News Corp moving into Japan’s online advertising market
July 9, 2008
By Ken Worsley
According to Tuesday’s Nikkei, News Corp has plans to enter Japan’s lucrative online advertising market. Back in April 2007, we reported that Dentsu claimed Japan’s online advertising market would experience “growth into a 750 billion yen plus market by 2011.”
Was Dentsu lowballing those numbers? In 2007, the online advertising market in Japan totaled about 600 billion yen. This was about a 24% increase over 2006. Dentsu’s report projected the market at 453.4 billion yen in 2007, with a jump over 600 billion yen happening in 2009.
News Corp’s operations will differ significantly from those of Google or Yahoo primarily in that they will not involve search-based ads. Rather, News Corp is looking to set up networks of sites that target similar demographics, and sell ads on behalf of webmasters who happen not to have a sales force at their disposal.
News Corp is looking to draw 10 billion yen annually in ad revenue from Japan within five years time.
Filed Under Advertising, Internet, Marketing, Media
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There was a piece somewhere recently about how more and more people are blocking ads on webpages. Obviously not too many people, but this could be a huge risk say five years from now.