Bid4Spots, the online auction company that began reverse radio advertising time in the US, lately announced the launch of a new reverse auction marketplace for radio airtime in the United Kingdom.
Bid4Spots, based in Encino, California, the company that introduced a reverse auction marketplace for last minute radio airtime to the US, recently announced that it is bringing its successful reverse auction marketplace for last-minute radio airtime to the United Kingdom.
The company says the U.K. auction was a response to a request from commercial broadcasters there, who evaluated various electronic platforms and chose Bid4Spots for its innovative approach to selling inventory.
The company launches in the UK with the first auction on 28 June and weekly auctions will then take place each Thursday.
The company faces potential competition from Google, which last year purchased dMarc Broadcasting in a bid to enter radio ad sales. So far, however, implementation of the Google system has been limited.
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Bid4Spots transforms the often ineffective process of buying and selling last-minute radio spots with the industry’s first CPT-based reverse auction.
In the reverse auctions, radio stations compete for advertisers’ pounds and bid the ad rates down. Advertisers and agencies gain simple access to radio at competitive rates. Broadcasters get an easy, flexible way to sell last-minute airtime, increase revenue and attract new advertisers.
Bid4Spots employs a reverse auction model to allow broadcasters to compete for advertisers’ budgets. Where a standard auction invites the buyers to do the bidding and the highest price wins, in Bid4Spots’ reverse auctions, the sellers do the bidding and the lowest price wins. In this case, advertisers are the buyers, radio stations are the sellers, and the “price” is the CPT – Cost per Thousand.
Bid4Spots UK is run by AuctionMedia, which is being advised by UK radio advertising specialist RadioWorks, with Paul Mitchard, a radio advertising veteran, previously the Head of Commercial Scheduling for the UK’s biggest radio group, has been appointed to manage operations.
Bid4Spots says its U.S. marketplace for terrestrial radio is currently used by more than 2,300 radio stations nationwide, more than 1,300 advertisers and more than 260 ad agencies participating.
Bid4Spots CEO Dave Newmark said: There is a huge need for a solution that improves the process of buying and selling last minute radio airtime.
Mitchard added: We are bringing something entirely new to radio airtime sales. Getting into any media at short notice in the UK has always been challenge but with bid4spots advertisers gain access to late availability airtime at potentially lower costs.
Bid4Spots facilitates reverse auctions for buying and selling advertising for both terrestrial and Internet radio. Radio stations, advertisers and ad agencies can sign up at http://www.bid4spots.co.uk.