Social Networks As Advertisting Vehicles

[mandy]

The ad model for social networks is almost totally in play, as sites roll out a range of marketing opportunities to see what will succeed. Some marketers, particularly those with movies, games, or recording artists to push, are creating profile pages within these networks to promote their wares. Others are buying display ads from the networks themselves or from third-party ad networks. Some are sponsoring promotions or specific content areas with prominent branding. Still others are seeing their ads delivered through run-of-site placements through ad networks. And of course, search advertising is on the way, thanks to the Google-MySpace deal and one that followed almost immediately after between Microsoft and Facebook.

An August report from marketing research firm eMarketer (prepared before the Google-MySpace deal announcement) estimates that U.S. marketers will spend $280 million on advertising on social networks this year, or about 1.7% of all online ad spending in the U.S. That amount will grow to $1.9 billion and 6.3% of ad spend by 2010...

full article: http://multichannelmerchant.com/webchann...-03262007/