Twitter to Show Ads With High ‘Resonance’ Score

April 13, 2010

(ChattahBox)— Twitter, the micro-blogging program that provides a forum for Sarah Palin to tweet her blood-thirsty “reload” rhetoric and allows new devotee Conan O’Brien to communicate with his legion of “team CoCo” fans, has finally decided to run paid ads. The new ad-based model will start off slowly, while exploring multiple monetization models, according to the Wall Street Journal.

Twitter’s Chief Executive Evan Williams and co-founder Biz Stone don’t want to overburden their popular micro-blogging tool with random ads. They instead, plan to only show ads that have resonated with users:

“For now, Twitter’s ad-matching and pricing formula is a work in progress. The company will start by charging marketers per thousand impressions of their ads. Over time, it plans to move to a more complex model, charging based on how users interact with the messages. The Twitter spokesman said it will not show ads that don’t receive a certain “resonance” score, based on factors like how many people clicked on or forwarded the ad.”

Twitter has avoided an ad-based model so far, but as the social-networking tool becomes more popular, co-founder Biz Stone and other company executives have slowly come to embrace different revenue streams. Last year, Twitter struck lucrative real-time search deals with search engines Google and Bing.

Twitter’s new ads will start appearing on users’ accounts on Tuesday. Some the top-scoring “resonance” ads, include Starbucks, Virgin America and Best Buy.

Source: Wall Street Journal


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