Content Matters

Today's New York Times describes how Google has begun testing a marketplace to sell print ads for newspapers.  Under this program, newspapers will make available extra inventory, which advertisers may bid on via Google's platform.  It's not an actual auction, in that the newspapers don't commit to running the ads.  Basically, advertisers may bid on various positions, then if the newspapers have the space, they can accept those ads.  On the surface, this program makes sense.  It extends the newspapers' ad sales teams to a national or global base of advertisers; like an airline selling empty seats at a discount, newspapers hope to convert available inventory to cash from advertisers whom they don't already reach.

However, this isn't Google's first foray into the sale of print advertising.  Business Week ran an article in March, describing  Google's unsuccessful experiment in buying and reselling (via auction) print space in various magazines. 

The Google initiative opens up print advertising to many companies who otherwise might not try it.  That's both a strength and a weakness.  Online advertisers, accustomed to PPC or pay-per-action models, have different goals and metrics than print advertisers.  Print advertising is often to gain awareness, not to trigger a direct response.  It will be interesting to see whether Google can make this test a success.  There's a market for local advertising, and it's possible that Google can combine this with local search to help a distinct group of advertisers reach their targets.  The challenge will come in targeting this offering to the right kind of advertisers, as the typical PPC Adwords buyer may not be a fit.