SES Chicago - December 7-11, 2009

May 12, 2009

First Newspapers, Then TV Now Google Drops Radio Advertising

Google may be the king of search advertising but it seems every other form of advertising has been a failure, as they plan to stop their radio advertising venture May 31, the Wall Street Journal reported.

First newspaper advertising was discontinued, then TV was stopped and finally radio had the plug pulled.

""Google is going to conquer radio," boasted the exuberant Chad" Steelberg of dMarc in 2006, the WSJ reported. Now three years later the effort has failed. Google just does not seem to be able to conquer the offline ad market like it has search.

Interestingly, Yahoo ranked number one for online display advertising with 13.2% compared to Google's 1.3% - though its does not sell display ads per se.

Posted by Frank Watson at 6:16 PM | Permalink | Comments (2)

February 12, 2009

Google Dropping Radio Ads, Selling Radio Automation Business

Spring has come a little early for Google, as their spring cleaning continues with the dropping of radio ads from AdWords and AdSense announced today, the company announced today.

The dropping of Print Ads last week and search box from Gmail, now this, will Susan Wojcicki, VP of Product Management be having a garage sale?

When the program first launched, Google saw the product as a sound and smart investment.

"Google Audio Ads brings efficiency, accountability, and enhanced ROI to radio advertising by providing advertisers with an online interface for creating and launching radio campaigns. You'll be able to target your customers by location, station type, day of the week, and time of day. After the radio ads are run, you will be able to view online reports that tell you exactly when your ad played," Inside AdWords noted.

But three years later that has all changed.

"So we have decided to exit the broadcast radio business and focus our efforts in online streaming audio. We will phase out the existing Google Audio Ads and AdSense for Audio products and plan to sell the Google Radio Automation business, the software that automates broadcast radio programming. Advertisers will continue to be able to use Google Audio Ads until May 31 and broadcasters will be able to publish inventory to Google until that date as well. We will work with partners to make sure that there is as little disruption to their business as possible and will work to find a buyer for the Google Radio Automation business," the Traditional Media blog stated.

At least they have given people some notice. I have a friend that just spent some money on developing radio ads to use on the product - has a little over three months to get a return on that investment. Meanwhile Google very subtley added the announcement that 40 employees from that product group would be laid off.

"We regret the impact these plans will have on the Googlers working on these projects. We hope to find other roles for the majority of the people concerned and will work to make that happen over the next couple of months. However, given that we are exiting the broadcast radio ad business and selling the Radio Automation business, we expect that up to 40 people may not be able to find other roles at Google."

In 2006 Google bought dMarc - the radio automation software company - for $102 million, we will have to see what they get when the divest themselves of it.

Posted by Frank Watson at 9:10 PM | Permalink | Comments (1)

January 29, 2008

SEW Experts: The Future of Search: All the Media That's Fit to Be Googled

The battle between search engines and human beings has moved to a new stage where online advertising and search ads are overtaking the search engine. In today's Search Engine WarGames column, "The Future of Search: All the Media That's Fit To Be Googled," Kevin Heisler looks at Google's forays into TV, radio, newspapers.

Posted by Kevin Newcomb at 12:00 AM | Permalink

May 15, 2007

Google Audio Ads See Broad Release

Google is in the process of making Audio Ads available to U.S. AdWords advertisers. The platform, which auctions off remnant inventory on radio stations, has been in beta since December, and was expanded in March.

Barry Schwartz has several screenshots of the interface at Search Engine Roundtable.

Audio Ads competitor Bid4Spots currently serves the U.S. radio market, and announced plans to expand its radio ad auction to the U.K. last week.

Posted by Kevin Newcomb at 2:00 PM | Permalink

May 10, 2007

Bid4Spots Radio Ad Auction Launches in U.K.

Bid4Spots, a competitor to Google Audio Ads, announced plans to launch an auction for remnant radio ads in the U.K. this fall. The company, which has been selling radio ads in the U.S. for two years, expanded into online radio ads in November.

The company holds weekly auctions for unsold inventory on more than 2,300 radio stations in the U.S. It uses a "reverse auction" format, where advertisers set a maximum CPM bid they are willing to pay, and the media owners compete for advertiser money, bidding down the price of available inventory until an advertiser accepts their bid.

A similar model will be used in the U.K. marketplace. Bid4Spots U.K. is being advised by U.K. radio specialist RadioWorks. Paul Mitchard, a U.K. radio advertising veteran, has been appointed to manage operations.

The reverse auction model works for radio stations, since any space not sold by the end of the week before it airs would otherwise go unsold. The stations can decrease the cost of ad space at their own pace, and can end the auction at will, so regular advertisers are less tempted to bypass regular contracts to see if they can get a better deal on auctioned ad space. It also keeps the final terms of the remnant sale confidential.

Advertisers are able to pick up radio spots at a discount, and not commit to long-term ad buys. They can also maintain a level of control over audience quality.

Google Audio Ads is an AdWords product created from Google's acquisition of dMarc Broadcasting. It is currently in beta in the U.S., with ads currently delivered to more than 800 stations in 19 of the top 25 markets. Google expects to significantly expand that footprint once the test is completed. Google also struck a deal with ClearChannel last month that adds more than 675 radio stations to the program.

Posted by Kevin Newcomb at 11:57 AM | Permalink

April 16, 2007

Google Audio, Clear Channel Ink Deal

Getting buried under the DoubleClick deal, Google and Clear Channel Communications Inc. also announced a long-term agreement Sunday to place advertising for its online customers on more than 675 Clear Channel radio stations. The financial terms of the deal are not available at this time.

''This radio partnership with Clear Channel is a pretty big statement that Google is in the radio industry to stay and have a big impact,'' said Drew Hilles, Google Audio's national sales director.

Google Audio advertisers will have the ability to access Clear Channel's national distribution system within a simple interface, which would offer access to 1,600 stations though the Audio Ads service. Targeting options will include location and specific time slots, as well as provide feedback on the campaigns.

Posted by Elisabeth Osmeloski at 10:22 AM | Permalink

March 14, 2007

Google Audio Ads Expands Beta

Google is expanding its beta test of audio ads, which began in December with a limited number of advertisers. The Audio Ads team issued an invitation to advertisers to join the beta test.

Ads are currently delivered to more than 800 stations in 19 of the top 25 markets. Google expects to significantly expand that footprint once the test is completed.

Posted by Kevin Newcomb at 9:08 AM | Permalink

February 9, 2007

Is Google Radio Sinking? DMarc Founders Depart

The founders of DMarc are leaving Google. That's the scoop from paidContent's Rafat Ali, who reports that brothers Chad and Ryan Steelberg, the company's founders, resigned amid tension over Google's approach to radio ad sales.

The Steelbergs joined Google when their automated radio ad placement company was acquired by Google a year ago for $102 million in cash plus the possibility of further payouts totaling up to $1.13 billion. If Valleywag's rumors are correct, the founders are now unlikely to see more than $200 million in earn-outs.

A Google spokesperson told Ali, "Google is committed to the audio business. We will continue to gather feedback during the Audio Ads beta test, and are happy with the progress to date."

edit: giving proper credit to paidContent, which had the scoop on this yesterday.

Posted by Kevin Newcomb at 10:10 AM | Permalink

January 12, 2007

Analyst Says Google/CBS Radio Deal Near

Google's foray into radio advertising is likely to get a whole lot bigger, if Merrill Lynch analyst Jessica Reif Cohen is correct in thinking a deal is imminent between Google and CBS Radio. According to Paid Content, Reif Cohen says the sticking point in the deal is likely related to control of ad sales and the size of a revenue guarantee Google would pay to CBS.

“We would expect a deal to include low quality Radio inventory for use with Google's dMarc service, but do not believe a deal for CBS's TV network or TV station advertising time is likely,” Reif Cohen wrote. “Assuming that an agreement included 10% of CBS Radio's advertising time, this portion of a deal could involve approximately $200mn in revenue.”

Posted by Kevin Newcomb at 9:26 AM | Permalink

November 28, 2006

Google Audio Ads Sign-Up Page Live

Google Audio Ads now appears to be opening to sign-ups, sort of. Googlaxy.com sent me a heads-up about three new URLS that are (somewhat) active:

I can't get the overview page to load, at the moment. The sign-up page takes you to a page that says "Create a Google Account - Audio Ads" at the top. These seems designed for those who don't already have some type of account with Google.

Since I do have a Google Account, I followed the sign-in link rather than try to create a new account. This sent me back to the Google Audio Ads home page, which -- of course -- wasn't loading.

However, if I went to my main Google Accounts page, then in the My Services section, I could see Audio Ads having been added. Clicking on that link took me -- yes, back to the non-functional Google Audio Ads home page.

Others might have more luck -- perhaps this is just rolling out. Information for advertisers already leaked out earlier today. Or possibly, someone's stumbled onto the sign-up that's only open (and working) for preapproved account holders.

Posted by Danny Sullivan at 11:13 PM | Permalink

Advertiser Details On Google Audio Ads

Donna Bogatin over at Digital Micro-Markets has posted what look to be PowerPoint slides designed to explain how Google Audio Ads will work for advertisers. The PowerPoint slides show how Google plans to bridge the advertisers with the consumers, how they deliver the ads to the radio and how many people Google thinks they can reach with the ads. As we reported earlier, we are expecting Google Audio Ads To Be Tested By End Of Year.

How does Google deliver radio ads?

Step 1) Station inventory management system and studio log.

Step 2) Google links electronically with stations to search for inventory that fits advertiser criteria.

Step 3) Inventory is paired with advertiser requests.

Step 4) Google delivers automated order to radio station and reserves inventory.

Google Audio's Current Footprint: * 800+ stations * 4200 stations targeted * Coverage in 19 of the top 25 markets

Posted by Barry Schwartz at 10:34 AM | Permalink

November 8, 2006

Google Audio Ads To Be Tested By End Of Year

Google positioning for move into U.S. radio from Reuters has Google saying that Google Audio Ads will begin testing by the end of the year. Google says over time, up to 1,000 Googlers might be involved. The article, as does Google to Boost Scope Of Radio-Ad Sales Business from the Wall Street Journal , touches on the idea that a deal involving a radio player like Clear Channel might kick start things. But rumors of talks remain that, rumors. Meanwhile, I still find myself amazed that Google is doing absolutely nothing in terms of podcasts. Online video, it can't do enough about, in hopes of grabbing ad money. But online audio it seems content to ignore, instead heading off into offline audio with radio. Setting up Google Audio feels like a missed opportunity.

Postscript: Donna Bogatin over at Digital Micro-Markets dropped me an email to say she wrote about this yesterday, before the Reuters story came out.

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