Fishing where the fish are

Fortune reported Julie Roehm has more than $2 billion to spend this year, and the way she's been spending it worries executives at News Corp., the Washington Post Co., and virtually every other media company on the planet. As Chrysler's director of marketing communications, Roehm, 34, oversees a budget that Advertising Age ranks as the sixth-largest pool of ad dollars in the nation. She decides how many minutes of the carmaker's commercials appear on networks and cable channels nationwide and how many pages of its ads turn up in magazines like this one and newspapers such as USA Today. Here's the scary part: Roehm rarely misses a chance to talk about how delighted she is with online advertising. Last year she spent 10% of the budget online; this year she is allotting closer to 18%; next year, she says, she will allocate more than 20%. Do the math: In 2006 roughly $400 million of Chrysler's money that used to go into TV, newspaper, and magazine ads will be spent on the Internet. Says Roehm: "I hate to sound like such a marketing geek, but we like to fish where the fish are."

She has a very valid point. Newspaper and magazine circulation is dropping, and people are spending much more time online, and Julie is smart enough to realize this, and is beginning to target more and more of Chrysler's advertising buget to try to reach people where they spend their time, i.e. online.