Remember during the pandemic when everyone was watching Verzuz battles between different artists at home? The online platform, founded by Swizz Beatz and Timbaland, has partnered with Elon Musk’s X for distribution. On Wednesday, the two partners announced the partnership at the Cannes Lions conference in France.
A number of large brands, such as Ciroc, Pepsi and Doritos, have used their marketing dollars on Verzuz streams and events to connect with the platform’s diverse and engaged audience, and have enhanced their visibility and brand awareness through these strategic advertising and sponsorship programs. Pepsi, Doritos, and Ciroc did not respond to a request for comment.
Daria Belova, Marketing and PR Director at HypeFactory, emphasized that while high reach on X is appealing, the key is whether the audience matches the product’s target demographic and if Verzuz’s content aligns with the brand’s philosophy. Belova added that consumer decisions are increasingly driven by ethics and ideology. However, few brands are suitable for the platform and Verzuz due to demographic and ideological factors. X’s audience consists primarily of leaders, innovators, and thinkers who influence trends and opinions, mainly adult male American millennials.
“In theory, X attracts interest from IT, NFT, and business-oriented products seeking to engage with their target community, thanks to its strong network in startup communities and among specific personalities in the United States,” said Belova. “I believe that we will see the rise of brands from this field on Verzuz.”
When Verzuz was under its parent company Triller, its Instagram streams experienced numerous technical issues. These problems were resolved when Verzuz began holding in-person events. Similarly, X is now engaging in live events on its platform, such as WWE Speed, and is in discussions with sports leagues to produce more docuseries, according to CEO Linda Yaccarino in an interview with Axios. Aside from this, X recently launched a YouTube-like platform for smart TVs, which marketers speculated is intended to become a source of new revenue for the company and this would align with what Elon Musk could do with Verzuz.
“I believe that the development of Verzuz gives X a chance to capture and retain a new niche segment (rap fans, rap artists, and just amateurs) that will attract the attention of brands that have bypassed X,” said Belova.
Since last year’s Super Bowl, Elon Musk has been diligently working to attract advertisers and entice content creators to join Twitter Blue with attractive payouts. Marketers speculate that new brands might flock to the platform or advertise during Verzuz events, potentially encouraging more brands to allocate their marketing budgets to Twitter.
However, this strategy carries some risk, as Verzuz’s popularity peaked during the pandemic and may have diminished now that concert touring has resumed full-time since 2022.
Molly Barth, Senior Cultural Strategist at Sparks & Honey, stated that many people found the announcement on Juneteenth to be particularly tone-deaf, especially considering that Elon Musk has faced accusations of racist behavior in his workplaces. Additionally, there are claims that X has permitted white supremacist accounts to thrive. Barth advises brands to seek alternative ways to connect with Black audiences.
“A lot of the commentary I’ve been seeing on this partnership has been negative. Something that started out as an organic moment in culture (during the pandemic where people were craving community and connection) has quickly become commoditized, and the partnership with X is just further proof of that,” said Barth. “It’s something brands get accused of a lot — taking something authentic, real, rooted in community and culture, and [capitalizing] on it.”