Twitter Swot Analysis

Topics: Twitter, Social network service, Facebook Pages: 8 (2299 words) Published: December 21, 2013
1. Introduction
Twitter, a website provides online social network and microblog services, is gradually seeping through into every area of life. It was listed as the most important invention in 2009. The same with Facebook who also provide online social network service, more and more people are feeling rely on Twitter, and could not get rid of it. On twitter, we send a real-time mail which is also known as tweets to millions of people around the world within 140 characters. As users, we could share our latest news and ideas to the followers through website interface, SMS from cell phones and mobile device apps; meanwhile, we also can get the instant information about what is happening among the followings, the country and the world. On the technology aspect, Twitter has always based on open source software from the back-end to the front-end. Nowadays, Twitter has became the top ten most visited websites. Before it was known as “Twitter”, its founders named it “Twttr”. Twttr’s idea came from Dorsey, one of the cofounders, who expressed to “enable users carrying standard cellular phones to update small groups of people on their current situation by pressing a few buttons and tapping out message.” At the spring of 2006, Dorsey sent the first tweet, and then, launched “Twttr” through the turmoil of headcount trimming in the same year together with the cofounders, Williams and Stone. Twttr became Twitter in 2007. We could feel the name as the buzzing of the SMS message alters and chips from birds. In this year, Twitter began to hit the market and its users kept growing in the next several years contributed from its word-of-mouth promotion. During its growth, the company continued to get venture capital invents. A lot of large companies were interested in Twitter as they thought Twitter has audiences in hands which would be lucrative.

However, by 2011, the company still had problems which may bring risks in the future. According to the paper, the company had four issues:
1. The company was still on the way to seek profits. It was clearly that the company would be eventually pressured by the inventors as they largely relay on venture invention to support the company. Meanwhile, their application was totally free for use, in this case, advertising was almost the only tool to gain revenues. 2. The business model and strategy remain opaque. As mentioned by Ray Valde, Twitter was in a dilemma that they need a “robust revenue modle”, while had to diminish perceived value which has a lot of potential value. 3. Did not commercially exploit its large and rapidly growing user base. As a kind of social media company, who has the audience, who will make money. User was the key factor that will determine Twitter’s fate.

4. The ongoing change in the top management team. The turmoil began at the start-up phase and even had not terminated by 2011. This may become mines for the company.


This case write-up will state Twitter’s business problems in detail, and use SWOT analysis to make the company’s situation more clarified. Then, raise solutions and suggesions for the company.
2. Strategic analysis of problem
SWOT analysis


Very popular and acceptable by a large
number of users
Creatively changed the way of messaging
Greater access to capital

Internal organizational turbulence
Did not exploit the user base
Unclear business strategy and no solid
revenue model



Dominant position in social media industry Competitors started to emerge A ton of public
Suffer from abandonment of users
A more technologically savvy plantform

Very popular and acceptable by a large number of users
Why people would like to use twitter? I will give some factors according to this case: • easy use
• free use
• allow users to send and receive messages to a mailing list of recipients in real-time • better than online chat
• strong brand loyalty
• could run on different devices,...

References: 1.
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