Google's Alliances with Viacom & News Corp: Revolutionizing Online Ads, Slides of Fundamentals of E-Commerce

Download Google's Alliances with Viacom & News Corp: Revolutionizing Online Ads and more Slides Fundamentals of E-Commerce in PDF only on Docsity! Google and Viacom Offline, TV and other traditional media have enormous reach. But online MTV.com, for example, is just another website and has nothing like the reach of a YouTube or MySpace Video. Viacom could get reach across the Internet via the “head” (Google Video) and throughout the “tail” (the Google distribution network) and offer a pretty strong proposition to advertisers accordingly. Online video sites such as MySpace, Yahoo! Video, YouTube, AOL Video and others are effectively nascent, on-demand TV networks. Docsity.com Google and Viacom New Google E-Service: Click-to-play video ads for AdWords In an experment on selected (not all) premium video content, Google Video is offering users the ability to watch that content, which would otherwise cost from $1.99 to $14.99 without having to pay. An advertiser banner appears at the top of the screen for the duration of the stream/show. See example: http://video.google.com/videoplay?docid=-77871916474398072&q=type%3Asv_askthebuilder This development marries Google Video's recent trial with ad-supported premium content with Google’s Click to Play advertising. The Viacom content will motivate the click that will show the ad. How this gets tied into AdSense/AdWords isn’t yet clear but its probably the same rules/terms for Click to Play ads. Docsity.com Google and News Corp. - Google Inc. reached a deal with the owner of MySpace.com to pay at least $900 million in shared advertising revenue and become the exclusive search provider for the popular online hangout. - Under the multiyear deal, News Corp.'s Fox Interactive Media unit will add Google search boxes to MySpace and other sites, likely by the end of the year, and Google will provide search results and keyword ads targeted to people's search terms. Google will also get first rights to sell any display ads not sold by Fox directly. - Because the primary reason people leave MySpace now is to conduct searches on Google, according to Fox executives, letting MySpace users enter such queries directly on the site allows it to retain visitors longer and thus boost its advertising potential. - But just as importantly for Google, the deal lets the search company benefit from queries at MySpace instead of seeing those ad dollars go to rivals Yahoo Inc. or Microsoft Corp.'s MSN. Docsity.com Google and News Corp. - Google's payments, which are contingent upon Fox achieving certain traffic and other milestones that Google expects Fox to exceed, are expected to start in early 2007 and run through the second quarter of 2010. - Driven largely by word of mouth, MySpace has rapidly risen to become the second-busiest site in the United States, behind Yahoo, according to comScore Media Metrix. It has about 100 million registered users, about 90 percent in the United States. - MySpace offers a mix of features _ message boards, games, Web journals _ designed to keep its youth-oriented visitors clicking on its advertising-supported pages. Users stay connected by adding others as "friends" and expand their networks by meeting friends of their friends. - Fox Sports is not included because News Corp. already has a deal with MSN. Docsity.com Google and News Corp. - Google and MySpace have been developing similar services, including Web journals, video and instant messaging. MySpace is planning to develop a browser toolbar that will integrate Google searches. - MySpace currently uses search results from Yahoo Inc. under a smaller deal reached before News Corp. bought MySpace and Yahoo acquired search-ad company Overture Services. - Danny Sullivan, editor of the industry newsletter Search Engine Watch, said Google made the most sense as a partner because both Yahoo and MSN have competing social-networking services. - Tim Armstrong, Google's vice president of advertising sales, said Fox sales representatives will likely target large companies, while Google focuses on small and medium-sized businesses. He said advertisers will have a choice of targeting MySpace specifically or reach Google's broader ad network. Docsity.com