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A change in Twitter: paid ads
Updated: August 21, 2010, 9:56 AM
Twitter, the micro-blogging system that was one of the last ad-free spaces on the Internet,
announced Tuesday that it would start selling advertising.
Companies will be able to pay to have their ads appear at the top of Twitter search
results, part of the site’s attempt to begin profiting off its millions of users.
The ads became a hot topic on — of course — Twitter and tech blogs, and local
denizens said they trust Twitter to take the right approach in introducing advertising to the
site.
“I guess that I’m not thinking Twitter is going to beat us over the head with
ads,” said Keith Burtis, a social and digital media consultant and well-connected Twitter
user in Amherst. “I’ve seen grumbling already, but it’s from people who are
going to grumble no matter what.”
Twitter’s users send “tweets” of up to 140 characters that can range from
the profound to the mundane, with an emphasis on what someone is thinking or doing at that
moment.
The site has soared in popularity since its launch in 2006, but it has come under pressure
to wring revenue from its users.
About 69 million people worldwide used Twitter.com last month, up from roughly 4 million at
the end of 2008, according to comScore Inc.
“Everyone knew they were searching for a way to make money,” said Adrian Dayton,
a local attorney and author who advises major law firms on how to use social media.
In a blog post Tuesday, company co-founder Biz Stone said the company took its time
“because we wanted to optimize for value before profit.”
Users will see the “Promoted Tweets” when they search Twitter for what everyone
else is saying about the hot topics of the day, just as targeted ads show up on Google and
other search engines.
Many companies have Twitter accounts already, but tweets they send out can get buried in
the massive and constantly updated stream of tweets referring to the company by name.
Twitter named Virgin Airlines, Best Buy Co., Sony Pictures and Starbucks Corp. among the
other companies using Promoted Tweets in tests.
The ads will be rolled out gradually, with fewer than 10 percent of Twitter’s users
likely to see them at first.
The company says the ads should be appearing in all relevant searches within the next few
days. Promoted Tweets will be identified as such in small type.
Twitter’s Stone said Promoted Tweets will need to resonate with users. If a Promoted
Tweet isn’t replied to or forwarded by other users, it will disappear.
Burtis, who uses Twitter extensively to promote his business and connect with people, said
he doesn’t mind the site adopting an ad-based revenue model.
“I’d like to see this service stick around,” said Burtis, who called Twitter
“transformative.”
Even though he would be willing to pay to use Twitter, he knows other users would not.
“If they went to the ‘pay for’ model, I think they would immediately stunt
their growth,” Burtis said.
These ads could be helpful.
Dayton used Twitter to ask his more than 50,000 followers which smart phone he should buy.
The iPhone, BlackBerry and Palm Pre all received tweets of support.
Dayton said he wouldn’t have minded if phone makers had responded to his question with
useful information in an ad.
“I would be fine getting sponsored answers,” said Dayton, who bought a Palm Pre.
There is at least one wrinkle with the Twitter ad plan, however: Many users don’t
connect with the service through searches or visits to the site.
Instead, they use mobile and desktop software applications with names such as TweetDeck and
UberTwitter.
Recognizing this, Twitter said it might take Promoted Tweets further and allow them to show
up on those feeds.
This means users would find sponsored tweets from companies mixed in the stream of tweets
from their followers.
This makes the ads more intrusive and could harm the user experience, said Ryan Knapp, who
relies on Twitter for social reasons and to promote his business, Buffalo Futsal, a form of
indoor soccer played five-on-five with a heavier ball.
Twitter needs to be careful because, unlike Facebook, its members haven’t stored the
photos, videos and other key components of their online lives on the site, he said.
“In the end, it is a tool, and people can decide to leave or start using it in a
different way” that sidesteps the ads, Knapp said.
The Associated Press contributed to this report.
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