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Terra Networks' recent $12.5 billion purchase of Lycos Inc. illustrated a continuing drive by portals to broaden their focus in an effort to stand out in a crowded pack. The latest statistics indicate one of the biggest future trends is likely to be a move to reach outside the U.S. to nations with their own fast-growing Net populations.

So far, online global marketing has barely reached its peak. According to the GartnerGroup Inc., worldwide B2B e-commerce, which hit $145 billion in 1999, is projected to surpass $7.29 trillion in 2004.

A plethora of niche Web sites currently focus on marketing to specific ethnic groups. More of these specialized sites are coming to the fore. To say the least, the global marketplace, each day, is becoming smaller and more competitive.

"There is a lot of demand from consumers and business in geographies outside of North America," noted Don DePalma, vice president of corporate strategy for Idiom, a provider of Web globalization solutions for e-business. "There really is no longer a choice about globalizing your business. That decision has already been made for you. Even if you are getting traffic with an English-only site today, you may be losing out on the future."

DePalma advises international marketers to focus on the four "Ps": product, positioning, price and promotion. "You have to have a product that makes sense and you have to have a product that travels well," he said. "Customization is also key. You need to meet the needs of different cultural communities within the U.S. as well as in different countries. Through technology, Web sites can now reach out to domestic and foreign consumers who may have never had the opportunity to shop online before in their native or preferred language."

Asia-Links.com has taken that advice to heart. The company, an Asian portal site, markets electronics products between North America and Asia.

"We provide American business with instant access to electronic component buyers and suppliers throughout Asia," said Tri Phan, director of marketing, who believe his company to be the first Asian-focused B2B portal.

"By bringing manufacturers and suppliers together, the pricing value becomes significant. Suppliers are able to choose from the manufactures they want or who have an inventory of out-of-stock parts, and the site can also handle RFQs for those who are looking for a bid on a particular item, such as memory chips for a particular product."

Marketing to two distinctly different cultures is no easy task, Phan admitted. "There are misperceptions about doing business overseas. People are wary of any overseas transaction" he said. "In Asia, people tend to prefer more personal relationships, even with business transactions. But, the Internet has helped to open that up. With the recent downfall and recovery of the Asian marketplace, we are helping to bridge relationships."

HelloAsia.com positions itself as a business site geared to servicing Asian portals. The company rewards users throughout Asia for their social and ecommerce relationships. "The portal was developed and personalized for consumers in Asia and features AsiaMail, an email solution in multiple Asian languages, and AsiaRewards," explained Jim Preissler, vice president of strategy. "Members earn AsiaReward points for engaging in activities such as shopping, communicating and participating in special events. Rewards include travel, entrainment and variety of consumer goods and electronics."

Indeed, Asian sites are pumping up the volume on B2B e-commerce. Gartner Group anticipates Asia to leap into B2B with a vengeance and forecasts that the region's B2B e-commerce will soarto $992 billion by 2004, an impressive rise from $9.2 billion in 1999.

Hurst Linn, U.S. general manager and vice president of business development at Sina.com, said his company has exploded over the past five years. He reported that in February 2000 his company saw a growth of 16.6 million page views compared to 2.6 million one year before.

"Our mistake was that we did not expand fast enough," Linn said. "In this area, you need to finds niche applications and expand rapidly. What we ultimately learned was to scale out as quickly as possible while targeting as wide a group as possible."

Sina.com is a Chinese-focused Internet company bringing comprehensive, user-friendly and fun online experience to Chinese users worldwide.

"We offer a Chinese language portal network of four localized Web sites targeting China, Taiwan and Hong Kong, a regional commonly referred to as Greater China, and overseas Chinese in North America."

Visitors to the site access local and international content and features covering topics of interest to the Chinese community.

"They can also purchase products from our online stores, or SinaMalls, located in China and North America sites and purchase airline tickets on our Taiwan site," Linn said. "In addition, we offer proprietary software products that enable users to more easily access Chinese Internet content. We have successfully created a a global Chinese community where visitors can read news, obtain information, exchange ideas, establish relationships and conduct business."

etang.com is a Mainland China portal aimed at attracting a "Generation Yellow" audience. "Generation Yellow refers to Mainland Chinese ages 18 to 35," stated Dale LeFebvre, chief financial officer and head of U.S. operations. "This demographic group accounts for 85.8 percent of Chinese Internet users. They have a high level of disposable income, pursue modern lifestyles and play a significant role in the commercialization of China in the twenty-first century."

Services provided by etang.com include a search engine, e-mail, Web page hosting, bulletin boards, news, local information and chat rooms.

"Our site also serves as a portal to leading local city guides for Shanghai. Beijing and Guangzhou, as well as a portal to other consumer vertical Web sites, including careers.etang.com and sites for college students, personal finance, women and entertainment." he said. "We reach out audience through sponsorship and advertising, ecommerce models and sponsorship verticals.

"We have a truck with our logo on it, which is seen at job fairs, which we sponsor. We also have a presence in local shopping malls," he continued. "There is a synergy in going after college students and then helping them get jobs. Generation Yellow is an great audience to target. They are receptive, open to learning about new brands and they are financially independent."

In North America, Click2Asia works at catering to Asian audiences in the U.S. and Canada.

According to Mark Laing, senior vice president of sales, the company has gone to great lengths to attract a younger, "kooky" audience. "We have had great success by promoting our portal through nightclubs and local community activities," he explained. "For example, we go to nightclubs and hold giveaways, and we have a van, the click2asia mobile, that is seen at events throughout town. Features of the site include Dream Dates, where we match up customers and film their dates; paid personal ads, celebrity profiles, online games, music, chat rooms and e-mail."

Click2Asia's initial promotional campaign succeeded in gaining the attention of its local Los Angeles-area community, said Laing.

"We had a 'Free the Nuts' campaign, in which five of our employees lived and worked under live web cams at the office, 24 hours a day, seven days a week. The goal was to stay in the building until the site had 500,000 members. Visitors to the Web site were able to tune in and view the 'nuts' via a webcam. The effort took three months. Not only did this event create a relationship with the community, but it helped strengthen the site and demonstrated the inner workings of life at an Internet start-up and all of the challenges and pressures to build a premier Asian global Internet site."

Internet usage in the U.S. varies with ethnicity, according to e21 Market Research Services. For example, in 1999 Internet use by African-Americans is reported to have gone up to 26 percent, a 10 percent increase over 1997.

Africana.com, based in the Boston area reaches out to Black communities throughout the world. E-commerce offerings include two pieces of intellectual property, the CD-ROM Ancarta Africana, which focuses on the culture and history of African Americans and Africa, and the print encyclopedia, Africana. Books, music, magazines, posters and software are also sold.

"We are an intellectual site, which differentiates us," said Darrol Roberts, chief operating officer. "We have a competitive advantage because we focus on education. Our site was founded by several renowned African Americas at Harvard, including Drs. Henry Louis Gates Jr., and Anthony Appiah, who co-authored Ancarta Africana, and includes content contributed by well-known speakers and scholars. Our mission is to empower black minds, to inform, to bridge the digital divide, to entertain -- all with a black perspective."

To accomplish this, the site has created partnerships in the U.S., as well as in Africa, the Caribbean and Europe.

"Our content is truly global. We broadcast Radio Africana, which helps people to keep in touch with where they used to live," says Roberts. "Plus our site provides content to educators, such as suggesting lesson plans. Our corporate partnerships include working with Microsoft and Perseus Books in an Adopt-A-School program, initiated by the not-for-profit Educational Netcasting Foundation, and individual programs in which our intellectual properties are distributed to public schools and libraries.

"We also have a diversity program in which Corporate America is invited to have a one-on-one relationship with persons of African American descent in the U.S.," Roberts said. "For instance, corporations, such as CitiGroup, which is actively involved in educational initiatives within our site, are encouraged to contribute to funding, develop diversity programs and adapt jobs to meet the needs of a more digitally competent minority workforce."

One of the missions of BlackVoices.com is to work with Fortune 1000 companies who are seeking employees.

"We have the largest postings of resumes on-site as part of a major human resources campaign," says Barry Cooper, founder and chief executive officer. "We work with such prestigious firms as the FBI, Hewlett-Packard and Nextel in posting employment opportunities on our site. Further, resumes are also posted, which potential employers can study."

Community involvement is another means of gaining support. "With the African American community, nothing works better than grass roots. To stand out, you have to understand the community you are targeting and get that community involved, We generate civic organizations, community groups, high schools, fraternities, colleges and alumni organizations," he said. "In June, for example, we have a three-day offline event in Orlando, called Summer Splash. Those who attend will be part of a three-day vacation package in which they can go to Disney World as part of a larger group.

"Radio has been a powerful driver in getting the word out about our offerings," he added. "We have had major campaigns in Atlanta, New York, Los Angeles, Chicago, Detroit, Philadelphia and Washington, DC, and those have worked very well for us."

bet.com is a recently launched portal that aims to attract two black segments, according to Stacey Turner, vice president of marketing for BET Holdings Inc., the site's parent.

"We are targeting the 18- to 24-year-old group and the 24- to 49-year olds," she said. "We have found that different searching habits exist between the two. The younger group is interested in music, entertainment and community, while the older is interested in news, health and fitness. Our marketing plan divides up the audience and we are meeting the needs of the broad spectrum."

bet.com is breaking into the Internet marketplace by leveraging its existing brand.

"We already have a name within the Black community," Turner said. "It is integral that we have a strong parent company. That provides leverage. We already have brand awareness and relationships already established and we have the capital to back us."

Another explosive demographic for on-line growth is the Latin American segment. According to estimates from Jupiter Communications, the number of Latin American Internet users will rise from 5 million to more than 9 million by year's end. Within three years, the company predicts the segment will account for 23 million online. Further, according to GartnerGroup, the Latin American B2B market reached $1 billion in 1999 and anticipates that figure will leap to $124 billion in 20004.

"To date, this market has been under serviced. Hispanic marketing is one of the fastest growing marketplaces online," stated Lara Migliassi, spokesperson for espanol.com. "The site, which is in Spanish, is primarily for Hispanics in the United States. Presently we are working on creating an English version of our product."

Since the beginning, the site has focused on ecommerce, according to Migliassi. "We try to offer product selections on behalf of all Hispanic groups; the audience is diverse. For example, musical tastes among the Hispanic segments differ, so we cater to all. We provide music, books, videos, and DVDs," she said. "Advertising is done through strategic alliances, such as Telemundo. Plus we promote ourselves in Spanish-speaking markets, such as New York, Dallas, Chicago and Los Angeles." Focus groups were held to establish what products attracted each segment.

latino.com is an English- and Spanish-language site aimed at U.S.-based Hispanics between the ages of 18 and 45. "We run radio ads to establish awareness," said Lavonne Luguis, president and chief executive officer. "We also work with outdoor billboards, subway advertising and banner ads.

"Right now this site is culturally relevant. We offer a job bank, job recruiting, email, personal ads, a reader's corner, recipes, trivia questions with prizes and weekly chats with celebrities or politicians," she said. "We are looking to establish products and services within our offerings. We are also holding an online sweepstakes where people have to register online to participate. In addition, we send out weekly newsletters in either English or Spanish, in HTML or plain text.

When designing Web pages for an ethnically-specific audience, it is important to pay attention television commercials and other advertisements that focus on that arena, advised Turodrique Fuad, creative director of Papermedia.com, a Web design firm. "For instance, if you are marketing to Asians, include photographs of Asian people on the site," he recommended. "You have to be very aware of the image you want and then you have to create it and market it properly."

New2USA.com has taken an innovative approach in its embrace of international online opportunities. The site caters to newcomers to the U.S.

"We work with relocation companies and universities," said Anton Abunssar, director or marketing and communications. "Our content, which is updated daily, helps to provide assistance with such tasks as getting a phone hookup, working with motor vehicle departments in obtaining a license, establishing a credit history or providing assistance with job hunting and interviewing.

"Our studies have identified an aggressive purchasing trend with this audience," he continued. "During a pre-defined time frame, this audience will need to purchase a home, buy a car, establish banking relationships and more, " he said. "To provide services, we try to give a 360-degree view of the U.S. We have a travel and transportation section, a finance section, immigration information, legal housing advice, health and safety tips and a focus on education and careers. We also have a link that allows our audience to select from 500 newspapers around the world, which helps them to feel closer to their homes."