Twitter has long been the place where people discuss what matters to them, including their opinions on brands, products, and lifestyle changes. But what some might not know is that companies are able to tap this massive amount of data to develop consumer behavior insights.
Want to know how? Just ask Andy and Landon Swan-- they created LikeFolio, a company that analyzes social media data to identify early shifts in consumer behavior that could help guide investment decisions for companies like TD Ameritrade and their clients. LikeFolio used Twitter as their data source due to easy-to-use APIs and for the natural way Twitter content was suited for mass consumption and analysis.
When covid-19 pandemic shutdowns occurred in March 2020, LikeFolio identified that mentions of dog and cat adoptions rose significantly on Twitter, surging over 68% in one month. LikeFolio’s analysis revealed two trends:
1. More pet adoptions meant consumers were buying more pet supplies.
2. Consumers were likely to value home delivery during the pandemic shutdown.
Chewy, an e-commerce pet supply company, became a stock to monitor. As CHWY stock sold off with the broader market to under $23/share, LikeFolio’s data revealed a massive increase in consumer spending with Chewy. LikeFolio clients were made aware of this potential trade idea through LikeFolio’s data insights. One month after the LikeFolio analysis, CHWY stock doubled.
LikeFolio is just one example of how companies can use Twitter data to provide a robust data set for analysis, product innovation, and, as LikeFolio has discerned, opportunities to provide unique insights to inform better decision making.
Read LikeFolio’s case study here.
And learn more about how you can use Twitter Data.