A news report this week explained how a trial, run by a third party, on Twitter has allowed brands to connect with users through SMS.
Having read the article I can honestly say that I don’t really understand what the service is or how it works! The principle seems to be that it uses mobile marketing to get users to connect to their Twitter feed. But, if the service is unclear, who will use it?
In a month long trial the company claims that brands had an increase of between 66% and over 3,000% in user uptake. Of course, they didn’t say what the starting point was for each brand.
Apparently a major brand has now signed up for the full advertising service.
But I’m still confused! What’s the revenue model – ie who is paying for it and who is making the money? The companies involved haven’t said. I presume it’s the brands that pay for the advertising, but I am not convinced of the benefit. OK, more people sign up to your feed. Fair enough. But that in itself does not bring business. It comes back to my long-standing issue with social media, and Twitter in particular. I do not believe they are advertising media. Twitter itself has no commercial model (yet), and advertising is not welcomed by its users. Social media sites are good places for users to engage with brands, give feedback and for other CRM activities, but I don’t see it as a sales channel. I would love someone to show me where brands have achieved measurable sales from social media.
Personally I don’t see how this new Twitter service will take off.