Twitter Inc (NYSE:TWTR) isn’t looking good year to date, almost 24% is a hard fall to approximately $48.5, but the blue bird can still fly its way out. The secret is in the new feature that will allow purchases within the platform’s borders through a ‘Buy Now’ button integrated in tweets. B2C informed that this could have a significant impact on how Twitter Inc (NYSE:TWTR) is perceived by advertisers.
This idea is presented as a fine creation of business logic. Through the new capability, the social platform will be able to attract more advertisers while developing possibilities to get even better deals. Moreover, this strategy will work neatly with Twitter Inc (NYSE:TWTR)’s approximately 211 million Mobile Monthly Active Users that will realize the sweet convenience of socializing and shopping at the same time. Hopefully, this project will not be short lived because Facebook Inc (NASDAQ:FB) is implementing an identical button on its platform.
Twitter Inc (NYSE:TWTR) made $277 million in revenues, an increase of 129% year-over-year, and 81% of them from mobile devices. So, it’s true that the social platform will see good figures at the end of the quarters, but these kinds of decisions aren’t meant for longer-terms. There is little hope that Alibaba Group Holding Ltd (NYSE:BABA) will be a less attractive platform on which to advertise and Facebook Inc (NASDAQ:FB) a less happening place in terms of consumer base. That’s why Twitter Inc (NYSE:TWTR) will face certain difficulties in actually reaping the benefits coming from their latest improvement. Generally, such simple ideas don’t prove to be actual game-changers, there has to be something working as a back-up. For example, Apple Inc. (NASDAQ:AAPL)’s new payment system has technological homologues already in the market. However, it won because of Touch ID technology that made it one of the safest payment platforms ever developed.
It will be quite disappointing if an almost $30 billion company cannot come up with a better idea than just a new ‘Buy Now’ button.
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