A few weeks ago we mentioned the fact that Twitter was thinking of launching its advertising platform.
Well, here it is, the ad platform called ‘Promoted Tweets’ will launch next tuesday.
The platform will allow businesses to insert themselves into the Twitter stream, only one ad will be displayed at a time. The first customers on the platform are Starbucks, Virgin America, Bravo. Advertisers will bid on keywords based on a CPM (clicks per month) basis initially, but in the future Twitter intends to launch a “resonance score” metric that will judge how much reach and impact individual sponsored tweets have, based on favorites, retweets, and views. It’s really much like Digg Ads, the social media company’s successful advertising model. Both use user interaction with ads in order to determine the price and longevity of specific ads.
Twitter entering the monetization mechanics is a big step and it could be a good opportunity for everyone.
We will see how users respond to it!