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Many social networking sites have had difficulties finding how to integrate advertising into their strategy. Twitter is no different. The uber successful social networking site has finally open it’s doors to advertisers.

In order for a company to advertise via twitter, they would need to sign up for what Twitter calls “Promoted Tweets” .  According to

“The initiative allows advertisers like Best Buy and Virgin Airlines to buy their way into the stream of short-message updates Twitter users consume. Promoted Tweets will first appear in related search results. Ultimately, Twitter plans to inject them into the stream directly, matching a brand’s Promoted Tweet with users that fit geographic or interest-based criteria. Best Buy, for instance, could target people who follow others with tech interests.”

It’s a great concept- making advertisements, which might normally be in your face and even sometimes annoying, fit in perfectly within your twitter stream. Before this system was created, companies would have to reach out to third-party companies to use consumers interests, locations, and content to influence target markets. This system is similar to the advertising opportunities currently found on other social networking sites which use the information users share (demographics, psychographics, and geographics) to pair them with advertisements of possible interest.

According to our friends at Twitter: “Over the years, we’ve resisted introducing a traditional Web advertising model because we wanted to optimize for value before profit,” Twitter stated in a blog post. “The open exchange of information creates opportunities for individuals, organizations, and businesses alike. We recognized value in this exchange and planned to amplify it in a meaningful and relevant manner.”

The New York Times reported that “Twitter plans to measure the performance of campaigns, which will be sold on a CPM basis, based on their “resonance.” That includes impressions, clicks on links, retweets and other engagement variables.”

Realizing that many third party apps already include several ads, Twitter has decided their next move. In what one could call a business savvy move, Twitter has come to terms with developers on a revenue sharing system for ads used on third party applications.

What do you think about Twitter’s advertising strategy? How do you feel about promoted tweets? Let us know in the comments below.

Join the discussion 4 Comments

  • vamber says:

    promoted tweets can be annoying but sometimes if whats being shared is cool its not so bad. the last one google chrome did with their video was awesome.

    • Joshua Stein says:

      I think that the targeting that is available on these sites is just wonderful. I know most people are concerned about their privacy and about companies having this information, but I enjoy not being pestered by advertisements that have nothing to do with me. If it were up to me, television advertisements would all be of products that I am interested in.

  • Brad Gram says:

    What about Promoted Accounts?