Wednesday, 14 April 2010

Twitter announces new advertising scheme

As reported widely in the press, including The Wall Street Journal, Twitter has announced a new advertising model that they hope will start earning some significant revenue for the microblogging service. Called Promoted Tweets, the ads will appear at the top of results for searches users conduct on Twitter. Eventually, they may appear in the stream of posts users see when they log into the site.

Twitter is gradually rolling out this advertising to users and there are 10 initial advertisers taking part, including Starbucks, Virgin America and Best Buy. The company will start by charging marketers per thousand impressions of their ads. Over time, it plans to move to a more complex model, charging based on how users interact with the messages.

The article says that this new feature could appeal to the millions of businesses who have created accounts on the service to share deals and other corporate updates. Instead of getting users to follow their messages, they will now be able to push their message to users who search any keyword they buy. However, what impact this advertising will have on Twitter's millions of users will have to be seen.

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