Thoughtpick: A unique perspective of the Web and social media...
A unique perspective of the Web and social media...

March 8, 2010

Is Twitter Finally Choosing a Business Model?

Ever since Twitter secured as much as $100 million dollars funding last year, speculation went wild on what kind of business model they will adopt. In November, Twitter COO Dick Costolo confirmed that the first piece to fall into place is the Ad platform which he described as “fascinating. Non-traditional. And people will love it… It’s going to be really cool.

What We Know So Far?

Now we are getting closer to the day when this Ad-platform will be introduced publicly and it maybe as soon as next month during the South by Southwest Conference. According to the Wall Street Journal, the long awaited Twitter platform will look something like this:

  • The ads will be tied to Twitter search, displaying only the ads that are relevant to the search term.
  • The ads will be 140 or fewer characters, 3rd party applications will have the option to display the ads and Twitter will share revenue with them if they do.
  • Twitter will work with ad agencies at first but will move to a Google like self-serve model later on.
  • Non invasive and will be clearly marked as “sponsored” tweets

What we already know about the Ad-platform leaves a lot of speculations running in everyone’s head in relation to how it will work and what impact it will have on Twitter’s ever expanding user base.

What Will the Ads Look like?

An Ad.ly ad

An Ad.ly ad

Will the ads be clearly labeled like ad.ly’s In-Stream ads? Or will they be more like “I am having the new Italian burger at McDonalds” and “My favorite Chips is so-n-so or the direct in your face kind of “Click this link and 20% off of your next purchase”.

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December 15, 2009

HOW TO: Create an Untouchable Market, the Google Way!

I blank out when it comes to writing intros, so I’m diving into my thoughts straight ahead. Everyone talks about Google’s “far into the future” vision and how it’s one of the most brilliantly run companies ever. Reading the latest news about Google Goggles, Favorite Places, image search advancements and so on, got me thinking: I am imaging that a few Google employees sat down one afternoon, just before Christmas 2004 and one of them said:

“We’re Google. Let’s create a new market that no one can follow us into!”

And that’s what they’ve been doing for the past 5 years; creating a new market share that no one can compete with them at. Think about the timeline:

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October 13, 2009

Fact: Real-time Search Satisfies 40% of User Queries!

An interesting white paper published at OneRiot’s blog claims that 40% of users’ search queries across major search engines including Google, Yahoo, Bing and Ask are best satisfied by real-time search results. That is, indeed, quite an impressive number that shows the huge potential market for real-time search engines. It also – somehow – explains the huge buzz around Twitter and the continuous talk about the potential threat it poses to other traditional search engines, especially Google.

Real-time search engines fail to gain market share

Aside from Twitter, other – recently emerged – real-time search engines are finding a hard time proving their business model and gaining market share, in spite of the potential huge market. We, here at Thoughtpick, have been monitoring this market since our coverage of 9 real-time search engines a few months ago. Unfortunately, according to compete stats, there has been no major gains in the last 3 months, on the contrary, most services showed a decline in numbers of visitors. In fact, OneRiot which is the most successful in this category, with 150k more visitors than its second competitor Twingly, shows a drop of 100k visitors in the last 3 months.

Oneriot.com, Twingly, Collecta, Socialmention and Scoopler traffic [compete.com]

Oneriot, Twingly, Collecta, Socialmention and Scoopler traffic

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