X Advertising for Small Businesses: A Quick Overview

X, formerly known as Twitter, launched in 2006 as an SMS-based platform for sharing short updates with groups of friends. Elon Musk bought the company in 2022 and renamed it X in 2023.

Today, it’s still one of the more widely used platforms for real-time news and public conversation, though its overall user base and advertiser count have both shrunk since the rebrand.

Because X still reaches a large, engaged audience, it’s a platform worth considering for reaching your target audience. This guide is for small business owners and marketers who want to understand how X advertising works and launch their first campaign.

Getting Started With X Advertising

If you’re new to X advertising, this guide walks you through the basics. You’ll learn how X ads work, the benefits of advertising on the platform, the categories and features available, and the steps to launch your first campaign. We’ll finish with answers to nine frequently asked questions about X advertising.

Key Points and Facts About X Advertising

  • X has been under Elon Musk’s ownership since 2022 and adopted the X name and branding in 2023.
  • Because X is now privately held, it no longer publishes official user metrics — third-party trackers estimate its monthly active user base anywhere from roughly 200 million to over 600 million, depending on methodology and date.
  • X ads run on a pay-for-performance model: you’re generally only charged when someone takes the action tied to your chosen objective.
  • As of 2026, X’s campaign objectives fall into three groups: Awareness, Consideration, and Conversion.
  • As of 2026, average costs on X tend to run lower than on Meta platforms, with a typical cost-per-click around $0.74 and cost per 1,000 impressions around $6.46.
  • Advertiser spending on X overall has declined sharply since 2023 — as of 2025, the platform accounted for roughly 0.2% of global digital ad spend, compared with about 14.6% for Facebook — so expect a smaller, less crowded advertiser base than on the biggest networks.

What Are X Ads, and How Do They Work?

X ads are promotion campaigns created and run on the X platform. These ads appear in the form of posts. They look similar to organic posts, and you can interact with them the same way as non-sponsored content. The only difference is they come with a “Promoted” label attached.

X ads get displayed to users based on their account activity and profile information. For example, when users search for a specific term, X shows them a related ad campaign. X may also display ads based on a user’s location and interests. This targeting makes ads more likely to be relevant, since they generally cover topics a user has already shown interest in.

Benefits of X Advertising

Here’s why you might consider X advertising for marketing your business, products, and services.

Pay for Action or Performance

Like most social networks, X uses a pay-per-click (PPC) model where you only pay once a user performs an action on your ad. X, however, takes it a notch further by allowing you to pay when you achieve your marketing objective.

For example, if your objective is to get more app installs, you pay only after a user installs your app. If you want more website visits, you pay each time someone clicks through to your site.

X’s pay-for-performance model applies across all marketing objectives. It helps you stay within budget and pay only for the outcome you actually wanted.

Lower Competition for Ad Space

X carries less ad competition than platforms like Facebook and Instagram, since fewer businesses currently advertise there. That can mean your ads have a better chance of standing out in a user’s feed.

It’s worth being realistic about why, though: overall advertiser spending on X has dropped sharply since its 2023 rebrand — as of 2025, the platform accounted for roughly 0.2% of global digital ad spend, compared with about 14.6% for Facebook. Lower competition can work in your favor, but it also reflects a smaller, less crowded advertiser base rather than guaranteed easier results.

Due to reduced competition, your ads may be more likely to be seen by your target audience, and customers may be more likely to act on them.

Ability to Target by Keywords

One benefit that makes X ads stand out over Facebook ads and other social network campaigns is the ability to target by keywords. Keyword targeting lets you reach users based on the hashtags or words they use in their posts. You can also target users who previously interacted with posts containing those keywords. This kind of precise targeting increases your chances of reaching your intended audience.

Retargeting Capabilities

X offers a post-engager targeting feature that lets you reach users who recently saw or interacted with your posts. You can also select the kind of posts they engaged with, whether promoted or organic.

With this kind of retargeting, you won’t reach as many users as a broad campaign would. But you’ll reach the smaller group most likely to want your product or service, since they’ve already shown interest in your business.

Tailored Audience

Among other targeting capabilities, X also lets you show your ads to custom audiences. All you need to do is upload a file containing email addresses, Mobile Advertising IDs, or X handles. This method makes your marketing highly relevant.

Categories of X Ads

X offers several categories of ad campaigns to achieve your marketing goals and objectives.

Promoted Ads

Promoted ads appear the same way as organic posts. The difference is that you pay to display them on a user’s feed. Like organic posts, users can like, comment on, and repost these ads. Here’s the variety of formats within Promoted Ads:

Image Ads
These appear with a single photo attached and work well for increasing leads and creating brand awareness.

Video Ads
These have a single video attached and tend to get more engagement, since video can bring a product, service, or brand’s story to life.

Vertical Video Ads
Full-screen, sound-on video ads that play in the For You feed. As of 2026, this is one of X’s fastest-growing ad formats, accounting for roughly a fifth of daily time users spend on the app, and users are far more likely to interact with these than with the same ad shown in the regular timeline.

Carousel Ads
These let you display multiple products or services across a series of video or image posts.

Text Ads
Text ads look like a standard organic post with no photo or video attached. They’re useful for reaching an audience wider than your current followers.

Follower Growth

X previously offered a dedicated Follower Ads objective to help brands grow their following. That standalone option has since been phased out. Businesses now typically grow their follower count as a byproduct of Engagement or Reach campaigns, along with organic tactics like cross-promotion and consistent posting.

X Amplify

With X Amplify, you can align your ad campaign with premium video content from relevant publishers on X. This category is available in two formats:

Amplify Pre-Roll
With this format, you can select the video content category where your ad will appear.

Amplify Sponsorships
This format offers the option to pair your ad on a one-to-one basis with a single publisher.

X Takeover

X Takeover ads appear in the Timeline and Explore tabs. They offer the most reach and the strongest positioning for driving results and growing your brand. These ads are available in two formats:

Timeline Takeover
This ad appears as the first one on a user’s timeline.

Trend Takeover
With this option, your ad appears alongside trending news and information on the Explore tab.

X Live

X Live showcases your ads in real time, letting your audience become part of them. It helps you maximize reach on live video. Use this category for product launches, fashion shows, conferences, and other live events.

Features Available on an X Ad Campaign

X ads come with a range of features across all categories. Here are some you’ll find in a typical campaign:

Website Buttons
A website button adds a call-to-action that leads to your site’s landing page. This feature is available on image and video ads.

App Buttons
This feature lets you add a call-to-action that leads to the App Store or Play Store, where a user can download your app. If the user already has your app installed, you can configure the link to open that app directly.

Conversation Buttons
A conversation button adds a call-to-action or hashtag that prompts your audience to post about your branded content.

Branded Hashtags
You’ll use this feature to add a branded hashtag alongside your ad.

Branded Notifications
With this feature, users can opt in to receive content directly from your brand or business.

Polls
Use polls to prompt your audience to share their opinion by choosing between two options.

Steps to Advertise on X

Here’s how to set up and launch your first X ad campaign.

1. Open an X Ads Account

The first thing you need to do is set up an X Ads account. Log in to your X account and head over to ads.X.com. Choose your country and time zone, then click “Let’s go.” X will grant you access to your Ads Manager, where you’ll create and manage campaigns.

2. Select Your Advertising Objective

Next, pick a campaign objective — what you want to achieve with your ad. As of 2026, X organizes its objectives into three groups:

  • Awareness: Reach
  • Consideration: Video Views, Website Traffic, Pre-roll Views, Engagement, App Installs
  • Conversion: App Re-engagements, Website Conversions

Once you select your objective, X will direct you to campaign setup, where you’ll name your campaign, choose a payment method, set your budget, and schedule your start time.

3. Enter Your Bid Amount and Ad Group

You’ll also need to set up your bidding and ad group. If you’re new to X advertising, it’s usually easier to start with one ad group. As you get more familiar with the platform, you can create additional ad groups to target different audiences and test different budgets and creative.

You’ll also indicate how much you’re willing to pay for the campaign. If you’re just starting out, automatic bidding lets X set a competitive bid for you.

As a rough budgeting guide, 2026 benchmarks put X’s average cost-per-click around $0.74 and its average cost per 1,000 impressions around $6.46 — both somewhat lower than equivalent averages on Meta’s platforms. Actual costs vary by industry and audience, so treat these as a starting point rather than a guarantee.

4. Choose Your Target Audience

This stage requires you to select your target audience — the users you want to reach with your ad campaign. X lets you target your audience based on:

  • Demographics (age, gender, language)
  • Location (a specific area, postal code)
  • Device (operating system, carrier)
  • Psychographics (interests, behaviors)
  • Keywords (specific keywords that users use or interact with)
  • Retargeting (filtering users who recently saw or interacted with your posts)

5. Select Ad Placement

Next, choose where to display the ad, whether on users’ timelines, profiles, or search results.

6. Create and Launch Your X Ad Campaign

In the last step, review and launch your selected ad campaign. Remember to add a call to action and use high-quality video or images.

Checklist for Advertising on X

  1. Set up your account
    • Log in to your X account and create an X Ads account at ads.X.com
    • Choose your country and time zone
  2. Choose your objective
    • Pick from Reach, Video Views, Website Traffic, Pre-roll Views, Engagement, App Installs, App Re-engagements, or Website Conversions
  3. Set your budget and bid
    • Decide on a daily or campaign budget
    • Choose automatic bidding if you’re new to the platform
  4. Define your audience
    • Target by demographics, location, device, interests, keywords, or retargeting
  5. Pick your ad placement
    • Choose whether your ad appears on timelines, profiles, or search results
  6. Build your creative
    • Use high-quality images or video
    • Add a clear call to action
  7. Launch and monitor
    • Review your setup, then launch your campaign
    • Track performance in X Ads Manager and adjust as needed

Frequently Asked Questions

Have any questions about X advertising? Let’s answer them for you.

1. How much does X advertising cost?

There is no minimum or maximum budget for advertising on X. It depends on you and your financial capabilities. You can pay as little or as much as you want. Once you indicate your budget, X will not charge anything higher than it.

2. What are the best media specifications for X Ads?

There isn’t a universal answer to the best media specifications for X ads. X displays its ads across many platforms, screen resolutions, and devices. Go for the specs that work best for your target device or screen resolution. For example, if you want your ads to display on mobile devices, try using a 1:1 media specification.

3. Why can’t I see any creatives on my X account to add to my campaign?

You may not see creative content for your ad campaign because it’s incompatible with your ad type and campaign objective. For example, if you want a video ad, you need a post containing a video. You can’t run a video ad with an image post.

4. What is the best bid amount to set?

If you’re unsure how much to use in your campaign, choose the automatic bid type. X will then set a bid on your behalf based on the competitiveness of the auction. Automatic bidding helps keep your bid from running too high or too low compared to others.

5. Can I create X ad campaigns without an X Ads account?

No, you need an X Ads account to run advertisements on the platform.

6. Can I use private posts to run an X ad campaign?

You can’t run X ads using private posts — they need to be public. You also can’t advertise on X with a deactivated or suspended account.

7. Can I have multiple X Ads accounts?

Yes, you can have multiple X Ads accounts, but you may need to inform X about this before running your ads. You may also need to clarify which account you’re running ads from, to avoid billing confusion.

8. What are the accepted payment methods for X Ads?

X offers two payment options for ad campaigns. You can either use a credit or debit card or set up an insertion order (IO). With an insertion order, your campaigns get billed on an invoice, so you won’t have to worry about hitting a monthly credit limit and having ads paused.

9. How do I know if a post is an ad?

The behavior and appearance of an X ad are more or less the same as an organic post. The only difference is that X ads carry a “Promoted” label or icon.

Conclusion

Millions of people still use X every day to follow news and trends. Depending on who your target audience is, you may be able to reach them on this platform.

To start advertising on X, set up an X Ads account alongside your regular X account. From there, select your campaign objective, set your ad group and bid amount, choose your target audience and ad placement, and launch your campaign. Track its performance using X Analytics as you go.

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