This article comes on the hells of the $100M cash infusion that Twitter received last week. I like the thoughts here. It seems that some rationality may be coming for Twitter.
Of the list of potential ways that revenue sould be generated, I liked these the best:
“Official corporate accounts: Companies that hit a certain threshold of followers could pay a monthly fee for a Twitter account and a per-tweet fee. The per-tweet fee could be super low, something like five cents. The cumulative effect of this alone would be huge! (This has been rumored for some time now.)
New account follower co-registration: Companies could acquire followers during the Twitter signup process before those new users are following tons of other companies and people. Twitter could simply offer “do you want to follow these accounts” as quick check boxes as a last step in the signup process based on profile info and bio descriptions. Just like standard newsletter co-reg. The options would be very limited and targeted based on the new user information. Many companies would be willing to pay $1 per follower for these Twitter newbies.”
I think that relying upon display advertising (or a close relative) is NOT going to generate the amount of revenue that investors want. Online ads are going through a rough spot right now, being exceptionally creative regarding how a marketer engages with their audience will become even more important. I for one am hoping that creative will have a renaissance in the online realm.