The fast paced social messaging service that is Twitter, raised its price range from $17 to $20 per share, to the new range of $23 to $25 per share all in the final days before its share debut on the New York Stock Exchange.
Even with the increase in projected share price, it remains a relatively small chunk of Twitter’s capital and implies a market value between $9.3bn and $11.1bn. By all accounts this is a modest figure.
The firm appears to have learned a lesson from Facebook’s problematic IPO in May 2012, that was marked by trading glitches, accusations about secret information and a plunge in the share value for months afterwards. They seem to be taking a more conservative route to avoid these problems occurring with their own networking site.
The success of Twitter is recognised across the globe with over 200m active users per month, sending an average of more than 400m tweets every day. Investors in its imminent flotation will be looking at the different opportunities Twitter monetises this impressive user base through advertising.
The IPO is certainly presenting good opportunities for digital marketers who can use the powers of Twitter to help promote their brands. When used correctly, the platform allows closer interaction with customers, updates and promotions to be run in an engaging way that builds relationships and drives conversions.
The current advertising opportunities available on Twitter come in three main formats, however, they are constantly looking at new and exciting ways to attract advertisers. If not introduced carefully and sensitively, then advertising could be fatal for the entire network resulting in its collapse.
The three main ways to advertise your brand on Twitter reside in the following formats:
This is the most commonly used form of advertising on Twitter. Promoted tweets show up in the feeds of carefully selected users. The users who see the paid for tweet are selected based on traits such as age, gender, geography, device, similarity to existing followers or keywords that the person is interested in.
Promoted trends allow advertisers to buy their way into the list of Trending Topics that are displayed to every Twitter user on a country by country basis.
Displayed in the Who to Follow feature, Promoted Accounts allow advertisers to target those people likely to be interested in their products or services. Brands can choose from over 350 categories, with Twitter recommending their account to those who follow similar ones. This is perfect for increasing brand exposure and growing your follower base, particularly if you are new to Twitter.
If you are new to Twitter or want to find out more about engaging with your customers through social media, then get in touch with a member of our team.