June 13, 2007

New Long Tail Media Company Established by GMO Internet and IOIX

  • GMO Internet, Inc.
  • IOIX,Inc.

Tokyo – June 13, 2007 -- GMO Internet together with IOIX, on June 1 established the new company GMO Marketing, Inc. with the objective of building Internet long tail*1 media that delivers appropriate information to Internet users with a range of search needs.

Background to the establishment of the company
With the advent of broadband and subsequent expansion of the Internet and progress of search engines, search engine use has become a regular activity for the average consumer. As consumers become more search engine literate they require more complex tasks of their search engines.
Search engine technology returns appropriate results for a particular search term. However many information providers are still building websites that aren’t designed with search engine requirements in mind or don’t provide appropriate information. More and more there are users not turning up websites appropriate to their search term in the search results. At the same time the growing popularity in recent years of blogging and SNS has lead to an explosion in information published on the Internet by individuals. This kind of information is beginning to dominate search results with the effect that users can no longer find the company or information they are really looking for.
We recognize that current methods of providing information are not providers are not always aligned with user needs. GMO Marketing was established with the objective of constructing websites for advertisers that want to effectively reach users that know what they want. We aim to improve usability and satisfaction for users with a specific search purpose.
 
Business Description
GMO Marketing will construct websites that form part of the Internet long-tail phenomenon. These are sites that precisely match the complex needs of search engine users with information providers. Behind the service is the broad sales network extending throughout Japan of GMO Internet and the SEO*2 and LPO*3 technology and media construction experience of IOIX, a company widely held to be the best SEO service in Japan and abroad.
GMO Marketing plans to develop unique websites that reach across diverse fields. The first project, being launched today, is a website that allows users to search real estate agencies throughout Japan and offers a range of advertising options.
 
Outline of our First Service Site
Site Name
Anata no machi no fudousan
URL
Site Overview
An information site that allows users to search for real estate agency sites throughout Japan
Main Features
Easy to find information
A specialized real estate agent search site. The user searches by various search conditions including closest station and business hours to easily find the information they are looking for. LPO automatically displays content appropriate to the users’ location and search terms increasing usability.
Cost effective
Extensive SEO attracts via search results high numbers of users that know what they are looking for. It also offers advertisers a low-price advertising option. This is cost effective advertising.

New Company: GMO Marketing, Inc.
Company Name
GMO Marketing, Inc. http://www.gmom.jp/
Date of Establishment
June 1, 2007
CEO
Takamasa Mizoe
Address
Cerulean Tower, 26-1 Sakuragaokacho, Shibuya ku, Tokyo, JAPAN
Business Description
Internet Media
Capital
¥50,000,000 (including ¥25 million additional paid-in capital)
Media Inquiries
Executive Office Group PR Team
 
Glossary of Terms
*1. Long Tail
The Internet long tail refers to the phenomenon of the sum total of all Internet components with a low frequency of hits being greater than the total of components that receive a high frequency of hits. It is common for example on Internet mail order sites, unlike in regular stores, for sales of the top 20% of products to be less than sales of the remaining 80% of products. The same phenomenon is believed to apply to search engines where results for search terms that occur at a low frequency account for a higher proportion of searches than results for search terms that occur at a high frequency.
*2 SEO (Search Engine Optimization)
SEO is a method of improving and optimizing the content of a website with the objective of achieving a prominent position in the search results displays of major portal site search engines. Internet marketers recognize that visitors to a site that who arrive via search engines are a significant proportion of conversions. Identifying keywords and phrases related to a site that will push the position of that site up the search results listings has become an integral part of operating a web site.
*3 LPO (Landing Page Optimization)
LPO is a method of reducing the landing page bounce rate, increasing the number of users who continue on deeper into the site and improving sales and registrations. This is achieved by automatically displaying information optimized for certain visitor parameters including search term, IP address and time. Over the past few years LPO has come to be considered a cost effective advertising promotion and a method of increasing the advertising value of web media.
 
The GMO Internet Group
The GMO Internet Group is a leading force in the Internet industry offering one of the most comprehensive ranges of Internet services in Japan. We hold top domestic market shares in domain registration, web hosting and payment processing and we provide a host of other services including e-commerce solutions, Internet advertising and online securities trading to individual and corporate customers. Striving to redefine the industry and foster a vibrant Internet culture, the GMO Internet Group is continuously working to inspire enthusiasm in our customers and put smiles on their faces.
 
IOIX, Inc.
Company Name
Address
3-40-15 Jingumae, Shibuya ku, Tokyo, JAPAN
CEO
Tomonori Takihi
Business Description
■Internet business consulting
■Computer software development and sales
■Music software creation and distribution 
Capital
¥10,000,000

GMO Internet Inc.
Company Name
GMO Internet Inc. http://www.gmo.jp/en
(TSE First Section Code: 9449)
Address
Cerulean Tower, 26-1 Sakuragaokacho, Shibuya ku, Tokyo, JAPAN
CEO
Masatoshi Kumagai
Business Description
■Internet Use Support (Infrastructure)
■Internet Advertising Support (Media)
■Internet Finance
Capital
¥7,148,290,000
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