Internet giant Google is getting into the TV ad business. NBC Universal has agreed to sell the company a small amount of time on some of its cable networks which Google will then resell through its Google TV Ads program. Google is attempting to connect television networks with internet companies who have not previously advertised on TV. By calling on its large database of companies who already advertise on the search engine via Google Ad Words, Google hopes attract smaller companies who only advertise online to experiment in TV advertising. Google has had limited success so far as it has been unable to purchase any advertising air time, known as inventory. The deal with NBC represents the first chunk of time they have been able to purchase from a network, despite it only being a limited amount.
Google is already selling time on Dish Network (a national satellite TV provider) and a small California cable provider, but they hope this NBC deal will allow them to reach a much wider audience. Despite many large media companies not wanting to work with Google, this deal could finally open the door for them to gain a larger presence in the television world. However, if the ads fall short of expectations, Google could find themselves struggling to make deals with other large networks in the future.
Source: NY Times
Tags: Advertising, Google
October 1, 2008 at 5:18 pm
[...] expands its TV advertising In a previous post I discussed how Google was jumping into the television ad market. Following their deal with NBC [...]