Now, the upcoming merger between alternative chains New Times Media and Village Voice Media is expected to expand the availability of free classifieds.

New Times plans to use its pending merger with Voice Media--each a leading publisher of free alternative weeklies--to expand its network of free on- and off-line classifieds into New York, Los Angeles, and other major markets where Voice Media is positioned.

At the same time, alternative and mainstream publishers alike are betting on New Times' free classified service, titled Backpage.com, to attract advertisers willing to pay for a better position amid all the free postings. Publishers also use Backpage to generate revenue via Web-to-print upsells.

Indeed, Backpage.com's network will have a presence in over 50 U.S. markets by 2006, according to New Times Senior Vice President Scott Spear.

"We don't expect to ride in overnight and rescue newspaper publishing," said Spear, "but papers are excited by the idea of presenting an alternative to Craigslist."

Recent adopters of Backpage's classified ad bulletin board include Ohio's Columbus Dispatch--owner of various community papers, magazines, and TV stations--and Boston's Weekly Dig, which is owned by Boston magazine parent Metro Corp.

To generate revenue, the Dig offers online advertisers more prominent positioning for 50 cents--and, for an additional $15, it will also place an ad in its print edition. This approach is consistent with how most papers are attempting to capitalize on Backpage, according to Jim Townsend, editorial director of consulting firm Classified Intelligence.

"With no other choice, because of Craigslist, papers are trying to figure out how to turn free [classified advertising] into a real business," Townsend said.

"The model is," said Townsend, "you create a platform so private parties can create free ads, but around that there will be opportunity for upselling. Free is nice, but it quickly becomes a very noisy place, so advertisers will pay to get noticed."

The Backpage model is especially effective when it comes to Web-to-print upselling, added Townsend. "Backpage has been able to upsell in print in a very significant way," he said. "That combination becomes a very attractive proposition to advertisers."

And New Times' Spear insisted it is only a matter of time before the Village Voice and its sister newspapers adopt Backpage's platform. "It's understood they're going to launch [Backpage] after the merger," said Spear.

Village Voice CEO David Schneiderman said he could not discuss Backpage until the merger is finalized, which most likely will be early 2006.

Village Voice Media controls six free weeklies, including New York's Village Voice, LA Weekly, and Seattle Weekly, while New Times runs the San Francisco Weekly and the Miami New Times, among others.

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