Category: Mobile Marketing

The growth over smartphones and tablets could make its IPO price a bargain in the long run.

Twitter, the social media marketing network giant has announced that it intends to increase the proposed price for its initial public offering (IPO) which is expected later on this week.

This helps to illustrate the enthusiasm that the company is experiencing as its IPO grows nearer.

As Twitter talks to prospective institutional investors about its future as a network and in social media marketing, it is clear that they are receiving a considerable response. This has caused buyers to wonder whether they should be looking at this new price as an opportunity.

Last week, it looked as though the price per share would be much different for this social media marketing company.

The IPO stock price had originally been estimated to be somewhere between $17 to $20 per share. This had investors extremely enthusiastic about putting their money behind this social media marketing company, as it appeared clear that the price would rise. However, the bankers from Twitter are now raising the price range so that it will now land between $23 and $25 per share.

That said, even though the new valuation may have cause investors to hesitate before moving forward with the social media marketing company, it does look as though they are still interested. The reluctance, at first, was quite pronounced, but even at the higher end of that price range, it still looks as though it could be quite a profitable opportunity over the longer term.

If one considers the next twelve months for the social media marketing network, it is quite a hefty valuation to have assigned the company. However, as an investment into the future and not into the short term, this could be a substantial chance to watch prices rise.

This is especially true because it is well known that the ads on Twitter have only barely touched on their full potential and that social media marketing is due to explode. Some in the industry have even predicted that Twitter may take Facebook’s position, next year, as the leader among the network giants.

It hardly comes as a surprise, but the time for using this network without advertising has now passed.

Instagram has now officially changed its social media marketing strategy as sponsored advertising is now being delivered to its users in the United States, eliminating the “preview” time in which user feeds were free of ads.

Sponsored photos will become a regular part of this Facebook owned network’s feeds.

Among the first social media marketing campaigns that will be viewed as sponsored ads on Instagram for U.S. consumers will be courtesy of Michael Kors, the fashion brand. The ad will feature one of the watches from that company’s collection of Timeless pieces. When this first ad is posted on the site, it will mark the close of the “preview” period on the site that was designed to help the network’s approximately 150 million active users to become accustomed to the idea of seeing images and video ads within their feeds that had previously been free of any advertising at all.

This has become what is appearing to be a social media marketing trend that is closing in on universal.

American users of Instagram will see the Michael Kors image regardless of whether or not they are following the brand on their accounts. This ad will include a sponsored label to identify it as a placement that has been paid for by the brand. Viewers will then be able to choose to hide it, leave it as it is, or even provide feedback if they don’t appreciate the content of that ad or any others that will be displayed in the future. The hope is to help to integrate the social media marketing into the feeds without taking away from the user experience.

Social media marketing with ads in feeds has not been present on Instagram throughout its entire three year lifespan, so far. However, when the service sold to Facebook, last year, for $1 billion, it had intentions to offer magazine-quality ads that it hoped its viewers would like. This appears to be the first visible phase in that new effort to further monetize the network.