• by Shankar Gupta , December 8, 2006

Google has started inviting a limited number of search advertisers to participate in an expanded test of its radio advertising program, the company said Thursday. The new effort marks the company's full integration of radio ad firm dMarc, acquired almost one year ago.

The test, which ultimately will encompasses hundreds of stations nationwide, is already underway in some markets, according to Josh McFarland, a member of the Audio Ads Team. "Over the last year, we've been partnering with both terrestrial and satellite radio stations across the U.S. so that our advertisers have many options for broadcasting their ads," he wrote on the Google AdWords blog. He said hundreds of stations have already signed up for the test.

Some local station owners have indicated concern that Google's entry into the market would drive down the prices they could charge for ads. But analyst Greg Sterling, principal for Sterling Market Intelligence, said that if anything, Google's participation might drive ad prices higher. "It's quite possible that you'll get a new class of advertisers trying radio advertising," he said.

Google's move into radio ads is part of the company's ongoing effort to make inroads in traditional media. In February, Google began testing magazine ads--although a company executive later said results had disappointed. Last month, Google revealed a plan to test ad sales in newspapers. Company executives have also hinted at TV ads.