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# Fast Cheap Content, Threads Cools Down, Prime Day Record
- URL: https://www.nearmedia.co/fast-cheap-content-threads-down-prime-day-record/
- Published: 2023-07-17T19:32:56.000Z
- Updated: 2023-07-17T20:58:20.000Z
- Author: Greg Sterling
- Tags: News

### Fast, Cheap Content

For months we've been debating the impact of generative AI on search. Some marketers argue AI will "[revolutionize the SERPs](https://searchengineland.com/generative-ai-search-marketing-prepare-429411?ref=nearmedia.co)." That's true – it's already in process on the back end – but maybe not in the way people assume. The press has focused largely on the "[disruption of Google](https://www.businessinsider.com/gmail-creator-google-search-faces-total-disruption-chatgpt-ai-chatbot-2023-2?ref=nearmedia.co)" narrative. But there's evidence that ChatGPT's usage is mostly [for B2B purposes](https://www.mediapost.com/publications/article/387233/chatgpt-analysis-sheds-new-light-into-peoples-beh.html?ref=nearmedia.co) and the novelty of BingGPT is [wearing off](https://www.nearmedia.co/twitter-vs-threads-peakgpt-500m-for-local-news/). So Google's market share appears safe for now. Yet marketers' adoption of AI continues to accelerate. One SEO on LinkedIn [says he's created](https://www.linkedin.com/posts/stockebrand%5Fpickyourself-dontsettleforno-activity-7085739827760881665-i5PO/??ref=nearmedia.co) "a fully automated (end-to-end) content generator engine that can publish up to 200 articles per day, fully autonomously ..." This is the future: more and more content generated by machine with limited human intervention. And whether you believe AI tools will [strengthen](https://www.technologyreview.com/2023/07/13/1076199/chatgpt-can-turn-bad-writers-into-better-ones/?ref=nearmedia.co) or [weaken content](https://www.businessinsider.com/ais-trained-on-each-other-start-produce-junk-content-study-2023-6?ref=nearmedia.co), it's clear AI content will be everywhere. Most marketers will want fast, cheap content unless Google's HCU successfully [detects it](https://arstechnica.com/information-technology/2023/07/why-ai-detectors-think-the-us-constitution-was-written-by-ai/?ref=nearmedia.co) and demotes it. I fear the best case isn't good and the worst case is much worse. 

![](https://storage.ghost.io/c/03/80/0380d96d-ef7e-450e-96b3-2963e18aaab5/content/images/2023/07/Screen-Shot-2023-07-17-at-9.57.58-AM.png)

Source: Bing Image Creator

****Our take:**

- Google is [agnostic about AI content](https://www.seroundtable.com/google-on-using-ai-to-write-content-35169.html?ref=nearmedia.co), as long "as it's written for people" and not to rank. But that ignores the reality and incentives of SEO.
- As marketers embrace "efficient" [but likely mediocre](https://medium.com/freely-sharing-the-sum-of-all-knowledge/wikipedias-value-in-the-age-of-generative-ai-b19fec06bbee?ref=nearmedia.co) AI content, many consumers may flee the SERP for more "authentic content" (e.g., TikTok).
- Google [killed content farms](https://searchengineland.com/the-rise-and-fall-of-content-farms-62323?ref=nearmedia.co) more than a decade ago, as a threat to the long-term health of the SERP. This is a much bigger challenge.

### Threads Slips, Twitter Bleeds 

Last week we [discussed](https://www.nearmedia.co/google-ai-theater-twitters-karma-blase-prime-day/) how Twitter's missteps opened the door for Threads, which capitalized on demand for a Twitter clone with scale. Threads became the fastest app to 100 million users (in 5 days), beating ChatGPT's two month record. Twitter seemed to suffer a parallel [usage decline](https://twitter.com/eastdakota/status/1678065025750294532??ref=nearmedia.co). However, data late last week from Similarweb and [Sensor Tower](https://twitter.com/SensorTower/status/1679105832036835329?ref=nearmedia.co) show Threads' [growth has apparently slowed](https://gizmodo.com/engagement-instagram-threads-falls-meta-blocks-vpn-eu-1850640519?ref=nearmedia.co) and engagement has declined (although there are [positive signs for brands](https://www.marketingdive.com/news/early-data-shows-brands-seeing-good-engagement-on-threads/687489/?ref=nearmedia.co)). There was a drop in time spent of more than 50% (20 minutes to \~8 minutes) and a roughly 25% decline in daily active users. The novelty of Threads may be wearing off. Meanwhile, a diminished Twitter appears to be bleeding cash because of [a 50% drop](https://www.cnbc.com/2023/07/15/elon-musk-says-twitter-cash-flow-remains-negative-with-heavy-debt-.html?ref=nearmedia.co) in ad revenue that paid verification hasn't been able to compensate for. It's tempting to write [Twitter's epitaph](https://www.wsj.com/articles/heres-how-twitter-could-become-irrelevant-b2b027af?ref=nearmedia.co) but way too soon. Threads and Twitter will now go head-to-head. The other clones will mostly be on the sidelines. 

![](https://storage.ghost.io/c/03/80/0380d96d-ef7e-450e-96b3-2963e18aaab5/content/images/2023/07/Screen-Shot-2023-07-17-at-8.51.55-AM.png)

Source: Sensor Tower

****Our take:**

- Twitter will need to take some dramatic steps to lure advertisers back. Twitter Blue has probably already maxed out its potential base.
- Twitter Blue subscribers are [estimated to be](https://www.socialmediatoday.com/news/Twitter-Blue-Verified-Fails-to-Catch-On-with-Users/642136/?ref=nearmedia.co) \~290K to \~400K. Assuming 300K, Twitter is generating about $28 million annually.
- Threads needs to add [features](https://gizmodo.com/five-features-threads-is-still-missing-to-be-a-twitter-1850646930?ref=nearmedia.co) and a desktop version. Right now, the app is like being at a loud party with a lot of people you don't know.

### Prime Day by the Numbers

By all accounts, Prime Day was a major success. July 11 was the largest sales day in company history [according to Amazon](https://www.aboutamazon.com/news/retail/amazon-prime-day-2023-stats?ref=nearmedia.co). Total spending over the two day sale was just shy of $13 billion ($12.7 billion) in the US, [said](https://blog.adobe.com/en/publish/2023/07/13/adobe-analytics-prime-day-drove-record-online-spending-bolstered-deep-discounts?ref=nearmedia.co) Adobe, representing 6.1% growth YoY. That was up from $11.9 billion last year. Still, Adobe had predicted 9.5% growth. Success was attributed to "steep discounting" and many consumers delaying purchases until Prime Day. Adobe reported that buy-now-pay-later (BNPL) was used by 6.5% of shoppers, generating $927 million in sales. But the striking thing is that BNPL was up 20% YoY. Adobe also said that curbside pickup was used for 20% of online orders (when offered). That basically held steady vs. last year. Smartphones were responsible for roughly 47% of orders, up from 44% last year. According to [Numerator](https://www.numerator.com/prime-day?ref=nearmedia.co), the average household spend was $156\. The typical Prime Day shopper "was a high income, suburban female age 35 to 44," and a Prime subscriber since at least 2019\. 

**Prime Day Demographics**

![](https://storage.ghost.io/c/03/80/0380d96d-ef7e-450e-96b3-2963e18aaab5/content/images/2023/07/Screen-Shot-2023-07-17-at-11.58.11-AM.png)

Source: Numerator

****Our take:**

- There's good news here for the economy. While there was significant discounting, robust spending reflects [positive consumer sentiment](http://www.sca.isr.umich.edu/?ref=nearmedia.co).
- I was apparently wrong that consumers were blase about Prime Day. But while strong, it still underperformed expectations.
- Roughly 75% of Prime subscribers are in the US, where growth [has stalled](https://www.businessinsider.com/amazon-shopping-prime-membership-us-stopped-growing-first-time-ever-2023-1?ref=nearmedia.co). So[ international expansion](https://www.axios.com/2023/07/10/amazon-prime-day-international-us?ref=nearmedia.co) is the way forward for Amazon.

## Recent Analysis

- **Near Memo episode 120:** [Apple Maps KPIs; what Google quality rater guidelines can teach SEOs; Google SGE usage decline](https://www.nearmedia.co/ep-120/).

## Short Takes

- **Wix** about to launch a full-on [AI site generator](https://www.wix.com/blog/avishai-abrahami-thoughts-about-ai?ref=nearmedia.co).
- Scammer [replaces](https://twitter.com/shmuli/status/1680669938468499458??ref=nearmedia.co) **Delta** customer service number on Google.
- **Bard** [gets new features](https://bard.google.com/updates?ref=nearmedia.co), languages, expands to more countries.
- **Google's NotebookLM** is a first [attempt at a personal AI](https://blog.google/technology/ai/notebooklm-google-ai/?ref=nearmedia.co).
- Everything [you wanted to know](https://www.mariehaynes.com/what-we-know-about-googles-quality-raters/?ref=nearmedia.co) about **Google quality raters**.
- **Albertsons** partners with Meta on [dynamic local circulars](https://www.linkedin.com/feed/update/urn:li:activity:7084182513849405441/?ref=nearmedia.co).
- **DoorDash, rivals** [sue to block wage increase](https://www.theguardian.com/technology/2023/jul/12/food-app-delivery-workers-minimum-wage-blocked-grubhub-uber-doordash-new-york-city??ref=nearmedia.co) for drivers in NYC.
- Furniture retailer uses **shopping cart bot** [to negotiate](https://www.digitalcommerce360.com/2023/07/14/furniture-brand-launches-negotiation-ai-chatbot/?ref=nearmedia.co) with buyers.
- Brand visibility on **TikTok** [at lower cost vs. search](https://searchengineland.com/started-company-tiktok-now-what-429353?ref=nearmedia.co) engines.
- **Salesforce and MSFT** Dynamics [the top CRMs](https://www.business.com/categories/crm-software/crm-market-usage-study/?ref=nearmedia.co) for SMBs.
- Evidence of a **digital ad spending** [rebound in May](https://www.insiderintelligence.com/content/us-ad-market-spending-grew-may-first-time-11-months??ref=nearmedia.co)**.**
- Actors' strike [partly about usage](https://www.theverge.com/2023/7/13/23794224/sag-aftra-actors-strike-ai-image-rights?ref=nearmedia.co) of their **AI likenesses**.
- EU workers [fear being replaced](https://thenextweb.com/news/oecd-finance-and-manufacturing-workers-fear-ai-replacement?ref=nearmedia.co) or having wages reduced by **AI**.
- **Oppenheimer** film's not-so-subtext [is about AI](https://www.theverge.com/2023/7/16/23796659/christopher-nolan-oppenheimer-ai-warning-silicon-valley?ref=nearmedia.co).

Listen to our [latest podcast](https://www.nearmedia.co/memo/).

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