Gray Enters Digital Agency Biz With LocalX

Gray Television announced today the launch of a local digital marketing agency that will operate across all of its TV markets.

LocalX Marketing will provide fully customizable services for local businesses and local nonprofits, including mobile and responsive design, search engine optimization, social media management, ecommerce, database management, call tracking and reputation management.

“LocalX is one more innovative way this company serves its communities, while helping local businesses thrive in a shifting digital landscape,” said Gray CEO Hilton Howell in a statement.

Gray is partnering with New Jersey-based company TrafficBuilders for back-end support of the agency.

After a year and a half of research and development, the launch of LocalX Marketing “gives Gray the opportunity to extend beyond its traditional revenue streams,” the company says. “In addition to selling television and Web advertising, we will now provide professional and enterprise level digital marketing services to existing and new local clients in our markets.”

Jason Effinger, Gray SVP media and technology, adds: “While others have struggled in this space, our very own LocalX Marketing is designed for a high level of service and excellent profitability right from the launch.”

The first phase of the company-wide launch includes 19 of Gray’s markets. The roll-out across all Gray markets will be complete by the fourth quarter of this year, the company says.

Wells Fargo analyst Marci Ryvicker commented on the announcement: “Advertisers have been demanding a more compelling digital product. We’ve heard at a handful of investor conferences that advertisers have been looking for more digital options as well as a one-stop shop from broadcasters when looking to allocate ad dollars. After a year and a half of R&D, LocalX enables GTN to provide professional and enterprise level digital marketing solutions to advertisers and provides the opportunity to extend beyond traditional revenue streams. We’re glad to see [Gray] dive deeper into digital as its peers continue to make acquisitions and ramp up their digital businesses.”