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Monday, November 06, 2006

Google expolits the offline advertising medium $$$

Via an Alpha test program, Google will offer some of its Adwords customers a chance to advertise in newspapers in a similar way to how they currently advertise on the web. This is Google's first step into the sale and placement of display advertising in newspapers and sees the company make a shift from its online focus to traditional advertising. The platform enables advertisers to select available inventory and upload their artwork, while publishers then decide whether to accept their offers.

The initial test takes place across US participants including Chicago Tribune, The New York Times and the Washington Post. The search engine thinks newspapers and other offline media can extend their reach by adopting low-cost ad buying models developed online. It is planning to start trials of an online brokerage for radio ads by the end of this year.

"This is money that our advertisers would spend with us if we had the online inventory for them to spend it on", said Tom Phillips, Google's director of print advertising.

"For advertisers, it gives them access to a network of newspapers through an online interface and the ability to potentially reach a new customer base," Spokesman Michael Mayzel told Reuters.

It does seems that this wiil be initially tailored for small advertisiors who wish to appear on classifieds. Google is offering the service for free during the tests, but plans to take a “modest” commission from ad sales if the system goes live.

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