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Facebook up, but MySpace still a long way ahead

 

 

New figures release by Hitwise show that despite Facebook’s rising traffic, MySpace still dominates US social networking traffic.

Facebook’s traffic grew 51% from December 2006 to December 2007, taking its share of social networking traffic to 16.03%. MySpace’s traffic declined 8% over the same period, to 72.32%, down from 78.89% in December 2006.

To have a little fun with these figures, if Facebook is worth $15 billion, on traffic ratios alone MySpace would be worth $67.67 billion, a nice earn on the $580 million News Corp acquired the site for.

Of course it doesn’t work like that, but given the gap in traffic between MySpace and Facebook, and more recently the $15 billion valuation for Facebook, MySpace would likely be worth more today than the $12 billion figure floated in June 2007.

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MySpace to compete with Facebook with targeted ads

 

 

MySpace will today launch a new advertsiing service that allows it to sell advertisements targeted to the individual tastes and interests of its millions of users.

The advertising sales system is called "hyper targeting" because it uses the personal information which users input about themselves to tailor personalised online adverts.

This news will overshadow the recent news from Facebook who is also expected ot launch a similar ad network.

MySpace says click through rates on its hyper-targeted advertisements are 300 per cent greater than for other advertisements on its site.

More than 50 advertisers have signed up to the MySpace scheme, including Procter & Gamble, Microsoft, Ford and Toyota.

Online advertising i presentoy experiencing a big boom in term sof new startups and as a sustainable business for many publishers.

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What do we really use social networking sites for?

 

 

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