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Business: Markets

Major tabloid to launch online classified ads on revamped website

Classified ads have long been a major source of income for local newspapers. However, when it comes to national tabloids they are usually just a minor source of revenue, with quarter, half and full page ads from national advertisers normally the big earners. However, that is all set to change as news emerges that The Sun is to move into the online classifieds market.

Launching a revamped website next month has given the tabloid"s owners - News International - the opportunity to incorporate online classifieds into the new format, and allow it to compete against its main rivals The Daily Mirror, as well as the myriad of local newspapers' online offerings, who are already struggling to protect their lucrative advertising revenues.

The new local feature on the revamped site will be known as My Street, and as well as classifieds will offer readers a free personalised homepage, including maps, for the area in which they live. If they don"t fancy a trip down to their local hostelry they can join in the virtual pub discussion area, opt to join resident"s mailing lists and also find a partner in their locale using the online dating service. The Sun hopes that ads for local companies, such as hairdressers, builders and window cleaners and a property section will generate significant revenues.

Plans for the revamped website will be quite fluid and The Sun hopes to be responsive to requests from readers as to what they will offer; other ideas being worked upon include email alerts for sports and entertainment news and a "Sun Justice" area where local criminals are "named and shamed" and alerts posted regarding local con-men and other potential criminals.

The abundant new My Street content is designed to attract more Sun readers to their online offering. Currently, almost 4.4 million of their traditional print readers don"t visit The Sun website, with a significant proportion of those - 2.6 million - not using the internet at all, according to data prepared by TGI Net. News Group Digital, who commissioned the research, estimate that only 800,000 people use the Sun online and they are hoping that the revamped website will significantly increase those figures. They will also target smaller local companies who currently use

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