Industry reaction from AdbrainThe recent news that Twitter is trying to move into the mobile advertising ad space comes as no surprise to the established players. “Twitter’s recent acquisition of MoPub and its need to keep its new shareholders happy meant it was only a matter of time before it started retargeting on mobile,” observed Gareth Davies, CEO at Adbrain. But it isn’t going to be all plain sailing even if Twitter is a massive player in the social networking sector.
Twitter’s aim to offer advertisers retargeting capabilities on mobile makes a great deal of sense in the current advertising environment.
“Twitter has already connected millions of people around the world – now it’s trying to connect all the screens as well,” claimed Davies.
He continued, “In addition to vindicating those who believe that the biggest opportunity for advertisers lies in marrying big data with cross-device targeting, this news validates the idea that mobile advertising needs to be driven by programmatic buying.”
But Twitter may not find breaking into the mobile advertising sector as easy as it might look on paper.
“On the other hand, Twitter may have a problem achieving true scale. It can only retarget ads to consumers who use its service on mobile.”
Davies warns, “It isn’t going to have the reach of cross device ad specialists, who work across multiple exchanges to build up profiles of consumers across screens.”
The trouble is, of course, that similar warnings were provided when Facebook decided to go into advertising following its own float.
And despite the nay-sayers. Facebook is doing very nicely in the advertising revenues takes.