Twitter And Starcom In Huge Advertising Deal

Twitter has signed a multimillion-dollar deal with media and advertising giant Starcom MediaVest Group (SMG)

The agreement - thought to be worth up in the hundreds of millions of dollars - is the social media website's largest advertising deal to date, sources familiar with the situation said.

The multi-year partnership gives SMG, which is part of the world's third-largest communications group Publicis, direct access to Twitter's data feed for media planning purposes.

SMG buys and plans media on behalf of clients that include Samsung and Kelloggs, and is attempting to connect traditional media - like television adverts - with social media.

As part of the deal, the two companies will create a product that researches how people tweet and watch television - called Social TV Lab.

They are also expected to launch a mobile product to survey Twitter users - and what they are saying - in real-time.

SMG and Twitter said the partnership was the "first of its kind".

Twitter's president of global revenue, Adam Bain, said: "The deal is about research and experiences on behalf of SMG's clients.

"We think agencies play a big role bringing interesting new ideas to the platform and we want to support that."

He added that the company was planning to sign more, similar deals.

The agreement comes as Twitter attempts to boost revenues by expanding its advertising business.

It has also recently started to offer companies more precisely targeted adverts based on specific words used in a person's tweets.

The social media website has 200 million users, but is facing increasing competition from rivals Facebook and Google.

Researchers eMarketer estimate Twitter will generate less than $600m (£394m) in revenue this year.

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