Google is opening up Print Ads, an experimental program that allows online advertisers to place ads in newspapers, to U.S. advertisers and agencies that already use Google's AdWords platform. The program is designed to attract advertisers who have rarely or never placed print ads before. "We believe newspapers are a critical component in the marketing ecosystem,” said Spencer Spinnell, head of sales strategy for Google Print Ads. “More than 50% of adults read newspapers every day, and marketers are always trying to reach new customers." An initial test in November linked about 100 advertisers with 50 dailies. There are now 225 papers involved, and they have a combined circulation of almost 30 million. The program lets companies bid on ad sizes, sections and dates. The papers decide which bids to accept, and then the program automates billing and payment. Print media are struggling to stem the tide as more and more advertisers forgo newspapers in favor of the Internet. "It's obviously a challenging time, so any new tools, any messages, any education to stretch the reach of our offerings is very exciting," said Mei-Mei Chan, vice president of advertising at The Seattle Times Co. "What Google brings is a whole cast of clients who are typically not traditional media advertisers."
Sources: Wall Street Journal, New York Times, Business Week
Commentary: Google Gets Over 75% Of Search Spending In Q2 • Google Expecting Yet Another Stellar Growth Quarter • Yahoo to Announce New Targeted Ad Tool
Stocks/ETFs to watch: Google Inc. (NASDAQ:GOOG). Competitors: Yahoo! Inc. (YHOO), Microsoft Corp. (NASDAQ:MSFT). ETFs: First Trust IPOX-100 Index (NYSEARCA:FPX), First Trust Dow Jones Internet Index (NYSEARCA:FDN), Vanguard Information Technology ETF (NYSEARCA:VGT)
Earnings call transcripts: Q1 2007
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