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What does the Yahoo-Google Deal Mean for Advertisers

The display deal struck by Google and yahoo to show their ads side by side in Yahoo Search results. The instant buzz around industry publications is that advertising rates will increase as the two search marketing platforms compete side-by-side. Did you catch that… …more competition must equal a higher price. If we let hype and hysteria cloud our judgment as marketers we end up on the wrong end of decisions.

The basic economics tell me that increased competition is good for the customer, not the seller. I think this is a way for Yahoo to really step up to the plate and show why they think their advertising gives users a better experience. I personally can’t wait till the FTC approves the deal and we can see how the two systems compete side by side in a way that has never happened before.

For now, don’t overreact, prepare. Now is the time to take stock of both campaigns and compare how they are performing. I am looking carefully at how Yahoo’s results have trended since they started generating buzz with their Microsoft fiasco. It will be interesting to see how this chapter in the search engine saga plays out.

Yahoo to add CBS to growing Yahoo TV

TechCrunch reports confirmation that Yahoo will be announcing a partnership with the CBS Audience Network to serve video advertising and provide content through Yahoo TV. The CBS addition will be the largest percentage of content on Yahoo TV, joining Fox and NBC. The CBS Audience Network is currently providing content through it’s own web site, MSN, iTunes, YouTube Comcast’s Fancast, and AOL, with over 300 partners overall. Yahoo tested the relationship with CBS with a previous deal to stream local news and sports videos in sixteen metro areas, and content related to its 60 minutes program. As more mainstream media companies begin partnerships to control revenue from consumers viewing content online This partnership with CBS makes MSN’s deal with HP seem like backwards thinking. As more people go to the Internet to watch television programs more advertisers are testing the digital waters. Publishers are testing the digital environment with Yahoo as well. According to the c|net’s Caroline McCarthy, “the participant count for Yahoo’s local Newspaper Consortium advertising project is now up to 779 publications; members of the consortium will be the first to use Yahoo’s AMP technology when it debuts later this summer.” As much as Microsoft and industry analysts want to count out Yahoo they are still #2 in search traffic, more than double the traffic of MSN. With each of these new offerings Yahoo is showing why they are #2 and why they are very relevant to advertisers looking past the Giant, Google.

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