Twitter Revenue Projected To Reach $400 Million in 2013

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New revenue projections for Twitter show the likely success of the popular micro-blogging company.

Twitter is projected to receive about $400 million in revenue during 2013 compared to $45 million in 2010, according to a report from e-Marketer that was cited by Mashable.

In contrast, Twitter will receive about $139.5 million in 2011, which is a 210 percent increase over 2010 revenue, eMarketer said.

Debra Aho Williamson, an analyst at eMarketer, said the success of Twitter Promoted Products has led to the size of the projected increases.

“Since their debut in April 2010, Twitter’s Promoted Products have proven successful in the U.S.,” Williamson said in a company statement carried by Mashable. “Marketers have shown solid engagement rates with Twitter advertising — in some cases better than those on Facebook — despite Twitter’s relatively smaller audience.” (Twitter has over 100 million users. Facebook has about 800 million users.)

Twitter highlights promotional messages from some advertisers in a new offering called “promoted tweets,” according to Bloomberg News.

But even with the optimistic reports, Twitter’s projected $139.5 million ad revenue in 2011 is lower than the earlier estimate of $150 million from eMarketer. Bloomberg News explains the revenue estimate was reduced because Twitter faced delays in introducing certain services. Mashable said these include a self-serve advertising platform and the opening of ad sales offices worldwide. The self-serve ad platform should be available in 2012, Bloomberg adds.

In a related story, TechZone360 reports that Twitter may see additional revenues from the upcoming political season.

TechZone360’s Michelle Amodio reports that Twitter has accepted ads from political candidates and political committees, which are appearing on Twitter as Promoted Tweets, Promoted Accounts and Promoted Trends.

“We’re piloting the program with a small group of presidential candidates and national party committees,” Twitter said in statement carried by TechZone360. “We will expand the pilot to include other candidates and committees as we build up our political sales team.”

Twitter is one of many outlets expecting to profit from the projected $6 billion in campaign spending for the 2012 campaign season, TechZone360 adds.


Ed Silverstein is a TechZone360 contributor. To read more of his articles, please visit his columnist page.

Edited by Rich Steeves
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