Internet auction site eBay will today unveil plans to include classified ads on eBay Motors, signalling a fresh threat to newspapers and magazines struggling to stem the flow of advertising spend to the web.

The move sets eBay in direct competition with companies such as Trader Media, which publishes more than 70 weekly titles focused on classified ads of vehicles for sale.

Peter Matthews, head of technology, communications and entertainment at Ernst & Young, said: “This will accentuate the movement of classified advertising away from print media.”

Car dealers will pay £150 a month to list up to 100 cars on the site. One major UK dealer said he paid almost 10 times that to advertise on other websites and in newspapers.

Clare Gilmartin, head of eBay Motors UK said: “This is a market that needs a shake-up.”

EBay Motors is already the most popular site for online vehicle sales. The UK site has 3.7m visitors but has struggled to list enough vehicles to meet needs.

Posted: 07|17|06 at 8:31 am. Filed under: UK News.