Just three months after Gannett announced an aggressive digital marketing campaign aimed at small and mid-size advertisers, Google is preparing its own local-ad assault -- one that could launch as soon as next month.
Google wants more merchants to spend on digital ads, including on its leading search engine, where 20% of searches are for local information, according to a Wall Street Journal story this morning. Local digital-ad spending last year reached $21.2 billion, a figure expected to jump more than 12% annually, according to BIA/Kelsey, a local-media advisory firm cited by the WSJ.
The search giant's push comes after GCI disclosed plans in late February for a new digital marketing service for local businesses -- one Corporate expects will generate $275 million to $350 million in annual revenue within three years.
An the upper end of that range, it would be GCI's single-biggest source of new revenue as the company hopes to get revenue growing again by 2015 -- though at low single-digital rates of 2% to 4%.
Wall Street isn't expecting much GCI revenue growth in the near future. On average, analysts are forecasting $5.3 billion this year, up less than 1% from 2011. Their 2013 forecast is for no growth.
Google's project, according to today's report, combines several products and services aimed at small businesses under a single banner. It's based on a mix of internally developed software and recently acquired technologies Google hopes eventually will bring in billions of dollars a year in new revenue.
But the company has "struggled to get a meaningful piece of the market," the WSJ says. In 2010, it hired hundreds of people to call stores across the country to pitch ads that would appear on Google Maps, but the ads were later discontinued.
The search giant's push comes after GCI disclosed plans in late February for a new digital marketing service for local businesses -- one Corporate expects will generate $275 million to $350 million in annual revenue within three years.
An the upper end of that range, it would be GCI's single-biggest source of new revenue as the company hopes to get revenue growing again by 2015 -- though at low single-digital rates of 2% to 4%.
Wall Street isn't expecting much GCI revenue growth in the near future. On average, analysts are forecasting $5.3 billion this year, up less than 1% from 2011. Their 2013 forecast is for no growth.
Google's project, according to today's report, combines several products and services aimed at small businesses under a single banner. It's based on a mix of internally developed software and recently acquired technologies Google hopes eventually will bring in billions of dollars a year in new revenue.
But the company has "struggled to get a meaningful piece of the market," the WSJ says. In 2010, it hired hundreds of people to call stores across the country to pitch ads that would appear on Google Maps, but the ads were later discontinued.
So now what happens to all of the "digital sales specialists" Gannett is hiring?
ReplyDeleteThe smart ones are applying to Google instead.
ReplyDeleteAre they hring?
ReplyDeleteThis comment has been removed by the author.
ReplyDeleteThey're always hiring. But their process is llloonnnggg. If you're near the end of your savings, or out of Unemployment, I suggest applying somewhere else.
ReplyDeleteI just saw an article on MSNBC saying 4 out of 5 Facebook users have never bought any product or service from a Facebook ad. Good luck with your ad blitz!
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