Microsoft’s New Umbrella

On Monday, Microsoft announced that they would be converging their various advertising products and outlets under an umbrella brand called Microsoft Digital Advertising Solutions.

The new brand will initially include MSN and Windows Live, with plans on adding Office Online, Xbox, Windows Mobile, and Microsoft TV in the future.

Microsoft’s aim to give advertisers a convenient way to reach various consumers through specific channels with its Digital Advertising Solutions is clear enough. The formation of this umbrella brand also gives Microsoft an opportunity to put themselves a step ahead of Google and Yahoo.

“Microsoft’s advertising business is growing quickly and becoming more sophisticated,” said Joanne Bradford, VP of global sales and marketing and chief media revenue officer at Microsoft. “It is our responsibility to clearly articulate to advertisers how they can apply our broad set of assets and relationships to reach consumers across the many digital touch points of their day.”

Bradford also went on to explain the growing obstacle that advertisers are encountering. “As today’s consumers spend more and more time online across various digital devices like mobile phones and video games, advertisers are finding they can no longer reach their entire target audience by advertising on a single medium.”

Of course, helping advertisers reach their consumers across a broad spectrum of outlets is not the only goal Microsoft is eyeing. This move is a direct shot at Google and Yahoo, Microsoft’s two arch rivals in the advertising game, and a attempt to grab even more of the huge advertising pie at stake.

As Google hints at branching out into radio and television and as Yahoo’s recent advertising woes were made public, Microsoft brings a strong reminder that they still have some muscles to flex.

Since Microsoft’s Live Search is performing poorly compared to its Google and Yahoo counterparts (third with about 10% of the total audience), their key selling points will have to be the other outlets that Digital Advertising Solutions offers advertisers.

“We’re addressing the reality of media fragmentation and enabling advertisers to get back to what they do best: creating engaging and creative ads,” said Bradford.

That sounds great, but until Microsoft’s Xbox, mobile, and IPTV advertising arms are strengthened there will be little reason for Google and Yahoo to be scared.

Sources:

http://www.clickz.com/showPage.html?page=3623517

http://news.com.com/Microsoft+launches+effort+to
+woo+advertisers/2100-1024_3-6119095.html?tag=
nefd.top

http://www.redherring.com/Article.aspx?a=18752&
hed=Microsoft+Blends+Ad+Biz

http://advertising.microsoft.com/