Twitter to Triple Ad Revenue this Year, Study Says
Twitter will see its ad revenue triple to US$150 million by the end of this year, according to a study conducted by research firm eMarketer. The micro-blogging company raked in US$45 million in 2010, the first year it sold advertising.
eMarketer forecasts that Twitter will only continue to grow. By 2012, Twitter revenues will reach US$250 million, the firm said.
“If Twitter can grow its user base and convince marketers of its value as a go-to secondary player to Facebook, it will succeed in gaining revenue,” said eMarketer principal analyst Debra Aho Williamson in a statement.
Twitter’s advertising strategy comprises the Promoted products. Under the scheme, advertisers can pay to have their tweets, accounts or trends show up on Twitter’s main page.
In December, Twitter completed a US$200 million funding round that valued the company at US$3.7 billion.