Sunday, April 25, 2010

Twitter Launches Advertisement System Based on Consumer Acceptance

We have all been witnesses to the growing popularity of social networking media for advertising that has encountered a recent spike with the creation of facebook. The truth of the matter is that this type of marketing is not going away and may hurt search engine advertising on the long-run, especially now that twitter has launched its ”sponsored tweets”. Sponsored tweets consist on messages or ads that pop up in a user’s top portion of the twitter user interface. The display of these ads and messages, however, is based solely on consumer acceptance, meaning that it will only pop up in the screens of those users that have the greatest probability of responding to the advertisement. A growing number of companies including Virgin Air, Starbucks, Best Buy, Bravo, Red Bull, and Sony Pictures have already begun to use this new kind of media marketing to pitch new products.

An increasing number of prominent marketers have already predicted a possible threat to search engine marketing that this and other social media marketing may cause in the long run. As senior analyst at Forrester Research, Augie Ray, state: "Search is not going to go away, but there is a shift that is occurring, as consumers find out a great deal about products and sites that may interest them from their social graphs instead of needing to search." More and more companies are beginning to consider this new type of marketing initiative as an effective way to reach out to potential customers instead of relying on these potential customers to reach out to them.

Sources: Twitter, Various


-Cristian Lacayo

1 comment:

  1. TwitterTweeting with $$$$$$$. To be honest, pop-up ads and pop-up banners are disliked by so many individuals because the advertisements are usually of no value and interest to the consumer it targets. If “Sponsored Tweets” can actually target consumers that may show an intention or an interest to purchase the product, then this could be an invaluable tool to use in the near future. Advertisement is a hassle; if it provides you with no value. But if it can provide information that is credible, useful, and reliable…I don’t see how consumers will not be more response in the near future.

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