In an effort to snare more of the automotive advertising dollars migrating online, NBC Universal is buying a sizable stake in DriverTV, a Web site and video-on-demand channel that specializes in videos aimed at car shoppers. NBCU is paying about $6 million for a 35% stake in DriverTV, which has about $8 million in annual revenue, according to people familiar with the matter. Currently all DriverTV's ad revenue comes from car makers, but the company, which is partly owned by the TV- and ad-production firm Radical Media, is hoping eventually to attract advertisers from other auto-related industries such as insurance. Unlike most print and TV ads, each video can generate multiple revenue streams. First, car makers such as General Motors, Ford Motor and Toyota Motor pay Radical Media to create the three-minute narrated videos, which highlight individual lines of cars and their features, from dashboards to headlights. Then, they pay DriverTV whenever someone clicks on the video. Car makers can also buy banner ads on the site. The videos are slickly produced and promotional in tone. The voiceover with a video on GM's 2008 Cadillac DTS, for instance, says "all DTS models feature sophisticated design." The deal is part of NBCU's plan to buy stakes in a variety of digital properties as a way to get a bigger piece of the growing digital-ad pie.http://online.wsj.com/article/SB120571463040740423.html?mod=rss_media_and_marketing
http://www.lostremote.com/2008/03/16/nbcu-buys-one-third-of-drivertv/
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