Once the advertisement has been sorted into the correct category, the advertisement will then begin appearing on the Twitter feeds of those users who tweet content that is related to the specific category. This allows an ecommerce store to improve their targeting by aiming their advertising content solely at those who would have a genuine interest in what you sell.
Furthermore, businesses who use Twitter's "promoted tweets" feature to have their content appear on various users Twitter feeds will also be able to use this form or targeting to ensure that they only spend money promoting their Tweets to users who they know will have an interest in their products.
So what does this mean for small businesses?
Well straight away it makes promoting your Tweets to other users a much more viable and cost effective way for a business to get their brand identity up and running. Before, small businesses couldn't really afford to spend money promoting Tweets when they might not actually go to people who would in interested in the products or services that the business offers. This way you are getting much more for your money as you know that your content will definitely be seen by people who have shown an interest in that category and would most likely be interested in purchasing from your store.
and what does it mean for Twitter?
The changes to Twitter's advertising setup is expected to help their annual revenue total double to over $540 million in 2014, according to figures published by eMarketer.