TargetSpot, an exciting new ad serving technology and marketplace for advertisers and internet radio broadcasters, will allow advertisers to create buy and place their own advertising in online streaming audio outlets.

Advertisers can create customized audio, video, banner and text ads using an array of jingles, sound effects, and visuals provided by TargetSpot. Clients can also upload their current creative directly into their web account. Ads are then targeted to a specific demographic, location or property. Campaign costs vary with advertising revenue being shared among TargetSpot and the participating broadcaster.

“This is the first platform to allow all businesses, regardless of size, to easily and cost-efficiently utilize streaming media advertising,” said Doug Perlson, TargetSpot’s CEO. “TargetSpot democratizes what has traditionally been the domain of large advertisers with big creative budgets.”

Before it was launched last April, TargetSpot had been in development for over a year and originated from a need for an end-to-end ad serving solution for the streaming radio stations operated by CBS Radio.� Though it only currently handles Internet radio, terrestrial radio will most probably follow once the online model proves itself, and once the medium becomes a more important venue.

Given that CBS Radio is one of TargetSpots major investors, analysts predict that the transition to terrestrial might be made easier. In addition to its investment, CBS Radio will utilize the technology on its more than 100 music, talk, sports and news radio stations broadcasting live online.

“What we have created is a sophisticated advertising platform unlike any other technology being used by radio today,” said CBS Radio President and CEO Dan Mason. “Advertising in streaming media isn’t like putting up a banner ad on a web page, which is where the technology was when we conceived the idea for TargetSpot. The technology, among the purest forms of business to business advertising, is specifically designed for monetizing streaming audio and video, and allows internet broadcasters to expand their web offerings while staying in command of their inventory.”

Given that it already has a great deal of potential traction, it will be intriguing to see how TargetSpot catches on with advertisers.