Why Twitter's User Growth May Be a Red Herring

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April 29 (Bloomberg) -- Shawn Amos, founder and CEO of Freshwire, and Crawford Del Prete, chief research officer at IDC, discuss Twitter's earnings and user growth with Emily Chang and Cory Johnson on Bloomberg Television's "Bloomberg West." (Source: Bloomberg)

Couple of guests, a research officer, from boston, and from new york, the ceo of a marketing firm.

I will start with you.

What numbers stood out to you on the call?

You are helping the advertisers figure out where to put their money.

Are you convinced that they should put their money with twitter?

Yes, i am a numbers guy, a story guy, a content guy.

He is loving twitter.

Online content.

He is feeling bullish about it, and i think a lot of advertisers are figuring it out.

To me, it is a glass half-full scenario.

It has a little bit of a learning curve for people.

The changes are starting to kick in.

They are going to continue to broaden their growth, and it will become more of a mainstream platform, so i see it as a wide road ahead.

Deeply penetrated mainstream media, but what about mainstream users?

The user base is, like, one quarter of facebook's, and it gets significantly more than that?

Yes, from my standpoint, emily, they have to focus on this point.

Twitter is still a little bit of a popularity contest.

If you do not have a lot of followers, it kind of feels like you have not succeeded.

Like your table tv, could you watch 250 channels?

Could you do that at once?

You want to enrich your media experience with twitter, and i think that that advertising number, that is what jumps out to me.

If they can engage people who are participating from enjoying the conversation or following a conversation, that is money for them, and i think that could be a very, very important metric going forward.

I agree with crawford.

Twitter is like learning a new language for a lot of people, and they have to do a better job at starting and teaching people the language, and more effective they are doing that, the more the numbers will follow.

I think there are two stories, one for brands and one for television.

There was a story yesterday, and i think they have two things to play with.

Crawford, to the numbers point, which he is disdainful of, one of the numbers that jumped out at me, revenue per user.

Take your pick.

It is up 75% to 95% year-to-year.

They are trying to figure out how to match the marker.

Yes, that says that to me, the people in the pool are enjoying the pool, and the advertisers are enjoying them.

The trick is to either better target the people they have in the pool as well as to make it simpler to get people to slide into that pool and engage, we which gets back to user growth.

I think people are focused on user growth, which i think it's a bit of a red herring.

That number is going to grow a lot faster going forward.

There were some statistics that show that facebook and google demand way more of the advertising market than twitter, which is still miniscule compared to facebook and google.

Do you see twitter commanding a greater share of that market?

This is not a two horse race now.

You have linked in and others.

It is justifiable.

I think they need to realize they have got a lot more competition out there, and their dollars are being spread around right now.

It is coming.

To my guests, thank you both

This text has been automatically generated. It may not be 100% accurate.


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