HONG KONG: Microsoft is repositioning its MSN portal as an
integrated marketing solutions provider and will launch a major
advertising campaign targeting advertisers and ad agencies in Asia in
mid-October.
The move is part of the company's global US$100 million
initiative to build up an advertising revenue stream for its portal.
MSN has allocated US$30 million for Europe, Africa and the Middle
East markets. However, a budget has not been confirmed for Asia,
according to MSN director of marketing and PR, Rose Leng.
Leng said the company would launch its Asia Advantage marketing campaign
in Hong Kong on October 18. "We haven't quite set a budget for Asia, but
there will be a series of trade marketing campaigns targeting both
agencies and advertisers. We are trying to position ourselves as an
integrated marketing solutions provider, not just offer banner ads."
MSN has invested US$250 million over the past year-and-a-half to
promote and build its portal internationally. A report by NetValue
ranked MSN third in terms of audience reach in Hong Kong in August. In
that same month, it placed second in Singapore, 10th in Taiwan and 11th
in Korea.
Microsoft's new positioning comes in the wake of a slumping global
economy and a downturn in online advertising. But industry analysts were
optimistic on the change, saying the new positioning would underline the
portal's commitment to online media.
The new positioning is also likely to put MSN in direct competition with
online agencies such as DoubleClick. The portal has added a new
ad-targeting product, along the lines of DoubleClick's Dart, and has
expanded its advertising formats to include full-page ads, which appear
for a few seconds while a web page is being downloaded.
ACNielsen eRatings.com managing director, North Asia, Hugh Bloch, said:
"It seems as though MSN may be setting itself up to compete more
directly with the ad networks such as Mezzo, DoubleClick, Real Media and
the like.
Obviously, Microsoft's big benefit is its ownership and control of one
of the leading global and regional websites and its branding clout. A
disadvantage would be its ability to cross the web, to reach those
consumers who don't use Microsoft; perhaps they have this covered in
some way."
MSN is also offering a "scratch-off ad" format, which works like a
lottery ticket - the message is revealed when the user moves a cursor
along the banner ad.
As part of an ad agency relationship building initative, Advertising
Advantage, MSN will offer advertisers tools for research and tracking
ads, and the ability to update ads in real time.
The portal is also launching an Agency Alliance Programme, offering
agencies incentives when clients run schedules on MSN. The idea behind
the programme is to help the portal build relationships with agencies
and advertisers in order to drive recurring revenue as the online ad
slump worsens.
