Twitter now gets its hand on Niche, a New York based start-up that matches social media stars with advertisers, helping Twitter tap into the rewarding world of internet celebrity.
Niche, founded by Rob Fishman and Darren Lachtman in 2013, facilitate advertisers work with influencers and celebrities on Vine and other platforms. It acts as a platform for the marketers to find all the world’s creators in one place. According to the report from last year, Niche works with advertisers like Gap, American Eagle, the NFL, Proctor & Gamble and Warner Bros. Also, it offers tools for the stars to use popular social services and track their fan base.
For Twitter, who is on a lookout for opportunities to boost its slow-growing business, the deal provides a way of improve its online services and can also directly boost revenues. This deal facilitated by Niche can be profitable. According to the recent report in New York Magazine, when Vine star Nash Grier made branded videos for Virgin Mobile and MTV, he drew in $4,166, second highest compared to $5,827 per second pulled in by Robert Downey Jr, the highest paid actor in the world, on The Avengers.
Niche claims it works for more than 6000 creators now. Post- acquisition, it expects to do more and to continue their commitment to creators: more tools, more platforms and even more opportunities to join hands with the renowned advertisers in the world. The financial terms of the deal is not revealed, but reports suggests that the deal’s worth should be a minimum of $30 millions.
After going public in November, Twitter is under the pressure to find new revenue streams. Niche looks like a good fit for Twitter, and seems to have the potential to bring new ways to monetize popular videos on the service, which can now be recorded in the Twitter app.