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AOL, in a bid to grab a bigger share of the internet advertising market, has agreed to buy TradeDoubler for $900 million.
TradeDoubler is a Swedish company that matches internet advertisers with online media owners and ecommerce sites, and the deal is AOL’s first major acquisition since the company shifted to a free, advertiser-supported portal, writes The New York Times.
TradeDoubler works in a slightly different way than AOL-owned Advertising.com. While Advertising.com buys online media owners’ advertising space and selects ads to fill it, TradeDoubler works on behalf of the marketers, gathering ads and allowing media owners to choose which ones to run.
The article uses the example of an online electronics retailer who could select advertising from a computer maker. The companies would share revenue from any transaction that resulted from clicks on the ad.
While TradeDoubler operates in 18 European countries, its reach outside of Europe is limited.
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