• by Joe Mandese  @mp_joemandese, October 30, 2006

WPP and Interpublic, two of the world's largest buyer's of media, are backing a promising new system transacting media and other advertising services online. The two big advertising agency holding companies, along with CBS Corp., this morning announced a major round of funding for Spot Runner, a company that has been deploying a Web-based system for planning, buying and even creating TV advertising. Unlike other online media brokering systems, Spot Runner's approach is to focus on fulfilling local broadcast and cable ads for smaller advertisers that may not have the resources to retain an advertising agency to handle their TV advertising buys.

Spot Buyer is also in the process of enhancing its system to automate planning, buying and creative execution for emerging TV advertising platforms such as online video, video-on-demand and IPTV (Internet Protocol Television).

In statements, WPP CEO Martin Sorrell and Interpublic Chairman-CEO Michael Roth implied Spot Runner's system represents a way for big agencies to expand their base at the local, retail level.

The timing of the deal is especially interesting for WPP, which Friday reported weak third quarter results, especially for its core media and advertising services. During the quarter, revenues for WPP's "advertising and media investment management" services rose only 1.2%, which compares with overall company growth of 4.6%.

While it was not exactly clear how an investment like Spot Runner might figure into the long-term strategy of big agency companies like WPP and Interpublic, WPP's Sorrell has been keen on higher rate of growth from emerging markets, including geographic ones like China and media such as digital and out-of-home. The Spot Runner deal suggests there also is a focus on developing smaller, retail-oriented advertising accounts.

WPP, Interpublic and CBS were part of a new round of funding that raised $40 million for Spot Runner.

Spot Buyer is also in the process of enhancing its system to automate planning, buying and creative execution for emerging TV advertising platforms such as online video, video-on-demand and IPTV (Internet Protocol Television).

In statements, WPP CEO Martin Sorrell and Interpublic Chairman-CEO Michael Roth implied Spot Runner's system represents a way for big agencies to expand their base at the local, retail level.

The timing of the deal is especially interesting for WPP, which Friday reported weak third quarter results, especially for its core media and advertising services. During the quarter, revenues for WPP's "advertising and media investment management" services rose only 1.2%, which compares with overall company growth of 4.6%.

While it was not exactly clear how an investment like Spot Runner might figure into the long-term strategy of big agency companies like WPP and Interpublic, WPP's Sorrell has been keen on higher rate of growth from emerging markets, including geographic ones like China and media such as digital and out-of-home. The Spot Runner deal suggests there also is a focus on developing smaller, retail-oriented advertising accounts.

WPP, Interpublic and CBS were part of a new round of funding that raised $40 million for Spot Runner.