Even though it is free for users and companies, Twitter needs to generate profit to stay active on the internet, a situation that also happens with Instagram and Facebook. Stay here with me to understand how Twitter makes money, that is, what are the solutions used by the microblog to earn money. Come on?
Twitter ‘s main revenue comes from the sale of advertising space on the social network. Here, business accounts pay for their profiles and content to reach more users. This occurs from personalized advertising that uses an algorithm so that these ads reach the right people.
With this, accounts can segment their ads based on the audience they want to reach, on pre-defined criteria and on the established budget, and can use features such as polls, buttons, hashtags and notifications.
Microblogging ad formats involve:
- Promoted Ads: The standard image, video, carousel, text or Tweet collection offer;
- Ads for followers: which aims to increase the visibility of an account to reach more users;
- Twitter Amplify: a feature that allows ads to align with video content from the most relevant publishers (publishers);
- Twitter Takeover: Twitter ‘s premium space on both desktop and mobile becomes the exclusive property of the advertiser;
- Twitter Live : live broadcasts where advertisers can interact with the audience;
It is worth noting that, for Twitter to attract more advertising companies in order to increase their profits, it is important that the social network has a large user base. After all, the more people accessing it, the more likely companies are to advertise their products or services.
From there, Twitter measures this base using the metric of monetizable daily active users, or mDAU, which corresponds to the number of users who logged in to Twitter on a given day.
Another avenue that Twitter uses to generate revenue is data licensing, known as “firehose”. Here, the social network sells its public data for companies to analyze trends and sell insights to brands that want to better understand how their business is doing in front of the public.
In this way, brands can understand users’ feelings about their product or service and even gather ideas for future launches, for example.
In this feature, content creators can offer their most engaged followers the Super Follows subscription in which subscribers will have exclusive content such as bonus Tweets, badges, previews, notifications and benefits.
The subscriber defines the monthly cost he wants to pay for Super Follow between the following values: US$ 2.99; $4.99; or $9.99. In addition, creators can receive up to 97% of the income obtained with Follows, as some fees charged by the platform are discounted.
According to Twitter: “When you Super Follow someone, they can receive up to 97% of what you pay, after in-app purchase fees, and up to $50,000 in cumulative earnings based on Super Follow Creator Terms from Twitter. After $50,000 in cumulative earnings, she can receive up to 80% income after in-app purchase fees.”
On Twitter Spaces, the chat host can charge tickets, with amounts set by the chat host, for users to participate in the conversation. In these spaces it is possible to hold fan meetings and workshops, for example, but the content creator must meet the minimum eligibility criteria to have access to the Spaces feature with tickets.
Fees and amounts receivable by creators are the same calculated for the Super Follows feature described in the topic above.
With a paid monthly subscription, Twitter Blue offers access to the platform’s premium features that allow subscribers to personalize their user experiences on the social network. Among these features are: undo Tweet; ad-free articles; saved item folders; custom icons for apps; themes; personalized navigation; featured articles; and reader (sequences with fewer visual interruptions).
So, did you already know all these solutions used by Twitter to generate revenue?