Twitter Swot Analysis

cheep, a website pass ons online accessible profit and microblog run, is gradually seeping by into every bea of life. It was listed as the roughly alpha invention in 2009. The equivalent with Facebook who in any field of study provide online hearty ne dickensrk service, to a greater extent(prenominal) than(prenominal) and much pile are feeling rely on twitter, and could non get rid of it. On twitter, we trip a real-time mail which is in standardized manner knget as tweets to millions of hatful near the world within 140 characters.As users, we could parcel our latest crudes and ideas to the fol dishonors with website interface, SMS from cell phones and mobile device apps mean man, we also can get the flare knowledge closely what is happening among the followings, the country and the world. On the technology aspect, chirrup has al government agencys establish on open source software system from the back-end to the front-end. Nowadays, chitter has became the top ten well-nigh visited websites. Before it was known as peep, its founders named it Twttr.Twttrs idea came from Dorsey, one of the cofounders, who de nonative to enable users carrying standard cellular phones to update small groups of people on their contemporary situation by pressing a few alonetons and tapping out message. At the outpouring of 2006, Dorsey sent the firsttweet, and consequently, launched Twttr through the tempestuousness of headcount trimming in the identical year unitedly with the cofounders, Williams and stone pit. Twttr became twitter in 2007. We could feel the name as the go of the SMS message alters and chips from birds.In this year, chirrup began to hit the foodstuff and its users kept begetment in the neighboring several years contributed from its word-of-mouth promotion. During its growth, the gild occurd to get meditation superior invents. A roach of sizable companies were concerned in chitter as they apprehension twitter has audiences in hands which would be lucrative. However, by 2011, the party still had problems which whitethorn bring risks in the future. According to the paper, the play a great had four issues 1. The caller-out was still on the air to seek prots.It was scorely that the company would be eventually pres acceptedd by the inventors as they rotundly relay on venture invention to stand up the company. Mean epoch, their application was whole unembellished for use, in this case, advertising was well-nigh the only fitcock to gain revenue leavenment enhancements. 2. The line ideal and system remain opaque. As mentioned by Ray Valde, chirp was in a dilemma that they need a robust revenue model, while had to diminish perceived value which has a lot of potential value. 3. Did non commercially crusade its grownup and rapidly growing user stolid.As a kind of hearty media company, who has the audience, who willing trace money. User was the mainstay factor that will d etermine Twitters fate. 4. The on personnel casualty change in the top management team. The turmoil began at the start-up phase and even had non ended by 2011. This whitethorn become mines for the company. This case write-up will state Twitters line problems in detail, and use elevate analysis to make the companys situation more than clarified. Then, raise solutions and suggestions for the company.2. strategic analysis of problem SWOT analysisWeaknessesVery common and acceptable by a humongous be of users Creatively changed the way of put across Greater access to with child(p)(p)Internal organizational uplift Did not exploit the user cornerstone Unclear business strategy and no solid revenue modelOpportunitiesThreats dominating dapple in social media industry Competitors started to turn up A ton of public Suffer from desertion of users A more technologically toil thinktformStrengthsVery popular and acceptable by a boastfully numerate of users Why people would lik e to use twitter? I will give some factors harmonise to this case easy use free use allow users to send and flummox messages to a mailing list of recipients in real-time better than online chat unassailable brand loyalty could run on different devices, especially mobile devices give thanks to these advantages, Twitter got 200 million users by March 2011.Although it was far from Facebooks users, the number was still amazing and at the wind position among social earnings websites. The more visitors, the more the site is worth. Just distinguish for the occur of users, we could estimate that the website of Twitter will be highly valuable.Creatively changed the policy of messagingIt is fractious to say Twitter has a boastful invention on technology aspect, and to a large extent, it brought nearly by recon?guring brisk technology. However, we cannot deny it is a big transition and has changed the policy of messaging. Twitter was built on existing technologies like SMS ( short message service), IM (instant messaging), and RSS (really impartial syndication), then, combined them in a quaint way. It is one-to-one association when we are use SMS and IM.Now, it is one-to-many association which facing to the public, when we are employ Twitter. On Twitter, we send 140 characters instant micro-blog, use to mention or play back other users, use to post together the said(prenominal) topics. All these creations changed the way people communicate. Greater access to capital Twitter had puffed plenty of capital since its establishment. For a early days company, suf?cient fund and patient inventors could allow them a more space to develop and issue their big idea.Weaknesses Internal organizational turbulenceTwitters internal contradiction emerged at the sign phase. When Odeos team launched Twttr Beta, six employees complete contracts. Moreover, among the four cofounders (Dorsey, ice, Williams, Stone), Dorsey and Williams had even acted as chief execu tive officer but both of them quitted. And the name of Glass was seldom raised in Twitters history. The establishment of Twitter extremely require collaboration, however, people in the installation team have different expectations. Inventors may lose con?dence in them.Did not exploit the user sottish In spite of the fact that Twitters success rides on the user base. However, gibe to the paper, Twitter did not commercially exploit it. Or we can say Twitter had no extra energy to do it. The top managers concentrated on how to make their proceeds more march on and how to draw in inventions. They did not notice the user base was the valuable source for them. Actually, they owned the large amount of users and easier than other companies to conduct a survey on them.Unclear business strategy and no solid revenue modelTwitter has been nerve-wracking to be different from other walking(prenominal) companies and exploiting which road was likely to take from the beginning. However, th e path depended on how the ?rm perceived and de?ned itself. They but need their blueprint for making the company as large an impact as mathematical instead of setting speci?c business strategy.Whats more, Twitter still had not built a solid revenue model even through their revenue kept increasing from 2009. As it stands, the companys revenue was more often than not relay on advertising and the last was from entropy licensing. By comparison, Twitter had the analogous ad model as Facebook, but facebook was hard to get rid of reliant on ad while Twitter was not able to do it at present.Opportunities Dominant position in social media industryAlthough the amount of users was lower than Facebook, Twitter still own the large amount of audiences. It was not the ?rst actor in this industry, but the ?rm acted quickly and was already far beyond other identical social media companies. Contributed by its dominant position, more and more people would like to favor Twitter based on the number of other users of this computer program, and inventors would focus on the ?rm, then invent on it as they study the one who owned the audiences would be valuable. A tongue of publicBecause of Twitter has the advantage of timeliness, it became a tool to publish news. In 2008, it compete as a key tool in the U. S presidential track down and the attacks in Mumbai, India. From then on, Twitter became an important role in politics. People became more and more believe the chopine as they can use it to publish their impression to the public. It was religious serviceful to strong its social position and brand impact. A more technologically savvy platform As Stone said, Twitter was most likely a information company. In recent years, this platform value which was derived from information-sharing has reached the peak. Twitter has owned two advantages a large user base and information-sharing platform. These imaginations could be used to improve revenue. at that place was no better savvy platform than Twitter to help companies promote services and products with limited budgets. This project was known as promoted tweets, launched in 2010. When followers log in Twitter, promoted tweets will appear at the top of the timeline, then advertisers will pay when a user engages.Threats Competitors started to emergeAs the industry was lucrative, some companies had started to emerge and attempted to share the cake. Now, it was not fair(a) Twitter provided free services, some large and competitive companies like Friendfeed, Identi. ca, Present. ly, and Google were looking at the market. These competitors were not just copy Twitter but offering some new functions that Twitter did not have. If Twitter stop improving their applications, it may be eliminated in the competition.Suffer from abandonment of usersOnce your friends left the social network platform, more and more connected users may leave it. Then, this website will face catastrophe. Now, Twitter was facing the tro uble&8212although they had attracted a lot of users, the abandonment rate up to 40 per cent yet. On contrast, only 7 per cent Facebook users said they may never use Facebook. And Twitters nimble users were far below than Facebook. One data analysis showed that in Jun-10, only 12 millions U. S Twitter active users while the number was 137 millions for Facebook.3. Solutions and recommendationsConclusion about TwitterTwitter entered the market at a right time, and grabbed the larger resource in the industry. It was a big net profit Innovation and changed the way people communicate. However, it was lawful that Twitter did not do as good as other similar companies like Google, yahoo, and facebook. For example, in 2009, Google earned more than $18 from unique visitor, Facebook earned about $3, but Twitter only got lower than $1. They were still facing argufys and on the way to exploit the best path.The challenges which were brought by competitors expanding The denying and ongoing tra nsformation of Internet will never stop in this age, and its sustainable alteration has brought about a new lucubrate of reform of the marketing mode. Twitter cannot just stay stuck in its old mode. In this industry, stagnate means decline. The firstchallenge was from the companies who re-created Twitter while developed more functions. However, these competitors had precisely pushed forward Twitter and prove microblog had the bright prospects for development. To deal with them,Twitter had better to enhance its brand loyalty, and form its own heart competitiveness. Users would like to choose the one who henpecked the industry because they were easy to be wedged by conformity. Moreover, Twitter should be sure to avoid following others, developing the functions what others have. They should persist in creating new ideas and act quicker than competitors. redden through competitors function was more advanced than Twitter, it did not mean it was an appropriate product for Twitter. Another challenge was from large companies like Facebook and Google.These companies also wanted to do everything and hold the industry. They were similar as Twitter, owned a large amount of users, but did not do microblog. Twitter was not unafraid even though it did the best in microblog. These services were another form of social media that also may grab Twitters market. Twitter unavoidably not only to improve its model to attract more users, but also continue digging potential value in other area to expand the ?rm. knead more sources of revenue Twitter cannot largely rely on venture capital invention and advertising any more.It needs to ?nd out another way to obtain fund. The ?rst option was to imitate Google and Apple, provide more services and develop more products to increase revenue. Another option was to imitate Facebook, launch initial public offering. Or it can do both. I think launch initial offering will be better because Twitter did not have the technology support a s strong as Google and Apple. And Twitters revenue model was already unclear now, if it provides more products, the model may become more confused. Whats more, IPO is a better choice for long term development.Increase the R&D activities It is not only the revenue model needs R&D, but also the new application innovation needs R&D. When going to Twitter. com, we will basically see the same thing that the company did years ago. They did not view as working on anything that cool. Meanwhile, they did not reveal any details about the R&D plan and result. Conducting R&D could help Twitter to improve their products and services, which was necessary for a technology company. Twitter website was built on open source software. It was helpfulto develop new applications. Furthermore, in order to keep an eagle eye on the competitors and customers, R&D should not be ignored by Twitter.Promote overseas marketIt was clear that Twitter owned a large number of overseas users, but ha d not gure out an effect prot in other countries. Promote the tweets won a big market in the U.S, similarly, the irrelevant market had a large prot that could be exploited. barely it will be a big project that need marketing look into and detailed plan before they steady down to move in a foreign market.