Thursday, October 30, 2008

It is about time there was a "sea" change in Hollywood. I am so happy to see so many diverse faces, women of color, and men of color in movies, as political pundits, on sitcoms, etc. Maybe soon we can have a minority run a major movie studio. Wouldn't that be amazing!

I am ready for my screen test! Someone contact me soon! :)


Hollywood's Views on Race May Be in for a Change
Q&A: Producer Joe Pichirallo on Marketing Black Films to White Audiences, Box-Office Success and the 'Bradley Effect'
By Claude Brodesser-akner Published: October 30, 2008LOS ANGELES (AdAge.com) -- Is there a "Bradley Effect" when it comes to the box office?
'The Secret Life of Bees'For those perhaps not paying close attention to the presidential election, with Sen. Barack Obama ahead in every national poll, political pundits have been feverishly inserting the words "Bradley Effect" into articles and sound bites in an effort to ratchet up the election-eve drama. The expression explains in racial terms the 1982 defeat of Tom Bradley, a black Democrat who was at the time the mayor of Los Angeles, by his white Republican rival, George Deukmejian, in their quest for the governorship of California: The theory goes that despite polls predicting a Bradley win, white voters pulled the lever for Mr. Deukmejian. A quick look at Hollywood's box office results would seem to let some air out of the theory, at least when it comes to how Americans elect to entertain themselves: The success of two new films with largely black casts -- "The Secret Life of Bees" and the thriller "Lakeview Terrace" -- suggests that marketers' conventional wisdom about how race influences purchasing decisions may be in need of re-examination. Having served as a producer on both movies, Joe Pichirallo has gained a firsthand understanding of how Americans consider -- or ignore -- race. Each film has over-performed, with "Lakeview Terrace" cresting $40 million domestically, having opened at No. 1 at the box office last month, and "The Secret Life of Bees" cruising past $20 million, having opened at No. 3. Mr. Pichirallo oversees film for The Gold Co., a production venture headed by talent manager Eric Gold, whose clients include Jim Carrey and Ellen DeGeneres. But before joining The Gold Co., Mr. Pichirallo was head of feature film production and development for Will Smith's Overbrook Entertainment. He's also been a senior executive at Fox Searchlight Pictures, where he oversaw "Antwone Fisher," and at Universal's Focus Features, where he supervised both "Hollywoodland" and "Something New." Madison & Vine: Settle this for us: Is there a Bradley Effect at the box office, too? Joe Pichirallo: Let me put it this way: The conventional wisdom of the Hollywood studios is that films that have primarily African-American themes or actors in them are not are not going to do well, because they don't do well overseas. And in the last few years, the rule of thumb is that 60% of box office is actually going to come from outside the U.S. So if you look at even the most successful films that cross over, like "Barbershop," its domestic gross was $70 million, but its foreign box office was, like, $1.2 million. ... So if [black films] get made, you're forced to do them at independent [movie] budget levels, on the theory that you have to make most of your revenue on the domestic side. M&V: How does that affect how we portray black America on the big screen? Mr. Pichirallo: If you're looking at something like "The Secret Life of Bees," on one level if you didn't know the business, you'd say, "Well, here's a best-selling novel. This should be made for the standard Hollywood budgets of $40 million, $50 million, $60 million." But the concern would be that you'll never hit those levels in box office, so you're immediately put into a situation of seeing it made in the $12 million range. M&V: How soon did race enter the making and marketing of "The Secret Life of Bees"? Mr. Pichirallo: You start thinking about it right off the bat. Who are going to be the leads? Are we going to be able to get people with name value to play those leads? ... We also knew we had two things going for us: The book was a best-seller for a very long time, and the book was not perceived as an exclusively African-American book. The underlying material had an existing appeal to a white audience. M&V: And so "Bees" isn't behaving like a typical film with a black cast, is it? Mr. Pichirallo: No. And let me just say something about the second weekend of the film, that shows it's playing both ways: In Los Angeles, at The Grove -- which couldn't be more of a white, upscale, affluent theater -- it out-grossed the Magic Johnson theater, which is the leading African-American theater in Los Angeles. And so that tells you right there that the movie is really playing. Most theaters aimed at predominantly whiter audiences actually held [onto their "Bees" audiences] better in the second weekend than those with African-American audiences. Seattle had just a 12% drop. Those are phenomenal holds for any kind of movie, and give indication that it's reaching a diverse audience. M&V: What can we learn about Americans' racial attitudes from "Lakeview Terrace"? Mr. Pichirallo: We knew we had to walk a fine line, because it's not often that the so-called bad guy in a movie is an African-American. Sam Jackson ultimately is terrorizing this interracial couple who lives next door to him. It's headed toward $40 million because white [audiences] went to see it, and we didn't get any real serious complaints from the African-American audience. They embraced the film and saw the film. The danger would have been that they would say, "You're holding up a negative stereotype." M&V: So if all it takes is some forethought about making a movie that's relatable to everyone, why not make more money by making black films that appeal to white audiences, too? Mr. Pichirallo: [Studios] don't want to restrict their gross, but when they sense that the material is not going to cross over -- and they may often be wrong about this -- they're not going to waste their money chasing an audience that they don't think is coming out. And that's when it gets to be circular: What is the chicken, and what is the egg? Are the audiences not responding because they're not marketing to them and so they're not turning out, or are they right that the audience is not finding it appealing, and so was never coming out? M&V: We've talked about how the box office reveals the racial attitudes of moviegoers, but has the marketing of Sen. Barack Obama as a post-racial candidate changed anything about Hollywood's attitude toward the marketing of black films? Mr. Pichirallo: You're going to see that as we get more sophisticated and evolved as a culture, we're going to have multicultural-themed movies that are going to cross over more. What we're tying to do is break conventional perception that if you have a black-focused story that it's only going to appeal to blacks and therefore you should only market to blacks. M&V: Is the lesson, then, that film ghettos are bad for show business? Mr. Pichirallo: I think we have to work hard from a cultural and social standpoint to break that, but from an economic standpoint it doesn't make any sense, either: You don't want to limit your audience. If you're going to limit your audience, you end up having to do the films for lower budgets, and therefore it gets harder to get those movies made, because some of the bigger actors won't do them. M&V: So, what is the marketing lesson from Obama '08? Mr. Pichirallo: The lesson is, Don't assume past performance dictates future results. Obama has not run as a "black" candidate. The world is changing. Our culture is changing. You have to change with it.

Tuesday, October 07, 2008

I think this is great for our industry. Advertising and reaching customers is changing very quickly. I made the decision earlier this year to do more interactive work and approach clients who were interested in Web 2.0 options. This article and quote from Steve Seabolt reinforces how quickly our industry is changing. Enjoy!

Karen

Sims Venture Into Outside World Full of Advertising

Latest Version of Most Popular PC Title Will House Dynamic In-Game Ads

NEW YORK (AdAge.com) -- When "The Sims 3" launches in February, the popular video game promises to be more realistic than ever, thanks to improved graphics, better processing power and an increase in ads.
Now playing in 'Sims 3:' 'Iron Man' and 'Indiana Jones and the Kingdom of the Crystal Skull.'
Now playing in 'Sims 3:' 'Iron Man' and 'Indiana Jones and the Kingdom of the Crystal Skull.'


Yes, an increase in ads. 

Electronic Arts, maker of "Sims 3," is working with IGA to provide dynamic in-game ads -- which can be switched in and out of the game via an internet connection -- to the latest version of what has become the world's most-played PC game. In its first new version in five years, "Sims" players will be able to venture beyond their houses and lots out into Pleasantville, where they can go to the movie theater, the sports arena or the grocery store. It's a more open experience, akin to newer online virtual worlds, although it's still a single-player game. 

'Very organic'
"Advertising is very organic to the 'Sims 3' experience," said Steve Seabolt, VP-global brand development for the Sims label. Movie-theater posters and billboards will host ads, and EA will continue to integrate brands into the gameplay. 

Mr. Seabolt cited an example involving an over-the-counter pain remedy. "Suppose your Sim had a tough day, or the Sim kids are out of control, maybe the Sim worked out -- that could be a moment for that particular pain relief," he said. "And they take that pain relief and feel restored, better rested ... less on edge." 

Sims has previously done integrated deals, which can run into the seven figures, with retailersH&M and Ikea, letting users download branded content into the game. But Mr. Seabolt said H&M wanted to put billboards in the game to promote the fact that users could dress their Sims in the retailer's fashions. IGA now will sell those dynamic ad placements, and EA will sell the integrated ones, but where they can work together, they will. 

Key to dynamic ads
Justin Townsend, CEO of IGA, said the key to dynamic ads is that they have developed standards that can work inside myriad games to create a network that gets advertisers more reach. However, he said, unlike many console games, "Sims" doesn't necessarily need to be bought as part of a network because it has such a broad reach. He said EA expects sales of "Sims 3" to eclipse those of "Sims 2." 

According to Interpret's Gamemeasure, "Sims 2" reached about 16.5 million gamers, half of whom played within the past month. The average "Sims" gamer will spend 1.7 hours with the game per sitting and has spent 47.6 hours with the game in total. 

Jay Krihak, senior partner-group director at MEC Interaction, said "Sims" 1 and "Sims 2" sold enough copies to warrant a look at "Sims 3," but he said the beauty of dynamic in-game ads is that marketers can take the time to see how the game sells in the first few weeks before deciding whether to dive in. What's more, time-consuming custom integrations can be created after the game officially launches. 

Filling in the gaps
"You can solicit feedback from the community and get a sense of what the game's missing and chance that as a marketer you can address that," he said. 

Indeed, advertisers share with game makers a desire to create something that fits within the game. 

"If there's a way to enhance the gaming experience, there could be value for the advertiser," said Amanda Richman, senior VP-director of digital services, MediaVest. She also said in-game advertising could become even more important in a recession because it brings with it an escapist mind-set. "We may be seeing even greater demand in this economy at these times." 




Wednesday, October 01, 2008

See the below article from Ad Age. As a small firm this trend is SCARY to me. So many clients are adding in house designers to do all aspects of their marketing and communications. I agree we need to position ourselves as "brand experts" we are working on this now in our new marketing collateral. However, I wonder if those same clients are willing to pay the same or MORE for strategy. Our world is changing....


Let Them Sweat Small Stuff and Pay You for Big Ideas

Tom Martin Tom Martin
It's budget time. And chances are you're sitting in the same meetings I am with a client asking you to do more with less. Over the last 60 days, I've probably sat in half a dozen of these meetings. You might think that would get moderately depressing, but actually it has been inspiring.

In virtually every one of those meetings the client's goal wasn't necessarily to spend less money with our agency, but for the client to receive more value and impact from the dollars it was spending with and through us.

And along the way, two very interesting themes have emerged.

The first is the notion of high-value vs. low-value agency services. Traditionally the AOR relationship included a client using agencies for their high-level strategic, media, public relations, interactive and creative firepower but also for the routine grunt work. This grunt work includes things like resizing print and banner ads or simple (often factual) copy changes. Everyone knows it isn't rocket science and truth be told, the agency adds very little "value" in these transactions, but it was just easier (and sometimes less expensive) to outsource all of this to the client's AOR agency.

But in today's rocky economic world, savvy clients are beginning to re-examine how they work with their agencies. In some cases (retail for instance) clients are seeing that it might actually be cheaper for them to have an entry-level designer on staff to handle the routine. In fact I had this very conversation with a client just a week ago. Yet, rather than be upset that our firm might lose billings, I'm excited. Why? Because he doesn't want to just let the savings drop to his bottom line. He wants to invest some of that savings with us in the utilization of high-level thinking. He wants to open projects designed to solve strategic problems and have our agency's best thinkers assigned to those projects.

In other words, he wants to invest his dollars in the unique agency capabilities that he cannot do himself or afford to bring "in-house" because it would just be too expensive and used too infrequently. Thus, everyone wins. He saves money and gets to hire a resource that can do the routine faster and less expensively than we can and we get to offload the mind-numbing drudgery type work that none of our designers actually like doing anyhow. And the whole thing represents a cost savings for him and is revenue neutral for us because we're redeploying those low value hours to new clients or high value hours for this client.

The second interesting theme is the movement from mass media to micromedia planning. For most of our firm's clients, media spend is the single biggest expenditure in the budget. So it's the first place their bosses look to make cuts. Thus, clients want more efficient media plans that show quantifiable results. Because while their bosses are demanding expense cutting they aren't lowering expectations or goals for the coming year.

Initially, you might find yourself instinctively recoiling at the idea of helping a client decrease their media spend when you think about the loss of income associated with such a drastic move. However, what I'm finding is that here again, clients aren't just dropping all the savings to the bottom line. They're asking us to think about how we can create more efficient and effective marketing outreach programs. We're being given the opportunity to move mass media spend into micromedia channels like online, social marketing and direct outreach or events. Here again, the net net is the client is spending less while getting a more effective plan and the whole thing is revenue neutral for us. Another win-win.

So as you begin to work your way through the upcoming budgeting process with each of your clients, ask yourself what the value versus cost equation of your recommendation/contract looks like and if it isn't the best it can be, fix it -- proactively. You'll do yourself and your client a great service and likely ensure a longer lasting relationship. 

Wednesday, September 24, 2008

I have been following this story for several months -- since the stories began in the media. I find it hard to believe that in 2008 our top agencies are not more reflective of America. As a small business owner, I know how tough it is to try to "compete" with the big agencies. Small agencies don't stand a chance, but I would be willing to bet, that small agencies are more diverse and bring experiences and opinions different from the large "country club" agencies.........

Enjoy!

Ad Agencies Making Progress on Hiring Minorities, After All
Human Rights Commission: Most Met or Exceeded Pact Goals
By Rupal Parekh Published: September 23, 2008 NEW YORK (AdAge.com) -- Many people aren't satisfied with Madison Avenue's progress on the diversity front, but Patricia Gatling, head of the New York City Human Rights Commission, today said she is "cautiously optimistic" that ad agencies will ramp up the numbers of minority executives in their ranks.
Patricia Gatling Ms. Gatling was speaking at a public hearing at City Hall called by New York City Councilman and Civil Rights Committee Chairman Larry B. Seabrook. The goal of the hearing was to discuss the progress (and lack thereof, in some cases) of the agencies that two years ago signed a pact to boost minority hiring and set individual goals. As part of her testimony, Ms. Gatling reiterated statistics released this spring that found that five of the 16 ad agencies that signed on have not met all their minority-hiring goals in the first year of their diversity pact with the New York City Commission on Human Rights. However, the remaining agencies either met or exceeded all their 2007 goals. BBDO, DDB behindOf the shops that signed a memorandum of understanding with the commission in 2006 vowing to boost diversity, five did not meet their goals. Four of them were from the country's biggest holding company, Omnicom Group: BBDO, DDB, Merkley & Partners and PHD. The fifth was Publicis Groupe's Kaplan Thaler Group. While it eventually caved and signed the pact with its competitors, Omnicom went its own way at first. It pledged more than $2 million for diversity initiatives, including the establishment of an advertising, media and marketing curriculum at the historically black Medgar Evers College. Weldon H. Latham, a diversity counsel to Omnicom who testified at today's hearing, said the holding company's CEO, John Wren, has firmly communicated to those shops that they must come into compliance by the end of 2008. "We gotta make sure that those numbers get up," Mr. Seabrook told Mr. Latham, recommending that Omnicom appoint an executive solely to monitor the agencies' progress. Those that failed to meet their self-created diversity goals have hired consultants to help them improve their numbers, Ms. Gatling said as part of her testimony. Hiring up 25%Meanwhile, the other agencies that signed the agreement have all met or exceeded their goals, said Ms. Gatling. They are: Havas' Arnold and Euro RSCG; WPP Group's Grey Direct and Grey Interactive, Young & Rubicam and Ogilvy & Mather; and Interpublic Group of Cos.' Avrett Free Ginsberg, Gotham and DraftFCB (counted as two agencies because it was created out of the merger of Draft and FCB Worldwide). The average goal was 18% for minority hiring and the average result was 25%, Ms. Gatling said. In certain cases, the agencies have raised their minority-hiring goals for 2008. For example, Ogilvy this year increased its goals 2%, and is aiming for 18% of its senior management and 35% of all staff to be of color. The hearing garnered a far better turnout compared with those called two years ago, though agency and holding company chiefs were still absent. During Advertising Week 2006, Mr. Seabrook had called hearings decrying minority-owned media outlets' lack of advertising, and nobody turned up. The agencies, Mr. Seabrook said at the time, "ran like chickens with their asses plucked clean." Reviving that metaphor today, Mr. Seabook said, "I'm putting some feathers back on you now," as a means of commending the majority of the agencies for their progress. In addition to an attorney for Omnicom, Interpublic Exec VP-Strategy Philippe Krakowsky and representatives for WPP also testified today about the status of their companies' diversity initiatives, as did executives from Publicis Groupe's Saatchi & Saatchi. Saatchi was also one of two ad agencies that turned up for a public meeting called by the Human Rights Commission about the issue in July. Representatives for Havas or Havas agencies did not testify. Nancy Hill speaksAlso submitting testimony was Nancy Hill, president-CEO of the American Association of Advertising Agencies, who Mr. Seabrook commended on her presence, noting that her predecessor, O. Burtch Drake, had not shown up for hearings in the past. There was strangely no talk of a potential threat of a class action lawsuit against the industry, but Mr. Seabrook promised to stay on top of the issue. "The commission is going to stay on your case and I'm going to stay on the commission's case until we get it done and get it right," Mr. Seabrook said at the conclusion of the hearing.

Friday, September 12, 2008

A nice surprise this week......I was asked to pose in a photo about changes in Prince Georges County. Check out the link on local Bisnow Real Estate.

Enjoy!

Karen

http://www.bisnow.com/washington_dc_commercial_real_estate_news_story.php?p=1502)

Monday, September 08, 2008

This is an interesting turn in the industry. If you look at the hourly rates, you could reason that the "consultants" are making much less than they would in permanent jobs. Sad...and scary times for our industry.

Beware, CMO: A Temp Might Steal Your Post

Economy Stokes Trend Toward Short-Term Hires in Marketing Suite

BATAVIA, Ohio (AdAge.com) -- The hard times facing the marketing industry may be only temporary, but so, it turns out, are a lot of the jobs.

With an increasing number of companies looking to reduce the full-time head counts in their marketing departments, and a glut of experienced baby boomers available to do consulting stints, a growing number of marketers are looking to fill brand-manager, project-leader and even marketing-director positions with short-term employees.

A trend tracker on Indeed, a search engine that scans U.S. job listings throughout the internet, shows a sharp spike since May on listings that include the word "temporary" in ads seeking marketing managers, directors and researchers. The spike punctuates a general uptick in such marketing listings relative to all postings since 2005.

The percentage of online job listings containing the words "temporary," "marketing" and "director" surged roughly 50% between May 1 and July 31, according to Indeed.com, even though the trend line for just "marketing" and "director" remained flat during the period.

"I'm finding a lot more companies now are [using] contract employees and consultants at the higher-level jobs, such as director of marketing and senior brand managers," said Michael Carrillo, president of CPG Jobs, which operates the job site CPGjoblist. He also works as a recruiter.

While the move is clearly aimed at controlling head counts and cutting costs, Mr. Carrillo said he believes demographic factors are at play, such as baby-boomer employees who are downsized out of positions but aren't ready to retire and have valuable experience.

Broad range of marketers
A variety of firms specialize in the burgeoning area, including conventional temporary-service firms such as Kelly Services and Manpower. They're seeing temporary marketing jobs on the rise even as temporary employment overall has declined steadily since early 2007 due to the slowing economy.

The surge appears to be coming from a surprisingly broad array of marketers, as well as old and new media.

An ad last week from Creative Group, a unit of Robert Half International, for an unnamed Southern California beauty marketer seeks a marketing director for a temporary assignment possibly converting to full-time -- and offers someone with eight-plus years of industry experience $50 to $60 an hour.

Apparently the same Southern California beauty marketer seeks to round out the team with a product-development manager at $20 to $30 an hour, a bilingual media planner at $25 to $35 an hour and a "marketing guru" at $43 to $50 an hour. Creative Group stands to be the employer of the outsourced team.

Media companies also appear to be stepping up temporary hires. Among temporary positions advertised online: a sales and marketing coordinator for Time Warner's Health.com; a marketing program manager for EchoStar's Sling Media, marketer of SlingBox; and a site manager whose duties would include marketing of a national portal and social-networking site from Gannett Digital, MomsLikeMe.

"Everybody is looking at head count and ways to reduce it," said Joe Hawley, who helped lead the turnaround of Doctor's Dermatologic Formula for two years before the business was sold to Procter & Gamble Co. last year.

The veteran of Avon Products, Unilever and Liz Claiborne is now working as a consultant with his own firm, Hawley Global Partners. While he's open to another permanent position, he's also plying a series of consulting gigs and believes marketing -- and even general management functions -- increasingly will be outsourced in the way information-technology and human-resources positions have been in recent years.

Most of these marketers aren't contractors directly through the employer, he said, but through third-party firms such as Aquent, which specializes in providing temporary marketing-industry help from its own pool of permanent employees and says it serves 90 of the Fortune 100 corporations.

The downside
"You'll look at a company and not be able to tell who's a contract employee, who's [a permanent employee] from a third-party resource and who's [an employee of] the company," Mr. Hawley said.

Of course, the downside can be quality, said Dave Gallagher, president of Boyden, an Atlanta-based executive-search firm. "Nobody is going to leave their job," he said, "to be a 90-day temp contractor."

But Mr. Hawley said temps aren't always getting worse deals, and some can even be of higher quality.

"I call it rent to buy," he said, adding that many of the positions have permanent potential, sometimes involve equity stakes or involve efforts to bypass corporate salary caps, and can attract people with broader or more current experience than permanent employees. 

Thursday, July 10, 2008

Myspace – Not Just for Kids Anymore

Recently Myspace.com has been taking on advertisement campaigns that don’t only target a younger audience. It’s newest brand campaign, Cartier, wants to reach a diverse group of people and feels that myspace.com is the social networking site with the influence to do so. By taking on such big names, myspace is transforming from social site to marketing space.

MySpace Signs Up Glam New Member: Cartier
Global Campaign Challenges Assumptions About Social Networking
By Abbey Klaassen
Published: June 30, 2008

NEW YORK (AdAge.com) -- The latest marketer to target the reaches of MySpace? Cartier.

Cartier, a brand better known for diamond necklaces and $10,000 watches, will advertise its latest collection, Love by Cartier, in a deal which was done out of MySpace's office in France but will span multiple countries.
Love by Cartier
Enlarge

Cartier's deal with MySpace is an endorsement of a global ad market and the appeal of doing one buy that can stretch across multiple geographies.


It's yet another reminder that mainstream Web 2.0 sites have broader audiences than people often assume (last year Neiman Marcus chose YouTube as a place to publicize its 100-year anniversary). It's also an endorsement of a global ad market and the appeal of doing one buy that can stretch across multiple geographies.

It's not just for kids anymore
"There's this misperception in the market about MySpace being a youth site, a site for teens," said Travis Katz, managing director-international operations for MySpace. "But 85% of our audience in the U.S. is over 18, and 40% of all moms in U.S. are on MySpace." He claims that MySpace reaches more people making $100,000-plus than other social-network competitors, such as Facebook and Yahoo 360.

Still, a bigger reason brands are feeling more comfortable with MySpace is that the site has created well-lighted areas around video, music, games and celebrity. Some call it the "portalization" approach. According to people familiar with advertising on the site, cost-per-thousand viewers, or CPM, for integrated campaigns such as Cartier's tends to run in the mid-single digits, around $5.

But Mr. Katz seems more excited that Cartier's is a global deal, and that MySpace is figuring out ways to derive revenue from its international traffic -- 40% of its audience is outside the U.S., he said.

"If you're working with a traditional portal or media company, in each country you have to deal with a separate team, sales force. ... We can take a global message and localize it for each territory," he said. This is not MySpace's first global deal (previous multiterritory deals have included Sony Ericsson, Intel and Nokia), but it is the most far-reaching, with the campaign spanning eight languages.

Free downloads
Cartier's MySpace profile has songs from 12 artists, including Lou Reed and Marion Cotillard, that commemorate the collection. Users can listen to them on MySpace or download them for free at a Cartier mini-site. In the first few days, the profile logged 100,000 views, said MySpace.

Recently, TechCrunch took a look at international social-network users and the strength of the online ad market from which those users hail. It determined that even though MySpace is second to Facebook in worldwide unique visitors, MySpace's visitors were from countries that spend more on online advertisers, thus making MySpace potentially more valuable. Such figures certainly excite MySpace executives. Also exciting? Having good traffic in locales with strong currencies, such as the U.K. and across Europe. For U.S.-based companies at a time when the dollar is weak, that can be doubly nice (literally, in the case of the English pound).

Mr. Katz said that CPMs are much higher in countries such as the U.K. and Japan partly because of that currency strength but also because they have strong online ad markets. But he said even in markets where CPMs are weaker and fewer dollars are devoted to online interaction, the shift to digital is happening. He cites Spain, where online ad spending is growing at 35% a year, though it represented just 4% of total marketing budgets a year ago. MySpace's strongest international markets include Japan, Australia, France, Germany and Canada.

Global spending expected to surge
PricewaterhouseCoopers data estimate that while the U.S. has the largest base, internet ad spending in all other regions will outpace domestic growth over the next five years. Given the small base of international business relative to domestic business, it's not surprising that MySpace's international ad growth is outpacing its domestic ad growth.