Twitter has unveiled a tool for marketers to generate targeted messages. These ads will be based on users’ tweets. According to eMarketer, advertising on Twitter is projected to generate $600 million in revenue for year 2013. Twitter utilizes an interest graph which analyzes a user interest by analyzing the accounts the user follows.
Marketers will now be able to check the content of users’ tweets to show the most relevant ads. The tool will also exploit the power hashtags on the social network. “It’s already used today as a way to focus conversation. Now it’s also a way for users who are talking about something to see really relevant,” says Twitter senior director of product Kevin Weil.
Valued at $9 billion, the social network is planning for an IPO in early 2014. This is seen as one of the reasons for the new push towards a refined ad strategy. Facebook and Google also feature ads based on content relevant to their users, which has made them two of the leading companies in digital advertising.