These two companies have developed strategies that transform Twitter into a highly effective, no-cost resource for promoting brand loyalty, providing better service and boosting revenue:

1. Zappos

Thus far, no company has created a more successful model for marketing its brand via Twitter than Zappos (a popular online shoe retailer).

Zappos created its own Twitter microsite, dedicated entirely to educating its customers about how to use Twitter and encouraging them to register for their own accounts.

The microsite includes:

• a beginner’s guide to Twitter for customers who want to join
• a list of more than 200 employees who customers can follow on Twitter
• a history of prior tweets, so once buyers are registered they can search for discounts and offers they might have missed, and
• instant updates of any Zappos-related tweets, so buyers have constant access to online reviews, new releases and other blurbs related to the company and its products.

Zappos CEO Tony Hsieh led the initiative, sending personal friend requests to as many buyers as possible. Hsieh uses his Twitter account to:

• share details about new product launches and new markets the company is tapping into
• recognize loyal buyers and employees who’ve made Zappos the success that it is
• launch contests and free giveaways that only friends and followers of Hsieh are eligible for, and
• survey customers.

Hsieh even promoted his account by adding his URL to business cards. He now has more than 600,000 followers on Twitter.

Result: Twitter helped Zappos generate more than a billion dollars in revenue for the first time ever this past year.

2. Best Buy

In July of 2009, Best Buy introduced Twelpforce — a customer service team of more than 500 employees that promotes products, answers questions and interacts with customers exclusively via Twitter.

The team also trolls Twitter in search of tweets from other users looking for deals on electronic equipment.

The new approach allows Best Buy to stay in constant contact with its buyers. And it also allows the company to resolve service issues ASAP, promote special offers without having to pay for advertising and generate more leads.

In a recent interview, Best Buy CMO Barry Judge claimed that while it’s still too early to gauge the initiative’s long-term impact, Twelpforce has already had a positive effect on customer satisfaction and loyalty.

So what do you think? Is Twitter an effective way to promote your brand?

Have you had any personal sales success via Twitter?

We’d love to know what you think. Share your thoughts and ideas in the Comments Box below.

Tags: Barry Judge, Best Buy, online reviews, Tony Hsieh, Twelpforce, Twitter, Zappos