Twitter’s user base has essentially remained stagnant at 300 million in 2015, raising concerns about future revenue growth.
Bain stressed that Twitter believes the scope and scale for marketers on the platform is actually 800 million users, taking into account the 500 million people who see tweets but are not logged on. The company recently began displaying ads to people in this “logged out state,” he added.
Twitter announced nearly 60 percent year-over-year revenue growth for 2015. For the fourth quarter, earnings came in 4 cents above expectations at 16 cents per share on $710 million in revenue, in line with consensus.
Still, some say Twitter should put less emphasis on advertising revenue and instead focus on selling user data and open its API, or application programming interface, which would allow third-party developers to create applications for the platform.
Bain said Twitter is already diversified, pointing to its businesses in syndicated ads, data and licensing, as well as its advertising exchange MoPub. He said the data business in particular helps its clients address customer service issues at a time when many consumers use Twitter to vent their frustration.
“The businesses themselves are doing customer service out in the open and actually turn the customer moment into a marketing moment,” he said.