Google Radio Ads Experiencing Early Troubles
An anonymous reader writes "Google's tech-heavy solution to advertising has worked wonders on the internet, and made it a friend to bloggers everywhere. The low-tech nature of traditional radio, though, has caused some conflicts with Google's radio ad service. The impersonal nature of online ads are very different than the one-on-one personalized service that radio advertising normally uses. While Google ads are running on some 700 radio stations, that's a very small part of the market. They are committed to improving, but onlookers think it will take a change in pitch. 'Whether Google can succeed in radio "is questionable, because you do need relationships with radio stations to give you something of value. If you don't have radio-focused personnel...you'll get the low-hanging fruit but may not be able to grow the market," said Maribeth Papuga, senior vice president and director of radio buying for Media Vest, a part of ad firm Publicis Groupe. "Their challenge is going to be having a broad enough list of markets and stations to make it a viable enough player on a national scale."'"
Considering the fact that Google invaded North Carolina for a data center employing ~200 folks and gets to escape property taxes and other state taxes for up to thirty years...they seem to be on a pretty sound business model. I can't imagine their radio business will fail considering the effectiveness of their other efforts. All it takes is money and they have plenty of that.
6 711064.htm .
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"In January, Google announced it would build the computer center and bring up to 210 jobs in four years to Lenoir, a community 70 miles northwest of Charlotte hurting from the collapse of its furniture industry. In exchange, Caldwell and state officials approved incentives that could be worth more than $260 million over 30 years."
This from the Charlotte Observer...don't know if you may need to register... http://www.charlotte.com/mld/charlotte/business/1
Incredible, 200 jobs gets them incentives worth $260 million over 30 years? Hell, they even got the elected county officials out there to help buy up the properties for their data center. The whole thing stinks on way too many levels. I guess I can rule out getting a job with them.
I reserve the right to think for myself. Others' opinions are optional. Puppy on lap = typos...not illiteracy.
The impersonal nature of online ads are very different than the one-on-one personalized service that radio advertising normally uses.
Don't you have that backwards?
The theory of relativity doesn't work right in Arkansas.
"Their challenge is going to be having a broad enough list of markets and stations to make it a viable enough player on a national scale."
Can you say college towns? I knew you could.
So, given what we know about Google, they will just buy/hire some radio-focused personnel. Its not as if they don't have the resources!
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microsoft gets in the sewing machine business
youtube gets in the pinball machine business
myspace gets in the newspaper business
seriously, what genius at google thought radio adverts were a perfect fit for that company?
intellectual property law is philosophically incoherent. it is your moral duty to ignore it or sabotage it
Old fashioned terrestrial radio is dead. Long live Satelite radio!
this Mark Cuban guy?
What?
"because you do need relationships with radio stations to give you something of value. If you don't have radio-focused personnel...you'll get the low-hanging fruit"
Why don't they just say Google needs to play the payola game. That's how radio has always worked.
Because I have a Sirius Radio, I haven't listened to a terrestrial radio station in over 2 years, before that I listened to CDs instead of radio in my car. In my home its music oggs, sirius, internet radio or CDs. There must be three or four dozen radio stations in town, but they all are worthless. Radio wave broadcasting is a dead industry.
The big news last night came by way of the AdWords Blog about Google making two big changes. As I explained in great detail over at Search Engine Land, the two changes have to do with "transparency" and "a new quality algorithm." In terms of the transparency, Google will be adding a quality score column, that includes a minimum bid CPC for all advertisers today or tomorrow.
260 million over 30 over 210 equals about 41k. sooooo.. yeah...
Isn't that completely the wrong way round? The whole point of Google's online ads are that they're personalised on a per-user basis, while radio ads have to use the "shotgun effect".
Radio is a dead medium. When was the last time you listened to the radio in your car, other than to be a host for your iPod? And when you did, did you leave the fscking commercials on? I think not. Let's review the list of places to listen to audio based entertainment in order of popularity and/or relevance:
1) MP3s and other compressed digital audio, iPod
2) Satellite Radio/Cable digital audio channels. and with no commercials!
3) low-power, local FM radio broadcast for iPod to connect to ancient stereo
4) CDs. hey they still sell them, don't they?
5) Magnetic tape. DAT/Cassette
6) Paper tape
7) Vinyl Albums
8) Sounds from the ass of a dead bear when it's carcass begins to out-gas from excessive bloating
9) Commercial Broadcast Radio
This is the NSA, we're gonna geet U h@x0r5! Also, what is a h@x0r5?
I run a few radio stations using the "google" automation system. Here's how it worked out... Scott Studios was purchased by dMarc broadcasting a few years back, which was an Up-and-coming conglomerate. They had quite the national ad base. Then google purchased dMarc, and thus the RevenueSuite system was born. Stations pay for the computers by playing ads from google on the air. After the computers are paid off (about 24 months later) the station can opt to keep in the RevenueSuite system and just get cash for unsold commercial inventory. It's rather cool actually, and may keep terrestrial radio alive, for a few more years anyways.
I think you bought the CO's story a bit too quickly. The real story goes something like this: under the standard tax rules, if Google invested $600M or so in NC they would pay $300M (!) in taxes. They got a $250M rebate so now they pay $50M. You didn't see similar stories about their Oregon datacenter because most of the taxes that were discounted in NC don't exist to begin with in OR. For example, in NC you have to pay (as a company) something called "personal property tax", plus there's sales tax, and in OR neither of these exist. Disclaimer: I'm neither a lawyer nor a tax accountant, but I know one ;-)
I don't care how sweet she sounds, I'm not buying Ensure, even if they play a personable ad for 60 seconds.
I do buy stuff off of Google ads when I'm looking for products because it's stuff I actually want to buy.
So why is Google into radio ads again? Broadcast is antithetical to their experience.
My God, it's Full of Source!
OUTSIDE_IP=$(dig +short my.ip @outsideip.net)
Businesses should not be forced to pay taxes because it only increases their overhead. An increased overhead means that their product costs more. This is why it is often said that businesses don't pay taxes, but merely collect them.
Libertas in infinitum