Yahoo has announced this week that they have recently signed a global, non-exclusive agreement with Google to display ads on various Yahoo! properties and certain co-branded sites using Google’s AdSense for Content and Google’s AdMob services.
Yahoo has not disclosed the financial details of the partnership, but mentioned that Google will be just “one of its contextual ads partners”.
"By adding Google to our list of world-class contextual ads partners, we’ll be able to expand our network, which means we can serve users with ads that are even more meaningful. For our users, there won’t be a noticeable difference in how or where ads appear. More options simply mean greater flexibility. We look forward to working with all of our contextual ads partners to ensure we’re delivering the right ad to the right user at the right time," Yahoo added.
Google, which distributes similar ads to many websites, retains part of the revenue generated from the ads shown on its partners' sites. The revenue split over the Yahoo-Google advertising alliance was, however, not immediately known.
Not sure how to portray this unusual collaboration, I would look this as a beginning of a new relationship between Google and Yahoo in lieu of their fading relationship with Microsoft?
How is this beneficial to Google?
There display market share would now grow from 67% to close to 80% and to Yahoo, which is currently struggling to maintain its market share would start seeing additional revenue from revenue split over the Yahoo-Google advertising alliance
What this mean to the advertisers?
For an Advertiser it is definitely a win win situation, as he can reach to almost 80% of the Search market share with a single display platform and since Yahoo network are all authority sites can expect more genuine traffic. Google search base would definitely increase, so would the search volume.
What this means to Yahoo?
Expanding the Yahoo-Google advertising alliance, would actually mean additional revenue from google and also this alliance would lead to increase in competition for ad space, and this would mean bid for ad space would go up and so will be the revenue for Yahoo.
We will have to wait and watch the impacts this alliance.
Yahoo has not disclosed the financial details of the partnership, but mentioned that Google will be just “one of its contextual ads partners”.
"By adding Google to our list of world-class contextual ads partners, we’ll be able to expand our network, which means we can serve users with ads that are even more meaningful. For our users, there won’t be a noticeable difference in how or where ads appear. More options simply mean greater flexibility. We look forward to working with all of our contextual ads partners to ensure we’re delivering the right ad to the right user at the right time," Yahoo added.
Google, which distributes similar ads to many websites, retains part of the revenue generated from the ads shown on its partners' sites. The revenue split over the Yahoo-Google advertising alliance was, however, not immediately known.
Not sure how to portray this unusual collaboration, I would look this as a beginning of a new relationship between Google and Yahoo in lieu of their fading relationship with Microsoft?
How is this beneficial to Google?
There display market share would now grow from 67% to close to 80% and to Yahoo, which is currently struggling to maintain its market share would start seeing additional revenue from revenue split over the Yahoo-Google advertising alliance
What this mean to the advertisers?
For an Advertiser it is definitely a win win situation, as he can reach to almost 80% of the Search market share with a single display platform and since Yahoo network are all authority sites can expect more genuine traffic. Google search base would definitely increase, so would the search volume.
What this means to Yahoo?
Expanding the Yahoo-Google advertising alliance, would actually mean additional revenue from google and also this alliance would lead to increase in competition for ad space, and this would mean bid for ad space would go up and so will be the revenue for Yahoo.
We will have to wait and watch the impacts this alliance.
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