DoubleClick Divides Its Media Business, Plans LayoffsDoubleClick Inc. is reorganizing its media business in the United States into two distinct networks and will cut about 10 percent of its workforce worldwide, the company said yesterday.
In the United States it now will offer the DoubleClick Brand Network, which will focus on branded sites, and the DoubleClick Audience Network, which will focus on audience reach and targeting, the New York company said.
DoubleClick, an ad targeting network, plans to have one sales force sell both networks' products.
DoubleClick would not specify how many people would lose their jobs through the restructuring but said that the majority of the cuts will occur in its media business. It expects to end the second quarter of 2001 with 1,850 employees. The media business is expected to make up less than 20 percent of its gross profit for the year, the company said.
"Our goal in this realignment is to leverage our media sales force more efficiently as well as improve client service levels with a dedicated senior-level team focused on key sites and advertisers," said Barry Salzman, DoubleClick's president of global media.
The Brand Network will contain sites that are recognized media brands and have a "significant amount" of traffic and inventory, DoubleClick said. The Audience Network will offer content-specific vertical categories combined with an emphasis on reach, targeting and optimization.
The company also said its media structure outside the United States will not change. It plans to continue to offer networks of local content in each country in which it operates.