This post is Terametric’s Twitter ROI Series leading up to the December 9, 2010 Webinar: How-To measure and improve your Twitter Marketing ROIwith Jim Sterne and Kyle Lacy.

As of this piece, Twitter’s Promoted Tweets are still in closed beta.
However, for those lucky companies invited to participate, evidence suggest that this new form of advertising changes the game for maximizing the inbound impact of Twitter marketing. Kathleen Colan and the Mongoose Metrics team put together an initial case study on promoted tweet experience in the Business-to-Business (B2B) market. Interpreting the results of this initial case-study, we identified a new and interesting way that promoted tweets metrics greatly maximizes Twitter marketing ROI.

Source: Mongoose Metrics

Promoted tweets impact tweeting visibility to key industry players, including prospective customers, if targeted to the right audience. The Mongoose Metrics team shared that they experienced an increase of over 700 new Twitter followers in the space of 1 month of their Promoted tweets campaign.

Activity:
If we assume that their promoted tweets were targeted to a highly relevant group of Twitter members, based on industry profile and other filters, what would be the impact? We think that Mongoose metrics’ promoted tweets would stimulate more relevant followers to Mongoose Metrics, either interested in their product or engaged participants in their industry.

Influence:
Adding quality, relevant followers is a key metric of inbound Twitter marketing success and community engagement. Increasing followers also positively impacts the follower-to-following ratio, another key measure of Twitter influence. A large number of followers, relative to the people that you follow, indicates a high degree of influence. Thus, a promoted tweet delivers greater influence by increasing the ratio of followers.

Engagement:
Additionally, promoted tweets should also correlate with increased additions to the Twitter list of industry participants, yet another key metric for measuring and maximizing inbound Twitter impact.

Positive ROI:
Did Mongoose Metrics’ price for each promoted tweet include the costs to add 700 more relevant followers or possibly more Twitter lists? If we consider the resources required to generate 700 industry-relevant followers, in a period of 1 month, I’m confident we may conclude that Twitter’s promoted tweet program was substantially a zero cost for Mongoose Metrics to add new followers. Given that the cost, to companies, of generating impact with tweets increases as Twitter increases in size and sophistication, we can confidently conclude that there are substantial returns to companies that will be able to advertise on the platform, via the promoted tweet.

Tags: advertising, Engagement, inbound, Influence, marketing roi, ROI, sentiment, tweets, twitter, Twitter followers, Twitter ROI

This entry was posted on Tuesday, November 23rd, 2010 at 2:00 PM by Taariq Lewis and is filed under Social Media ROI, Strategy and Analysis, Uncategorized. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.