5 reason why MySpace is selling more than Facebook

BY aarrieta

Sillicon Alley observes that MySpace is kicking Facebook’s tush in ad sales. There are three reasons, one of which they point to:

1 – Google’s 45-month, $900M guarantee gives Fox Interactive Media a nice base to grow revenues off of. With that kind of foundation, a VP of sales and CEO can make decisions to make marketers more comfortable on MySpace, which is key to FIM’s numbers. Their other sites are far more ad friendly (IGN, for example, or FOX News).

2 – Facebook has always positioned itself as a technology company, a platform; MySpace has been a media and entertainment company that offers some of the tech bells and whistles that the Valley wants them to, but they know that Madison Avenue drives the free, consumer web media space. As I always say, there has only been one really successful ad-supported technology: Google. I know Google, I use Google, and Facebook, you are no Google.

3 – Facebook has to develop ad strategies from scratch (Beacon anyone?) as well as a sales organization, MySpace can leverage News Corp. and FOX’s, arguably the most diverse media organization in the world.

Of course, it’s worth noting that re: #1, the Google/FIM deal will expire sometime in late 2009/early 2010, I wonder what the terms of that deal will look like.

via: WatchMojo.com

Be Sociable, Share!