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Promoted Tweets Added to the Twitter Business Model

Written by in Strategy
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Today Twitter introduced their new advertising model. It took four years for the twitter team to form a solution for including advertisements without compromising the real-time nature of tweeting. The social giant has been working with a few sponsors such as Best Buy, Starbucks, Virgin America, and Bravo to begin the advertisement integration. A sponsor will now be able to pay for something called a ‘Promoted Tweet’.

  A promoted tweet will have all the same characteristics as a regular tweet to preserve the unique qualities of Twitter. Tweeters will see promoted tweets on search results pages as well as on the pages of the brands they follow. Promoted tweets will also be clearly labeled as such to make it easy for users to recognize the difference between tweets that have been paid for and those that have not.

  To start, Twitter will allow advertisers to bid on keywords to have their promoted tweet show up in search results. To make sure these sponsored tweets don’t take away from the usual ones, there will only be one promoted tweet per results page. In the future, they plan to integrate a system based on a promoted tweet metric called “resonance”. This system will take into account the popularity of the promoted tweet. Resonance will measure how often a tweet is retweeted, replied to, added as a favorite, and how often posted links are clicked through. Tweets with a high resonance will stick around in search results and others will fade away.

  The goal of this plan is to slowly integrate advertising into Twitter. Its creators and main investors don’t want to overwhelm tweeters with advertisements. They plan to make this transition as slow as needed to perfect the system. Twitters’ main goal is to keep users happy while they develop the best advertisement model possible.

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