By Geoff Jackson on 13 April 2010 @ 3:28 PM.
Twitter are set to launch it's newly announced advertising platform on Tuesday afternoon in it's bid to monetise the micro-blogging network. In what will be it's first answer to the increasingly asked question of how the company can transform it's exponential growth into revenue, Twitter's ad platform that they have named 'Promoted Tweets', will allow businesses to display ads in a fixed position at the top of Twitter search results when a search is conducted related to the advertiser.
At a later date, Twitter's Promoted Tweets will be appearing in users' feeds and on Twitter applications such as Tweetdeck and Tweetie. This new service will allow brands to display targeted tweets to it's followers without them disappearing amongst the thousands of other tweets. The ads will appear as a normal tweet and will carry the features of any other tweet allowing users to retweet, reply or add to their favourites.
New York Times reports that Twitter will measure what it calls resonance, which takes into account nine factors, including the number of people who saw the post, the number of people who replied to it or passed it on to their followers, and the number of people who clicked on links. If a post does not reach a certain resonance score, Twitter will no longer show it as a promoted post. That means that the company will not have to pay for it, and users will not see ads they do not find useful, Twitter Chief Operating Officer, Dick Costolo said.
Some of the initial advertisers to be using the new platform will include Best Buy, Virgin America, Starbucks and Bravo.
This new advertising platform from Twitter, could perhaps open the doors for highly geo-targeted ads especially with the ever growing amount of mobile users. Take Starbucks for example, with thousands of outlets across the world, it's no use to UK users about Starbucks' latest promotion in California, US, followers of Starbucks will want to know what is happening at Starbucks right now, in their area. If thought out, and indeed viable, this could potentially prove an excellent advertising platform for local business advertising allowing businesses to deliver instant news to their target local audience whilst they are on the move.
What are your thoughts on this? Could businesses benefit from a highly targeted advertising platform such as this? Please reply with your thoughts in the comments.