Google will finally give its dMarc acquisition a workout as it disclosed an agreement with XM Radio to provide targeted advertising to its listeners.
Advertisers on Google will be able to reach XM’s non-music listeners as part of a new agreement between the two companies. They have been testing the solution for several months.
Those advertising clients will have an automated method of placing audio ads via dMarc, a media ad network Google purchased in January 2006. AdWords clients should see general availability of the service in the fourth quarter of 2006.
Google plans to integrate the dMarc platform into AdWords. Clients can place audio ads for delivery to satellite and terrestrial radio listeners. Current dMarc customers can do so already.
Google also noted that dMarc simplifies the process of sales, scheduling, delivery, and reporting for radio ads. On XM, Google’s technology “automatically schedules and inserts advertising across XM’s non-music commercial channels, helping to increase revenue with a wealth of new advertisers, while decreasing the costs previously associated with processing advertisements.”
The technology will be tested in the marketplace as Google and its advertisers monitor how effectively Google can target ads to a listening audience. A successful run will benefit XM with much-needed additional revenue, while Google can count the deal as a substantial broadening of its existing advertising network.
The announcement today marks another step toward more focused advertising methods. Google’s wild success with contextually-targeted paid search advertising that is measurable and effective has yet to be duplicated across broadcast media. If they can accomplish this with radio, perhaps television will be the next stop for Google and its ad network.
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David Utter is a staff writer for Murdok covering technology and business.
