TargetSpot lets small businesses launch ad campaigns on internet radio via a full service online suite taking them from ad creation to media buying. There are many solutions like this for text or image advertising on the web, but the availability of an end to end radio service is something new.

There’s a suite of production tools and a targeting, campaign management and bidding system to determine who hears the message, where they hear it, how they hear it and when they hear it. Ad revenue is shared between TargetSpot and the participating broadcaster.

The company has funding from venture capitalists and CBS Radio to take it to the next stage. CBS Radio will use the technology on its music, talk, sports and news radio stations broadcasting live online.

Doug Perlson, TargetSpot’s CEO, tells us:

“TargetSpot democratises what has traditionally been the domain of large advertisers with big creative budgets. Until now, most local advertisers have largely been limited to yellow pages, inserts, direct mail and weekly newspapers. Because of production costs and an inability to properly target their advertisements to local audiences and programming, audio and video advertising has never been an option. TargetSpot changes that.”

TargetSpot has been in development for the past year or so and started from a need for an ad serving solution for CBS Radio streaming radio stations. TargetSpot plan to move into the streaming video advertising market later this year.