Google trials Newspaper Ad Sales

US newspapers, under pressure from an advertising exodus online, have decided to consort with the ‘enemy' in a Google test that allows customers to buy space in 50 top US titles.

The trial is limited to a small group of 100 advertisers initially but, if successful, will be rolled out next year. The newspapers involved include those owned by Gannett, Tribune Company and the New York Times.

The system will work similarly to Google's AdSense which sells ad space on thousands of websites via online auctions. Unlike AdSense, however, the newspaper program will enable advertisers to pick specific newspapers and even specific sections of papers. The publications may reject ads that do not fit or do not meet standards of taste and can set prices on which advertisers can bid.

Google will not earn anything from the test, but will take a cut of the advertising revenue when the service is opened up to all-comers. The company keeps around 20% of revenue for internet ads it places.

Update by Sunny: Well, i personally think that Google is on a buying spree and is now focussing on consolidating offline media by bringing Print Media under its 'Big Umbrella' of services. Only time will tell where they reach !!

Source: WARC News