Starcom MediaVest is a big name among advertising agencies, supporting massive global brands. Twitter will be using the deal as part of its marketing strategy, as it aims to tie its presence to multiple screens, media and brands.
Headed to the Stars
For all its power among the digital natives, Twitter is still a great big unknown to billions of consumers around the world. By tying it to Starcom's roster of big names including Coca Cola, Walmart, Proctor and Gamble, Microsoft and others, Twitter can benefit from continued exposure in marketing and advertising in its home markets and globally.
The two partners can also use the deal to create initiatives, marketing tie-ins and other possibilities that use the power of Twitter to help cross-promote, tie-in to global events that are sponsored by the big companies and generate further essential revenue.
The deal is purported to be in the hundreds of millions of dollars range, and will run for a number of years to help generate new ideas. To spark that momentum, one element of the deal is a virtual research lab aiming to help advertisers tie Twitter and TV shows, adverts and content together. While apps like Zeebox try to link TV watchers do this already, Twitter has a huge advantage in numbers.
Social Media Marketing Muscle
We've already seen Facebook and Twitter (and, most recently, Tumblr) starting to drop ads into their mobile feeds to take advantage of the boom in mobile ad revenue. Twitter will also let marketers tie into keywords to target specific audiences.
By getting more people to use their smartphones or tablets while watching TV will only increase the level of interaction (and revenue) that social media sites can generate. Expect to see some cool new links between the two media as this deal evolves.
Twitter's ad revenues are projected to be around $580 million in 2013, topping a billion in 2014, which will be essential as the company aims for an IPO. The company recently announced it will kill off TweetDeck apps to focus on a browser-based version, perhaps all part of a move to easier ad integration.