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Advertising - Tuesday, July 15, 2008

Can Airlines Go Ad-Supported? Sojern Raises $16M

With fuel prices climbing the airline business is looking for anyway to cut costs. One airline is removing TVs as their weight is too costly. So we image that when someone comes to the airlines with a scheme to add cash to the coffers they are all ears. Sojern is one of the few startups that we have seen that wants to bring in ad dollars to the airline business. Any why not, travelers - be they business or tourists - are awash in cash and are always looking for contextual guidance on where to spend it.

Omaha-based Sojern has raised $16M in its first round of funding from Norwest Venture and Trident Capital.

The initial launch is straight-forward. Sojern has partnered with airlines to include city-contextual ads on the boarding pass printout screen and on the boarding pass. Today, Sojern has announced that six major airlines will use the Sojern system. They are American Airlines, Continental, Delta, Northwest, United and US Airways. Other news is that joining the board is Jeffrey Katz, Founding CEO and former Chairman of Orbitz.

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