Thursday, February 09, 2017

Twitter "trapped"

What a shame. Twitter is the only social media site that I follow. It is THE social media site for breaking news "headlines" and humor. When I first noticed it, Was it the goddamned Iranian ayatollah's tweets?, it was instantly clear that the 140 character limit had worked a revolution. Unlike Facebook and Blogger, Twitter forces users to be pithy--perfect for "headline" news and humor. What is the one thing that a good joke must be? To be funny, it must be short. A person who can't tell a joke is frequently a person who is too long-winded. Twitter sports trolls, Hail! fauxpelini, are the best. Twitter created a new medium, it is as simple as that. So, of course, it is failing:

Twitter numbers paint grim profitability picture

Twitter Inc's (TWTR.N) desultory earnings report on Thursday show a company with no evident path to profitability, as core costs climb more quickly than revenue while user growth stagnates.
...the company said it was revisiting core advertising strategies, suggesting a quick turnaround on revenue was not likely. Fourth-quarter revenue of $717 million was well short of analysts' expectations.

The company is "trapped" and could see declining revenue for another year or two, RBC Capital Markets analyst Mark Mahaney said in a client note.

"We believe that only a radical overhaul of the (user interface) and value proposition could potentially grow its user base, but such a step would carry enormous risk in alienating core users," Mahaney said.
...revenue per user was $2.25, a 3.4 percent drop from a year earlier and far behind the $7.16 in revenue per user that Facebook Inc (FB.O) reported in the fourth quarter. With virtually no user growth, Twitter is spending more to generate less revenue per customer.