In the past, we’ve talked about how Twitter was not looking good, especially from a marketing perspective. We weren’t sure how much longer the service would be around, especially if ownership changed hands or if a serious competitor emerged.
Now it’s time for a checkup – and Twitter is actually doing better! While the social media giant still faces some problems, it’s not going anywhere for now. Here’s why Twitter is doing better, why you should still be cautious, and the reasons for getting more proactive on Twitter in 2018!
Good News for Twitter: How the Social Media Giant Is Surviving
Twitter recently released its annual results, and buried in the revenue number was a particularly encouraging sign for its investors: Twitter made a profit in the 4th quarter of 2017. This is a particularly big deal, because since Twitter was first launched in 2006, it hasn’t actually made a profit. Sure, your business probably wouldn’t survive like that, but it’s a different for big tech companies like this, and turning any profit at all is a major improvement for Twitter, which has been struggling with monetization lately.
Specifically, total revenue in the fourth quarter increased by 2% over 2016, just enough to bump it up into profitable margins. Most of this income came from new ad systems and ad placement: Twitter didn’t necessarily become a more popular place, but it did learn how to use its ad system more effectively to make money. If Twitter can hit more of these profitable quarters, people are likely to stop talking about the company’s potential demise.
Should Your Company Be on Twitter in 2018?
That’s the real question here, isn’t it? That’s what you are wondering. We can’t say that spending time on Twitter is the best choice for every brand out there. But here are a few current reasons that Twitter can help your brand marketing:
- More Interest in Marketing: Twitter is bound to focus more on its ad system and ad placement now that it has proof that this can be profitable. That means it could become easier, and more effective, for companies to start placing ads on Twitter. You don’t even need to have a particularly strong Twitter presence to take advantage of this!
- Reaching Customers Who Aren’t Anywhere Else: Even in the B2B world, there are always some contacts who will only be on Twitter, and won’t use any other social media. It sounds weird these days, but they exist! This means that you can use Twitter to reach people you might not otherwise encounter. It may be worth doing research to see how many of your customers tend to use Twitter and not much else.
- Finding Partners: Just as some customers may only be reachable on Twitter, potential partners may spend all of their time on Twitter. This may affect you if you are looking for a marketing influencer to work with, or trying to find a local partner for events. Twitter can be a powerful tool here.
- Checking on Competitors: If your competitors use Twitter, it may be worthwhile joining in just to follow them and see what’s up.
- Covering Time-Sensitive Events: Twitter has an easy, rapid-fire method of posting that’s a great way to acknowledge issues and provide updates to a broad audience, instantly. If you like keeping your customers updated about time-sensitive events (power outages, limited stock, etc.) this could be a good way to do it.
However, Twitter Still Faces Uncertainty
Twitter isn’t quite out of the woods yet. The company did not meet user growth goals even as it made a profit for the first time, and is struggling to attract any more long-term users. It’s also involved in a lot of tricky stuff including misinformation campaigns, personal attacks, and other serious policy issues that could drastically change how Twitter performs in the coming years…so keep an eye out!