Twitter Goes Commercial

Reports are flying around cyberspace that Twitter will soon be introducing ads. Just recently, Twitter’s head of monetization, Anamitra Banerji, said the company would launch at least a beta test of ads, possibly within a month.

The word on the street is that Twitter’s ads will maintain the 140 characters-or-less mandate, and that the ads will be tied to Twitter searches, not unlike Google’s original ads. If this is true, then Twitter users will potentially only see ads if they are searching for something.

Ads on Twitter should be of interest to online marketers. Whether you personally use Twitter or not, you can’t ignore the 27 million users who tweet. And it isn’t just consumers – somewhere around half of the world’s largest companies are officially on Twitter.

That user base may be a far cry from the 400 million active users of Facebook, which also offers ads, but it is still an impressive number. Because of the nature of Twitter, its users are largely a mobile bunch. That means a Twitter advertiser could very effectively target an audience that is likely to be receptive to mobile marketing campaigns.

Apparently, some potential advertisers are already turning up their noses at the idea.

“Advertising on Twitter will feel like your social media strategy has failed,” says Paul Troy, global head of advertising and content for Britain’s Barclaycard.

“It doesn’t feel like something leading brands will do.” Cheryl Calverley, a senior global manager for Unilever’s Axe Skin, questions the value of Twitter ads because, she says, Twitter “doesn’t have the reach of broadcast media.”

Those comments not withstanding, if Twitter does indeed launch its own ads, there will undoubtedly be advertisers who will try them. The larger issue, however, involves the inevitable commercialization of every medium. At one time, there was an admittedly naïve belief that social media platforms such as Facebook, MySpace, and Twitter should remain ad-free. Let’s be real, though: they have to make money. As soon as a medium gains critical mass, its owners have to be thinking about ways to become profitable. Search and social media sites offer free access, so there aren’t many options for revenue generation other than advertising.

Still, some ads on social media platforms may stretch the limits, leading marketers to question whether such advertising is too intrusive. An article in The New York Times points to the “self-service” ads on Facebook as an example: “Many advertisers who use the self-service system are tempted to go as far as possible in making ads that attract attention and appear relevant, aided by the information that people give to Facebook.”

While very targeted ads may seem like a good idea, they can also turn off some consumers, says The Times:

“From the perspective of many users, the tailored ads can often seem, at best, presumptuous. Women who change their status to “engaged” on Facebook to share the news with their friends, for example, report seeing a flood of advertisements for services and products like wedding photographers, skin treatments and weight-loss regimens.”

If and when Twitter launches its advertising program, it may very well fall prey to advertising that is not always tasteful. But that is unlikely to stop Twitter from moving forward. Like other social media, Twitter must deal with economic reality.

About Barry Silverstein

Barry Silverstein is a freelance writer/marketing consultant. In addition to writing for ReveNews, he is a contributing writer to Brandchannel.com, the world’s leading online branding forum. He is the author of three marketing books, The Breakaway Brand (co-author, McGraw-Hill, 2005), Business-to-Business Internet Marketing (Maximum Press, 2003) and Internet Marketing for Technology Companies (Maximum Press, 2003). Barry ran his own Internet and direct marketing agency for twenty years. You can find Barry on Twitter @bdsilv.

  • qwerty

    it would be better if twitter put banners and ppc links on the sides(where there are free spaces)i guess.