BUZZ NEWS
Today, Twitter Reveals Ad Model
AdAge was supposed to break this news today, but The New York Times has managed to leak it first: today Twitter unveils its ad strategy.
Yesterday at the MIPTV conference, the company’s head of media partnerships, Chloe Sladden, cited the "natural relationship happening" between users and brands on Twitter. "Clearly there’s an opp to elevate it, refine it," she added, assuring the audience that the ad model to come would preserve user experience.
The advertising program itself will be called Promoted Tweets, much reminiscent of sponsored search. When users run a search for certain keywords that advertisers have purchased, the latter’s ads will appear prominently in the stream of tweets. Like the unpaid variant, they will be relevance based but appear closer to the top, even if they were written much earlier than organic tweets.
“The idea behind Promoted Tweets is that we want to enhance the communications that companies are already having with customers on Twitter,” explained COO Dick Costolo of Twitter.
Best Buy, Virgin America, Bravo and Starbucks have already signed on.
“When people are searching on Starbucks, what we really want to show them is that something is happening at Starbucks right now, and Promoted Tweets will give us a chance to do that,” VP brand, content and online Chris Bruzzo of Starbucks.
Twitter also emphasized that the ads will also be a way to promote positive buzz when a brand is being attacked by users. A studio whose film is suffering from negative response could use ads to promote a positive review.
Tread lightly, Twitter. Not to rain on the swanky blue bird parade, but this year hipster review site Yelp was sued for running an "extortion scheme." Businesses can have their negative reviews removed or pushed to the bottom of listings where fewer viewers are likely to see them — if they subscribe to a monthly ad subscription. The company recently changed its ad policy as a result of the suit.
The other part of Twitter’s promised ad program is resonance measurement, whereby nine factors will be weighted to determine the "resonance score" of a sponsored tweet.
Such factors include number of people who saw it, number of people replied or retweeted it, and number of people who clicked on any links incorporated in the ad.
If the tweet does not achieve a certain resonance score, it is withdrawn from promoted posts. Companies don’t have to pay for it, and users won’t see ads that aren’t useful to them, Costolo pointed out.
Thirdly, Twitter plans to phase in promoted posts in users’ streams, which will appear even if you didn’t run a search and don’t follow the advetiser in question. A person writing about cranberry bliss bars, for example, might at some point see a promotion from Starbucks.
Acknowledging it risks pissing users off with this winner of a move, Twitter admitted it’s still trying to figure out how best to position the promoted posts: by topic? Location? Shared interest?
“One of the reasons we’re not rolling that out right now is because we only want to show tweets that help the user experience," Costolo emphasized.
“The ability of companies to engage with customers around this interest graph is more compelling than trying to wedge yourself into these social interactions."
As an aside to all this, yesterday Sladden revealed the launch of Twitter Media, where media and news organizations can check out case studies and guidelines for incorporating Twitter into branding and engagement efforts. Case studies discussed at MIPTV yesterday included MTV, Current TV and Oxygen. You can also follow @twittermedia for updates in your livestream.
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Comments
1. Wednesday 14 April 2010 attime 16:20, by Coches nuevos :: Coches.com at Twitter
2. Monday 19 April 2010 attime 09:43, by KPO :: http://www.kpo.com
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