Wow. Google is to acquire dMarc Broadcasting,
a company that puts ads into radio stations, paying up to $1.1 billion for it.
Google plans to distribute AdWords via radio this way. Says Google VP of advertising sales Tim Armstrong in the press
release (and here at Google):
"Google is committed to exploring new ways to extend targeted, measurable
advertising to other forms of media," said Tim Armstrong, vice president of
Advertising Sales, Google. "We anticipate that this acquisition will bring new
ad dollars and accountability to radio by combining Google’s expansive network
of advertisers with dMarc’s talented team and innovative radio advertising
technology. We look forward to working together to continue to grow and improve
the ecosystem of the radio industry."
Google is to pay $102 million up front as part of the deal, with a maximum
amount of $1.136 billion possibly paid over the next three years. The
acquisition is expected to close in the first quarter of 2006.
Guess anyone still entertaining the notion of Google as a technology company
versus a media company can put that to bed. Putting ads on radio isn’t really a
technology business. Nor is it central to that mission of organizing the world’s
information. Neither is putting ads into print or slapping them up all over the
web, either
I wrote earlier that Google’s philosophy
page needed
some changes to keep up with the times. In particular, that famous mission that
currently reads:
Google’s mission is to organize the world’s information and make it universally
accessible and useful.
Really ought to say:
Google’s mission is to fund and organize the world’s information and make it
universally accessible and useful.
Because the ads to little to organize anything. At best, they can be argued to
help fund information (along with a lot of crud — I just saw an AdSense ad
promising "AdSense Ready Content: Over 300 premade websites ready. Immediate
download! 1000’s of pages."
Postscript from Gary:
Here are a few facts about dMarc that I’ve learned from perusing their web site:
- Although I wouldn’t doubt that Google goes out one of these days a purchases radio stations, dMarc doesn’t own any radio stations they provide the advertising and programming software.
- They also have their own advertising network that you can learn about their network here. This page explains how the dMarc tech can be used to target an audience.
- dMarc has more than 4600 radio stations using it’s “digital trafficking” (ad scheduling) and “studio automation” software.
- dMarc used to be in the online ad business. From their web site, “In 1998, dMarc management launched an online advertising sales and media group, 2CAN Media, which became the 3rd largest ad network on the Internet, which represented marquee clients such as Better Homes and Gardens, MotorTrend, and Jacor Communications (later acquired by Clear Channel Communications). 2Can Media was later sold to CMGi, managed under Engage Media.”
- Learn more about dMarc software here.
Postscript 2 from Gary:
In a report to clients, Benjamin A. Schachter from UBS Investment Research writes,
The key takeaway from this transaction is that it highlights GOOG’s intention to export its advertising solutions across all forms of media. We think The Street too often looks at GOOG’s product pipeline as a means to diversify revenue, when it is really a means to increase distribution of ads. Increasingly, these ads will be positioned on non-PC devices, through radio, video, mobile, etc…
Related reading
IWD 2018: Eight SEO ladies give their advice on being a woman in search
In honor of International Women’s Day 2018, we wanted to highlight the perspectives of women working in SEO, and how – if at all – they think gender affects the industry and the work that they do. Search Engine Watch spoke to eight successful ladies in SEO to find out their thoughts and advice on being a woman in SEO.
Ranker: How to make a Google algorithm-proof website
Any SEO or webmaster who has ever had a website affected by a Google algorithm change – or feared being affected by one – has probably wished that they could find a way to make their website “algorithm-proof”. One site believes it has found the formula.
Mystified by martech? Introducing the ClickZ Buyers Guide series
Search Engine Watch sister site ClickZ has just launched the first report in its new series of buyers guides, which aims to to disentangle and demystify the martech landscape for marketers.
Pricesearcher: The biggest search engine you’ve never heard of
If you ask Siri to tell you the cost of an iPad near you, she won’t be able to provide you with an answer, because she doesn’t have the data. Until now, a complete view of prices on the internet has never existed. Enter Pricesearcher, a search engine that has set out to solve this problem by indexing all of the world’s prices.