check out how the long-awaited X shadowban alerts are teased.
Featured image credit: Kelly Sikkema on Unsplash
