SOCIAL MEDIA NEWS: Twitter shares priced at $26 each
Twitter shares will be available at $26 dollars apiece when the company floats today.
That figure means the social network will be valued at around $14.2 billion, despite many business analysts questioning the platform’s ability to deliver meaningful returns.
This opinion seems fair, given that despite attracting more than 230 million users Twitter is still yet to make a profit.
Fear also exists among Twitter users, who worry that once the platform goes public the demands of securing shareholder return will take precedence over the user experience.
Chris Andrew, managing director Europe and UK at Hearsay Social, commented on the news: “Twitter’s IPO, alongside Facebook and LinkedIn’s continued financial growth, is a firm demonstration that social media is here to stay and that businesses must take advantage of it. We’ve only scratched the surface of how consumers and businesses use Twitter, but it is already demonstrating its value beyond small marketing projects; it is a proven platform for increasing sales.
“Twitter has a unique set of big data which can give advertisers and salespeople the power to connect with the right people at the right time. It is proving to be an invaluable platform for companies to build relationships and reach their customers on a one-to-one basis, and the growth that will come through its IPO will only increase those opportunities.”
Only time will tell how Twitter’s floatation will impact the user experience but it seems unlikely that things will stay as they are at present.