Twitter Inc. Focusing on Its Video Strategy
Twitter Inc (NYSE:TWTR) stock inched up slightly in the last trading session and closed at $18.05. TWTR stock is a long way off from its highs of $24.87 reported last week.
Now that the acquisition rumors have taken a backseat, the company is busy expanding its market and, in all probability, its future as an independent company.
Twitter has just announced its partnership with Australia’s Victoria Racing Club (VRC) to live stream the 2016 Emirates Melbourne Cup horse race on November 1. This is like the other deals Twitter has signed in the U.S. to broadcast sports and other content on its site. (Source: “Twitter to livestream Australia’s Melbourne Cup horse race in November,” CNBC, October 12, 2016.)
Twitter has to keep on working on its video strategy in order to increase its subscriber base and explore better ways of monetization. Right now, going international with its live streaming deals is definitely the way to go. TWTR stock had buoyed earlier when Twitter had signed deals for live streaming NFL games. NFL streaming has brought large number of viewers to the platform.
Earlier there were reports that Twitter had signed an upfront advertising deal with CW (Time Warner Inc (NYSE:TWX)) and Ford Motor Company (NYSE:F). The traditional networks are losing their charm as subscribers start cutting cords. More people are watching content on different devices, and that means brands have to look at their social media strategies. Twitter stands to gain from these developments, as it is well placed to provide social media video opportunities to such advertisers. This shall impact TWTR stock positively.
There are reports that the presidential debate viewership on Twitter has been going up. This will have a good impact on financial results and could be a big positive for Twitter stock.
As viewers look forward to another National Football League (NFL) game on Thursday night on Twitter, the company’s plans to improve user engagement seem to be working fine. Better engagement will bring more advertisers to the social media platform, which is what the company needs.
Investors look forward to more deal announcements from Twitter Inc, as this looks like the right direction for the company. As Twitter enters into more partnerships and signs more video deals, more users and more money are likely to follow, which is good news for TWTR stock.