Proof Twitter Can Be Used As a Revenue Generating Channel

June 15th, 2009 |

About is all about being plugged into social media. We strive to provide informative, relevant, and unique perspectives in the world of social media.

So far, only a handful of Fortune 500 companies have added Twitter to their list of marketing channels.  While Twitter still has yet to roll out their revenue generating platform, one company in particular has already seen revenue generated from their Twitter efforts.

@DellOutlet which has over half a million followers, is the Twitter handle used by Dell to promote exclusive deals, recently announced they have generated over $3 million dollars in sales from tweeting.  While this number is definitely a small fraction of what Dell pulls in, it is definitely a sign that Twitter can be used as a revenue generating channel.

Twitter Usage

Even though this particular Dell account is used primarily to announce discounts and deals, it does provide some interaction with followers in regards to customer service and interaction.  However, since Dell Outlet sells refurbished items, Twitter is ideal for Dell to use as a marketing channel.  With refurbished items, you typically have a fluctuating inventory which makes it difficult to promote effectively.  The use of Twitter provides Dell with an outlet to promote to with no real marketing cost implications.  It allows Dell to communicate deals and discounts in real time to people who are interested in what Dell has to offer (targeted followers).

This provides a “win-win” situation for both Dell and the end user.  Dell is able to communicate efficiently and effectively for no cost (other than time) and the end user is able to be notified in real time of an exclusive deal or discount.  The end user saves money on a product, while Dell saves money on marketing expenses while increasing sales.

Are Other Fortune 500 Companies To Follow?

With the revenue generating success of the @DellOutlet Twitter campaign, will Twitter see more effort made by other Fortune 500 companies?  It would make sense for many reasons.  Not only can these companies further strengthen their brand and generate sales, but they can provide a more intimate and more one on one interaction with customers.

As Twitter becomes more mainstream, chances are that more companies and corporations will look to Twitter to increase their revenues.  However, the longer some wait, the more their competition will distance themselves from them, leaving them to play catch up.  While these companies late to the Twitter party are catching up, chances are the companies who are already using Twitter effectively will already have their foot in the door on the next big social media site to utilize.  Thus leaving the competition even further behind than before.

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