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TheStreet Open House

AOL Mirrors TV Buying Model

AOL, Inc. (NYSE: AOL) today announced it will offer marketers guaranteed audience delivery for online video advertising campaigns bought across its properties. This is the first time that online GRPs – based on audience demographics, rather than clicks or impressions – are being used as the basis for advertiser guarantees on the Web. AOL will leverage Nielsen Online Campaign Ratings TM reach, frequency and gross rating point (GRP) measurement to determine how well it delivered ads to the desired target audience. As the digital content NewFronts approach, AOL is the first major publisher to use a TV-based guarantee model for its online video inventory. Online video ads are one of the fastest-growing formats: eMarketer predicted a 52% increase in online video ad spend for 2011.*

“As marketers and advertisers increasingly shift dollars from traditional television advertising to the Web, partnering with Nielsen puts AOL in a unique position to offer a more cost effective mechanism for reaching targeted audiences and a better or equal brand lift, reach and recall,” said Ran Harnevo, Senior Vice President, AOL Video. “AOL has a significant volume of high-quality content valued by advertisers and we are excited to take the lead on showing marketers the value and differentiated results we can guarantee.”

“With online video increasingly playing a role in traditional TV Upfront buying and selling, consistent cross-platform metrics are becoming more and more critical to proving the true value of advertising on a site, in terms that are familiar to brand marketers,” said Steve Hasker, President, Media Products and Advertiser Solutions, Nielsen. “This is the first time that online GRPs – based on audience demographics, rather than clicks or impressions – are being used as the basis for advertiser guarantees on the Web. We are pleased that AOL, the first major publisher to use an audience demo-based guarantee model for its online video inventory, turned to Nielsen’s highly accurate reach, frequency and online GRP measurement to drive increased confidence in their platform as a brand medium. We look forward to working with them to demonstrate their ability to effectively deliver on their clients’ goals.”

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