Jeff Cormier, a graduate of SMU and the TW School of Law, is the co-founder of C4 Universe, LLC. Desire to know more? http://about.me/jffc Jeff Cormier, a graduate of SMU and the TW School of Law, is the co-founder of C4 Universe, LLC. Desire to know more? http://about.me/jffcrmr/bio...
Since Twitter launched promoted tweets, many wondered how the advertising world would embrace one of Twitter’s attempts at becoming profitable.
According to the Wall Street Journal, “Twitter Inc.’s foray into advertising is receiving mixed reviews among marketers, underscoring the challenges of turning the popular micro-blogging service into a highly profitable enterprise.”
Further, the story indicates that right now, those in advertising and marketing feel advertising via Twitter is little more than “experiment.”
According to the story, some points of interest concerning Twitter’s money-making strategy are as follows:
- Promoted tweets via Twitter are sold for $100,000 or more.
- Many in advertising and marketing find it more cost effective to simply establish a Twitter account for free and target customers as they wish.
- 80% of the companies that bought a promoted trend once, came back for more.
- To be successful, better analytics and more targeted options may be needed to reign in marketers.
- Twitter COO Dick Costolo indicates 5% of people that see Twitter ads interact with them
- Early adopters, Best Buy and Pepsi, have chosen to no longer participate in the purchase of advertising on Twitter.
What do you think of promoted tweets and advertising via Twitter? Have you interacted with a Twitter ad? What would make you more likely to do so?
Get the TNW newsletter
Get the most important tech news in your inbox each week.