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truth social: Without new cash, Donald Trump’s social media company could struggle to survive

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truth social: Without new cash, Donald Trump's social media company could struggle to survive

Former President Donald Trump‘s social media company is running on fumes and could be at risk of folding if it doesn’t find new funds in a hurry.

In a regulatory filing this week, auditors for Trump Media & Technology Group expressed doubt about the company’s ability to continue as a “going concern” without new financing. The filing also made clear that Trump Media desperately needs to complete its long-delayed merger with a cash-rich shell company so that it can tap $300 million in cash, especially if its flagship online platform Truth Social has any chance of surviving.

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The document, which offers the first detailed look at Trump Media’s finances, was filed with regulators as part of the company’s pending deal with Digital World Acquisition Corp., the publicly traded shell company it agreed to merge with in 2021.

If the transaction goes through, it could value Trump Media at $1 billion based on Digital World’s share price of $16.60. Yet, the rich valuation is no guarantee that the company, which largely relies on advertising revenue from Truth Social — and Truth Social itself — will be a viable business. Trump Media had little cash on hand by the end of June, and it has exhausted most of the $37 million in private financing it has raised since 2021, according to the filing.

“Contrary to the relentless mainstream media campaign peddling false information about Truth Social, we’ve given millions of Americans their voices back using technology operated at a fraction of the cost of the Big Tech platforms,” Shannon Devine, a spokesperson for Truth Social, said in a statement. Devine added that “Truth Social continues to move forward toward completing its merger, which we believe will enable important new ventures for the company.”

Since its founding, Truth Social has been a personal megaphone for Trump, who uses the platform frequently to rail against his critics as he makes another run for president and confronts an array of criminal and civil cases. The platform is popular with some of his most ardent supporters. But on any given day, much of the advertising on the platform comes from weight-loss products, gold coins and “natural cures” for a variety of medical ailments.

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During the first six months of this year, Trump Media took in just $2.3 million in advertising revenue, according to the filing. “Truth Social is obviously not surviving on ad dollars,” said Shannon McGregor, a professor of journalism and media at the University of North Carolina who has studied social media platforms. “And the ads that are being sold are not robust or sustainable.”

The former president’s platform of choice remains a relative minnow in the social media universe. This year, the Truth Social app has been downloaded 3 million times, according to Sensor Tower, a data provider. By comparison, Elon Musk’s X, formerly known as Twitter, has been downloaded 144 million times, and Meta’s Threads has been downloaded 171 million times in the nearly five months since it debuted.

In all, Truth Social has been downloaded 7 million times since its launch in early 2022, according to Sensor Tower.

Trump has 6.5 million followers on Truth Social, compared with the 87 million he had on Twitter when he was prohibited from posting on the platform after the Jan. 6, 2021, attack on the Capitol. Musk, after buying Twitter, let Trump return to the platform, but the former president has posted only one message on X.

McGregor said other social media platforms had tried to increase their audience reach by reaching deals with media personalities and influencers who bring with them a ready-made group of followers.

If the merger is completed, Trump Media would have the cash on hand to retain the services of conservative media influencers. But McGregor said some people might be reluctant to join a platform that was so identified with Trump, whose political future remained uncertain.

“What is the future vision for a platform that is built on being a microphone for one person” is the obvious question for any social media influencer who might be thinking of joining Truth Social, she said.

The glimmer of good news for Trump is that this week’s filing of the updated merger document is an indication the deal with Digital World is moving along after being held up for nearly two years because of a regulatory investigation.

The filing of a revised prospectus was one of the requirements Digital World had agreed to as part of an $18 million regulatory settlement it reached this summer with the Securities and Exchange Commission. The settlement resolved an investigation into an allegation that Digital World had flouted securities rules governing special purpose acquisition companies by engaging in early merger talks with Trump Media before its initial public offering.

Trump Media, in a post on Truth Social, called the filing of the revised merger document “a major milestone toward completing our merger.”

The push to complete the merger comes as Trump’s real estate business in New York is being threatened by Attorney General Letitia James’ fraud lawsuit against the former president, his adult sons and their family business. In September, a New York judge considering the challenge ruled that Trump had committed fraud by inflating the value of some of his real estate assets and stripped him of control over some of his signature properties.

For the past several weeks, the same judge has been hearing testimony from witnesses — including Trump — to determine what kind of ultimate punishment should be meted out.

With the future of some of his real estate business on shaky ground, Trump Media suddenly has become a more important piece of the former president’s business empire and calculating his personal net worth. If the merger is completed, Trump, as chair, stands to become the single largest shareholder of Trump Media.

The company’s possible $1 billion valuation after the merger is a far cry from the roughly $10 billion price tag investors had given the deal shortly after it was announced in October 2021. Still, it is significantly higher than the $5 million to $25 million valuation Trump had put on Trump Media in a financial disclosure form this year.

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Beyond the buzz: Blue Tick’s formula for social media success

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Beyond the buzz: Blue Tick's formula for social media success

Photo courtesy of Andrea Piacquadio on Pexels

Opinions expressed by Digital Journal contributors are their own.

Breaking through the constant clamor of the social media world is no easy feat. With the world more interconnected than ever, attention isn’t just a valuable commodity, it’s the currency brands and marketers trade in. This bustling digital bazaar has brands tripping over themselves to capture even a fleeting glance from consumers, and while some do it successfully, many often fail. Blue Tick Ltd is one of the pioneering brands that understand the rhythm and flow of the online attention economy.

Under the dynamic leadership of its founder, Dylan, Blue Tick doesn’t chase attention — it commands it. A community marketing expert with wide-ranging expertise, Dylan has always had a keen eye for what works. Thanks to his fascination with the nuances of social media strategies and consumer engagement, he proudly holds a bachelor’s degree in marketing communications and a master’s degree in digital marketing. That fascination was also the catalyst for Blue Tick, an enterprise that reimagines the connection between brands and their communities.

“In school, I led several successful social media campaigns that not only increased engagement with campus events but also brought significant online attention to my academic community,” Dylan recalls. “After graduating, I founded a community marketing company called Blue Tick.” This community doesn’t merely aim to increase visibility but strives to forge a bond with audiences through authenticity and innovation. Unlike traditional advertising, community marketing is about creating a living, breathing ecosystem around a brand.

At Blue Tick, the focus isn’t on broadcasting messages but on creating dialogues, recognizing that a personalized touch can turn a passive observer into an active participant and brand advocate. In a digital terrain where every brand is a storyteller, Blue Tick’s narrative is distinct. It isn’t about adding more noise; it’s about fine-tuning the message to reach the right ears. Their approach is both an art and a science, melding creative content with a laser-focused targeting system backed by robust data analytics.

“My work has proven that combining creative content with precise targeting can create impactful online experiences,” Dylan explains. Blue Tick’s marketing campaigns aren’t just seen but felt. The content they create isn’t just encountered by consumers; they experience it. As Dylan explains, “Our campaigns are more than just text and images; we also include interactive content, gamified elements, and storytelling that make the brand more vivid and interesting and stand out in the busy world of social media.” Every campaign they roll out isn’t just a series of ads; they’re the opening lines to a conversation that makes every single person feel seen and heard.

Data-driven decision-making is another of Blue Tick Ltd’s pillars. The company meticulously analyzes consumer data to understand preferences, behaviors, and trends. This insight allows them to craft marketing strategies that are not only creative but also incredibly targeted. “The content I receive is more relevant, making me more likely to pay attention, share, or make a purchase,” says one consumer, highlighting the impact of Blue Tick’s data-driven strategies.

Over the years, Dylan’s team hasn’t just understood the landscape of social media marketing; they have redefined it. As their success proves, community marketing succeeds because consumers become brand ambassadors who not only love the products but also feel a deep connection to the brand’s ethos. With Blue Tick, it’s clear that the future of marketing is not just about reaching audiences; it’s about speaking directly to the consumer’s heart, turning every campaign into a conversation, and every consumer into a community member.

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7 tips for creating great digital presence

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7 tips for creating great digital presence

DEAR READERS: Companies of all kinds are finding it imperative to build a digital strategy to compete in a world where almost everyone is shopping and doing business online. How can small companies, including startups and those with just a few employees, get the kind of following on their websites and social media platforms that they’ll need to succeed?






There are several steps to take to build your business online.




It is a problem many companies are trying to get their arms around, according to everyone I reached out to. Here are a few tips to get started on the road to social media success:

Develop clearly defined goals. “Determine your objectives, whether they are enhancing brand awareness, generating leads or driving sales growth, as they will serve as guiding principles for developing your strategy,” suggests Dmitriy Shelepin CEO and head of SEO at Miromind.

Identify your ideal followers. That means going beyond demographics like gender and age, according to brand consultant Faith James, CEO of The Personal Branding Consultancy. “It’s important to go deeper into their psychographics — how they think, what motivates them, what their core desires are,” James says. “By focusing on the psychographics, you focus on the emotional connectors that build a stronger connection which goes beyond just the transactional ‘buy my stuff.’ ”

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Choose and prioritize platforms. Shelepin says it is crucial to choose platforms “that resonate with your desired audience and align with your business objectives,” and suggests focusing on one or two of those platforms “to deliver quality over quantity.”

Provide value. James says value can come in various forms, but stresses that it boils down to “helping your audience get a small win in the areas that are meaningful to them.

“If a hair salon is looking to grow their following, they might offer tips on their website and social media platforms such as ‘How to Have Your Hair Color Last Longer,’ ‘3 Tips on How to Beat the Humidity Frizz,’ or ‘How to Avoid Chlorine Damage While Swimming at the Pool,’ ” James says.

Value also can come by educating and informing your audience with things like educational blog posts that establish industry expertise, Shelepin adds.

Invite engagement. This is an essential step, James stresses. “In all instances, the business would invite the audience to share their own hair drama stories, share their own tricks they are using to make their hair color last longer, and invite the audience to submit their own questions about hair care,” James explains.

Build relationships. “Use social media to connect with customers, respond promptly, and share relevant content,” Shelepin says.

Don’t forget about email. It is a great way to maintain customer relationships and to deliver exclusive content and special offers like discounts, Shelepin explains.

Shelepin acknowledges that businesses won’t realize success in the digital realm overnight, but stresses that success is possible to achieve.

“It’s important to maintain consistency, in creating content and engaging on media platforms, as building an online presence takes time,” Shelepin concludes. “By adhering to these strategies, small businesses can cultivate a strong digital presence, enabling them to thrive in today’s competitive landscape.”

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LinkedIn Expands ID Verification to More Regions

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LinkedIn Expands ID Verification to More Regions

LinkedIn continues to expand its own identity verification offering, via a new partnership with Persona which will enable users in more regions to confirm their ID in the app.

As you can see in this sequence, with LinkedIn’s new ID verification process, users in certain regions now able to confirm their ID documents with Persona, in order get a verification badge added to your LinkedIn profile, which confirms that you’ve uploaded and verified your government ID with one of LinkedIn’s partner providers.

LinkedIn Persona ID confirmation

You can see the verified icon next to my profile name in the second image, which adds another level of assurance that I am, in fact, a real human being, with a government ID linked to my identity.

LinkedIn initially launched ID verification for users in the U.S. back in April, via a partnership with identity platform CLEAR, which is best known for providing faster check-in at airports. LinkedIn then expanded its CLEAR partnership to enable users in Canada and Mexico to also confirm their documents, with this new partnership providing the ID confirmation option to a lot more users.

As per LinkedIn:

In Argentina, Australia, Bangladesh, Brazil, Chile, Colombia, Indonesia, Kenya, Malaysia, Morocco, Nigeria, Peru, Philippines, Saudi Arabia, and the United Arab Emirates, the identity verification is performed by Persona, a third-party identity verification service. It’s available in each country for those with a valid NFC-enable passport.”

(Note: It may not be available to all users in all of these regions as yet)

So, the requirement is that you need a government-issued passport, with an NFC chip, and a means to scan that chip in as part of the process, though Persona notes that “if you’ve ever used your phone to tap for payment, then it is NFC-enabled”.

So now, a lot more LinkedIn users will be able to confirm their identity, and add an extra layer of assurance to their profile, helping to let people know that they are dealing with an actual person, and that your information is more likely to be legit.

And given the latest advances in generative AI, and LinkedIn’s rising push to add generative AI tools into every aspect of its platform, it does seem like this could become an essential step, as more bot profiles and personas get added to social apps.

That’s been part of the justification for X’s broader push on ID verification, which has now stretched to charging new users in some regions a small fee to interact in the app.

X owner Elon Musk has repeatedly noted the rising risk of AI-enabled bots taking over social apps, with user payments, in his view, being the only way to stop them. But LinkedIn’s trying another approach, and it does seem like providing free ID confirmation will be more widely adopted, which could make it more effective in this respect.

And by outsourcing the actual verification element to a third party, it’s also less labor intensive, though it does also mean that another group is involved, which can make some feel a little uneasy about sharing their documentation and selfies.

Still, it’s a pretty simple process, and it’s free, and if LinkedIn starts putting more emphasis on verified accounts, by say, ranking them higher in search results, that could get a lot more people taking it up, and adding a gray tick.

The other question then is what do CLEAR and Persona get out of this deal?

In both cases these ID platforms get more data, with users also required to open a CLEAR account when confirming their info via its system. Persona will also take in some user data, which will expand its database, though you can opt out of letting either company keep your info in perpetuity.

Persona also notes that it will generate “facial geometries for both the image obtained from your government ID and the user submitted selfie”, which it will then use in its analysis with your ID to confirm your info, though Persona won’t keep your geometric data on file.

Essentially, you’re going to have to trust your ID data with another company, which not everyone will be comfortable with. But if you’re okay with it, again, the process is easy, and it could add some extra assurance to your LinkedIn presence.

You can learn more about LinkedIn’s ID confirmation options here.

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