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MySpace Starts Contextual, Targeted Advertising



paidContent reports that MySpace will launch contextual, targeted advertising on its members’ profiles starting soon. After six months of testing with a 100-member team in MySpace’s parent corporation, their system will analyze the content of members’ profile pages and display relevant ads alongside the content.

paidContent reports:

The program is currently in a pilot phase with 10 “enthusiast” segments with some select advertisers, and will be available broadly this fall other segments. Also, in November, MySpace will launch a self-serve online ad system to allow smaller companies to aim at MySpace users with their ads.

They expect the advertising to jump 80% in click-through rate, while doubling their monthly revenues (to $80m).

They did not explain why they did not choose an extant contextual advertising platform, but it’s likely that they’d profit more from a home-grown solution.

The move appears to be one of the most drastic advertising methods used by a major social network yet. Although Facebook announced plans for targeted advertising last month, their plan did not include putting ads on members’ profiles (at least not as described by the Wall Street Journal, which clearly stated that they would be in News Feeds, not the “Mini-Feeds” featured on members’ profiles).

So keep your eyes peeled for advertising on your favorite social network, whatever that may be, and let us know if you think they get it right.