Twitter goes low for IPO, partners talk up massive mobile ad engagement

By AdNews | 25 October 2013
 

Ahead of Twitter's IPO, the firm's partners are talking up its ad revenue potential. Like another big social media platform, it's all about mobile ad revenue.

While Facebook overcooked its float and got burned, Twitter has learned. The company has come in low in terms of its valuation according to an amended prospectus filed yesterday. It will sell 70 million shares at between US$17 and US20. Even at the top end it comes in well below what many analysts had expected.

Whereas Facebook went in high and bombed, the more modest price could lead to a bounce come the float. But the two are aligned on where the future lies. It's all about mobile and one of the Twitter Ads API partners, Kenshoo Social, reckons the ad dollars are there to justify the prices.

The firm said some 500 million tweets are posted every day, average weekly engagement time of the 230 million users was 4 hours and 12 minutes and that mobile users were much more likely to retweet posts (66% more likely) and click through to content (44% more likely).

Kenshoo did not state its analysis method but also claimed that promoted tweets have 7X higher total engagements and 9X higher retweet volume than organic tweets. It had even higher numbers for promoted trends.

Kenshoo is also a Facebook technology and marketing partner.

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