how do "myspace" make their money?

i haven't got an account with them so i haven't seen inside the members area.. how do they make their money? it doesnt appear to be full of advertising? so how can they afford so much hosting and bandwidth?

thanks for your input....

James.

 

They make so much money from advertising, on every page there is a ad. And they have millions of vistors per-day.

 

Are you sure they make so much money out of advertising? What's their secret? Online advertising doesn't pay much these days...

 

As far as I know, thats how they make their money. True online advertising doesn't pay much, but when you have millions of visitors per-day, you make a lot. I mean what else you think they make their money from? They don't sell any products or services.

 

When you have Murdock behind you, there is no hosting or bandwidth you can't have Knowledge is power and buried in myspace are trends, email addresses, phone numbers, etc which everyone would love to get their hands on.

 

I can see tons of ads on myspace. Any guesses how much they make per month ? has to be in six figures.

 

As a user, you are bombarded with constant advertisements. I see the site as noisy (much of the clutter is from advertising); since many users are happy to see "notices" about music and other things they are interested in (bands, music, games, dating sites, etc.), they might tolerate the advertising more.

Last time I looked, myspace had about 90 million users. That's a lot of advertising push.

 

What I'd pay to get ahold of that email list ...

 

For a normal leaderboard ad I believe its it's $4 per CPM. So you are buying 1000 impressions for $4. If you think of the kind of visits Myspace gets per day, those 1000 impressions would be gone in a second or so. The only way to get the exposure you would need on myspace, would be to buy CPM in large blocks. Say 1-2 million impressions or more? times the number of spots to advertise there are, plus the fact that there are more visits than there are members.. I would say that is making them alot of money. Plus Myspace sells t-shirts and other things like that, and also holds parties around the country and charges like $5- $20 for admission. I would say that is more than enough to run anything they have.

On top of that, its a place that hosts alot of youth. So its a very big trend right now. I don't think though, that it will die down anytime soon. I hope this information helps

 

big traffic means big advertisers, and its very targetted for the most part

 

when you have site that large, you are not iinterested in normal ad network.
you will have dedicated marketing rep to seek for large organization to pay for big bucks to brand and advertise their products in your large targeted site.

 

Very targeted market..
Personals, music, culture..
I would not be surprised to find out that myspace had interests in some of these venues...

Diversity is a good thing