Twitter prepares itself for its big day- IPO

by Cindy Fu

Twitter is preparing for its initial public offering, and to do so, Twitter is pushing hard to get itself into the TV advertising economy. Twitter has already made partnerships with big television content owners, MTV, NFL, CBS. This way, real-time clips are available on Twitter with a short ad right before. Twitter breaks out of its narrow revenue stream and broadens it by luring in potential investors with such ads that pitches to smartphones and tablets as well.

 

Initial public offering is when a private company becomes a public one and offers its stock to the general public. The preparation Twitter has arranged connects to the business model canvas in such a way that every aspect needs to be well planned in order for a successful IPO, as an example. Expanding niche-like revenue streams, thinking about possible key partnerships that will make the value proposition successful is basically what Twitter is doing right now.  The competition in the market also surfaces, as Facebook is threatened by the number of celebrity’s on Twitter and its unique hash tag system, in which Facebook adopted. Competition will always lead to innovation, and that is crucial for long-term success.

Will the TV ads embedded into clips be a success?

 

Source:

“Twitter IPO details raise questions over financials, bots – Business – CBC News.”CBC.ca – Canadian News Sports Entertainment Kids Docs Radio TV. N.p., n.d. Web. 8 Oct. 2013. <http://www.cbc.ca/news/business/twitter-ipo-details-raise-questions-over-financials-bots-1.1912936>.