The Wall Street Journal published an in-depth report on the subject today.
Some key findings:
- Analysts say that the social site’s hypertargeting system is key to its success. (MySpace has tracked its users profiles to categorize their interest in more than 1,000 targetable buckets.
- Since the service launched last fall, advertisers have reported significantly better results,. P&G told the Journal that hypertargeting helped garner a 25% to 30% increase in consumer response when compared with non-targeted purchases.
- However, because of MySpace’s sometimes racy profile content, media buyers are still reticent about significant buys. Another hurdle: buyers aren’t confident that social networkers will pay attention to ads when browsing their own and their friends’ profiles.
MySpace has roughly 118 million unique visitors a month, according to comScore.