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June 22, 2009
Yahoo Launches Display Ad Marketplace
Yahoo today launched the pilot launch of Yahoo My Display Ads, a self-serve display ad marketplace for ads on Yahoo sites and partner sites.
The ad customization part of the program is being powered by Seattle-based technology provider AdReady. The ad inventory is managed by Yahoo's Right Media exchange, and includes both Yahoo sites and partner network sites.
Advertisers can create and customize campaigns using more than 800 display templates, choosing either CPM-based (cost-per-thousand impressions) or CPC-based (cost-per-click) pricing. Ads will be targetable by geography, channel or audience demographics.
Yahoo My Display Ads is an extension of a limited program Yahoo and AdReady offered to a number of managed Yahoo Small Business customers last year.
"This new solution provides an affordable and accessible option for businesses to run brand and performance campaigns that reach the local audiences that matter to them most," Joanne Bradford, senior VP of North America revenue and market development at Yahoo, said in a statement.
Yahoo, like Google before it, is looking to convert some of its search ad business to the more lucrative display ads. Yahoo has offered display ads across its network since its inception, but the ability to create ads from templates should make it easier for smaller businesses to get into the display ad market.
Posted by Kevin Newcomb on June 22, 2009 10:32 AM
Comments
Yahoo describes it as
"By using a web-based, self-serve interface, advertisers can create and customize campaigns using more than 800 display templates. Additionally, advertisers can elect CPM or CPC-based pricing, catering to both branding and performance marketing goals"
Pocketsurfer June 22, 2009 2:27 PM
Our Yahoo rep tried to get us to use a similar interface last year, but it required a $5000 minimum just to take part. I'm glad to see it's more accessible and less expensive just to try!
Elizabeth June 23, 2009 12:19 PM
It's interesting to compare Yahoo's new offering with the most similar self-service display product already out there, AOL's BidPlace SB (full disclosure: I work for this product). Both Yahoo and BidPlace SB allow advertisers to reach the majority of US Web visitors (SB's reach is higher, at 91%). Both offer advanced targeting options and, within the next couple of weeks, both will offer the ability to build banners on-site.
However, the similarities end when it comes to pricing. Here are the recommended CPC bids for the same targeting on both products:
Run of Network, Geo = Florida
Yahoo: $1.30
BidPlace SB: $0.74
Auto Content Channel
Yahoo: $4.93
BidPlace SB: $2.45
I'm curious how Yahoo can justify charging 75-100% more than BidPlace SB for the same types of inventory and targeting? Especially when BidPlace SB has a lower minimum budget ($10 / day) and offers a full budget guarantee to protect advertisers from over-billing for excess delivery, while Yahoo does not.
Div Bhansali June 23, 2009 2:57 PM
To Div: Yahoo claims higher quality audience than AOL's network and through my agency's research on acquisition, i get higher rev sales with Yahoo with slightly higher CPA, so I can say it's justified on my side. Obviously, would like lower...but that's the game. Also, my vertical is travel, that may have something to do with it.
Sim July 24, 2009 11:35 PM
