MySpace (NWS-A) is still going through the growing pains that many online community sites share with them: monetizing their site through ad revenue.
Right now MySpace makes money in a couple of ways. First they offer their pages to resellers who stock any variety of ads to view by the users. Second, they allow branding by various companies through creating profile pages in the same way r
egular users do.
What they've been working on for awhile gives them a much higher chance had charging a premium for marketing across their community. They've been looking at ways to mine the personal data of users that has been voluntarily given on their profiles and creating ads that target their unique interests.
Michael Barrett, News Corp.'s chief online ad salesman says "If we do this right, it's going to significantly change our fortunes, it can turn what would be a 5-cent or 10-cent page into a $5 or $10 page."Barrett added that the way to mine the information from the user profiles and pages has been solved. The last piece of the puzzle is in how to sort all the data to offer to marketers. He said that he believes they'll have that issue resolved sometime in the coming summer.
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