For weeks, rumors have been swirling that Twitter is a buy-out target.
The likelihood of a bidding war fizzled out yesterday after Disney and Google were ruled out as potential buyers, causing Twitter’s share price to drop by 20%.
It leaves Salesforce as the most likely buyer, though it could mean that Twitter remains unsold.
If a deal does finally materialize, Twitter’s future could be very different than the one it currently faces as an independent entity.
Here are some quick thoughts on how it could affect marketers:
Twitter will survive
For a Twitter acquisition to occur, a buyer would almost certainly need to pay a premium over the company’s current valuation, which earlier this week stood at $16bn in the wake of the company’s acquisition-rumor sparked share price rally.
If a buyer pays that much for Twitter, it will require a long-term commitment, making it exceedingly unlikely that Twitter will go away as an independent service.
That would of course probably be good news for marketers who have invested significantly in their efforts on the platform, although it still won’t guarantee that Twitter will stay relevant over the long haul.
Time for a user buyout. Let’s all chip in $50 then sack whoever invented promoted tweets. https://t.co/hDtzN92byV
— Christopher Biggs (@unixbigot) October 7, 2016
The Twitter identity crisis could end
One of the biggest challenges facing Twitter is a lack of a clear identity.
An acquisition could go a long way to finally answering those questions.
After all, if Salesforce was to purchase Twitter, one could expect to see greater focus on how Twitter can maximize its utility as a sales and marketing platform.
While it’s likely any acquirer wouldn’t make too many waves lest it alienate Twitter’s existing base of users and customers, a clearer focus could benefit some marketers more than others depending on the markets they’re in.
New Twitter integrations could emerge
If a tech company acquires Twitter, expect to see new integrations.
For instance, Salesforce, which acquired social media marketing platform Radian6 for $326m in 2011 and social media engagement platform Buddy Media for $689m in 2012, would likely integrate Twitter with its relevant products, including its Marketing and Community Clouds.
New and deeper integrations could be beneficial to marketers, but it’s also possible that a Twitter acquirer will eventually change or shutter relationships with existing vendors that marketers rely on, a consequence that creates some hassles.