John Battelle mentions Google Radio taking off in the next 3 months to be a global platform.  I wonder how they’re going to report on click through, frequency, reach and exposure of a radio ad?

According to CNET,

"We are in the process of introducing AdSense for radio, which is essentially the integration of the dMarc console and management tools into our advertising system. There are a number of very interesting deals being negotiated," Schmidt said. It’s a typically ambitious effort for Google, which got into the radio business in January with its $102 million acquisition of dMarc Broadcasting, a company that had an automated radio advertising system."

"…So why the excitement? dMarc automates the process of buying ads, placing them in time slots and tracking them, which is usually done by ad agencies over the phone, experts said. Automation could lead to efficiency, and that means lower prices for advertisers while bringing in more sales for the radio stations".

Ok, that explains the tracking method, dMarc.

"The Google-dMarc system would be a big change from the current ad-buying system, where ad salespeople establish personal relationships with radio stations, Fullam said. Advertisers could better quantify how well an ad campaign is doing and modify the ads quickly depending on the response rate from listeners, he said.

"It gives advertisers enormous capabilities at the touch of a finger, capabilities that have never existed before for advertisers," Fullam said. "Creating a whole new advertising base and delivering more measurable results is extremely encouraging for advertisers and radio."

It appears Google getting into Radio Advertising is good thing for the Radio Advertising industry.

"More than half of the advertisers dMarc has talked to have never been called on by a radio rep, he said. "That’s untapped potential," Fullam added. In addition, Google’s dMarc can help radio stations sell ads for airtime that would otherwise go wasted, known as unsold or "remnant" inventory.

The system most advertisers used for radio ads was pretty bad anyway - Google’s entrance into Radio Advertising can only improve the medium.

"Why it raised so many eyebrows when the deal first came down is the fact that it opens the door to people thinking that radio ads would become a commodity; you put a bid in and get a buy," she said. "Most advertisers work through brokers, and (Google’s automated system is) not the form most agency buyers would follow because it doesn’t give you any choice to determine the real value of the media buy."

The radio advertising industry will have to adjust to changes just like the rest of advertising has had to do - look at all the online spend on Paid Placement - and away, more and more, from TV Advertising. 

"Google contacted Greater Media a month or so ago and the two have since signed a one-year, nonexclusive contract, he said. Greater Media should be running ads by Google within the next 60 days, he added. Greater Media has 19 radio stations in its network, but Fullam said he did not know how many would be running Google ads. "

At least we’ll be able to get a taste of the initial results of running Google powered Radio Advertising ads in the later on this year.  I think your going to see that it’s going to be much easier to run an ad on radio (less complexity - more transparency) and much better measurement than what advertisers have been accustomed to.