According to inside sources, Microsoft will announce that its new MSN Keywords program will begin beta invitation-only testing in October with 500 advertisers and search engine marketers. Similar to Google’s AdWords program, MSN Keywords will be based on a bidding system.
Part of a greater service, dubbed adCenter, Microsoft says the new program will allow advertisers to tailor their ads to specific audiences by providing more detailed user information than is currently available, according to the Wall Street Journal.
Danny Sullivan was quick to post his findings on Search Engine Watch after a meeting with MSN.
“The system is already live in France and Singapore, but in a closed beta. Ads come from MSN, with Yahoo! serving as backfill,” said Sullivan.
But as of September, the beta in these two countries will come to a close and be open to anyone wishing to advertise in these countries, but without the help of Yahoo!. Advertising purchases in these countries can only be done through MSN.
In the States, a “holiday pilot” program will be launched in October for an A-list group of 500 pre-selected advertisers to carry the testing through the holiday season.
But those wishing to begin their MSN campaign can apply at the MSN adCenter, where Microsoft says 5,000 clients have already registered.
Sullivan said ads would follow a “Google standard” of 25 title characters and 70 description characters.
“Since Ask Jeeves is also following this standard, perhaps it would be better described as the 25/70 format’ or short format’ standard,” he said.
MSN is said to be working with some 30 advertising management vendors to implement an application programming interface (API) for the system.
It is unknown when a full scale MSN Keywords program will launch, but it is expected to happen by or before March 2006.
Sullivan also warns of “fake MSN keywords” and reminds that sales are conducted directly through MSN’s ad management system only.
According to eMarketer, search ads raised $3.9 billion last year for Google and others. That amount is expected to surpass $5.4 billion in 2005, a spike of 40 percent.