Comments on: Yahoo’s Pitch To Small Businesses: Self-Serve Display Ads http://paidcontent.org/2009/06/22/419-yahoo-targets-small-businesses-with-self-serve-display-ads/ The economics of digital content Sun, 19 May 2013 00:21:01 +0000 hourly 1 http://wordpress.com/ By: Div Bhansali http://paidcontent.org/2009/06/22/419-yahoo-targets-small-businesses-with-self-serve-display-ads/#comment-71735 Tue, 23 Jun 2009 22:50:20 +0000 http://paidcontent.wp.gostage.it/2009/06/22/419-yahoo-targets-small-businesses-with-self-serve-display-ads/#comment-71735 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. (BidPlace SB will offer both templates and the ability to build banners from scratch.)

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 budget minimum ($10 / day) and offers a full budget guarantee to protect advertisers from over-billing for excess delivery, while Yahoo does not.

]]> By: grant http://paidcontent.org/2009/06/22/419-yahoo-targets-small-businesses-with-self-serve-display-ads/#comment-71734 Mon, 22 Jun 2009 17:49:35 +0000 http://paidcontent.wp.gostage.it/2009/06/22/419-yahoo-targets-small-businesses-with-self-serve-display-ads/#comment-71734 thought you might find this interesting

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