Twitter has secured it’s largest ever advertising deal today with Starcom MediaVest group (SMG) – according to a report in the Financial Times. The deal is rumoured to be worth hundreds of millions of dollars.
The agreement will offer advertising giant SMG and it’s clients, who include Coca-Cola, Proctor & Gamble and Walmart, preferential access to the best advertising slots on Twitter. It is also said that they will have high-level access to Twitter for market research purposes – including a direct feed of data to SMG’s modelling tools.
Twitter, who are now 7 years old, has around 200 million users and in the past year has been expanding it’s advertising offering – starting off with promoted Tweets and more recently announcing keyword targeted advertising.
Laura Desmond, Chief Executive of SMG commented “Twitter, in a very short period of time, has gone from an experiment to something that is essential. This signals to the marketplace how we want to conduct business and measure the implications.”
This latest deal is a huge boost to Twitter, who have for a time struggled to make their business profitable. There is now, as expected, talk of a stock market listing, but it remains to be seen if Twitter will want to go the way of Facebook. For now their plans seem set on advertising, harnessing the valuable user data which companies are keen to tap into.