Yahoo’s Panama being opened up to newbies

December 12, 2006

Yahoo‘s new paid search advertising system is being offered to new accounts now. Originally it was just offered to exisiting accounts in October.

Yahoo’s counting on the new system as a way to grasp some market share back from Google. I believe they need more than just a new system. Simple issues such as preventing people from bidding on tradmark keywords would get Yahoo a lot more love from their advertisers.

However I do feel the main reason Yahoo can’t compete with Google on paid search is due to their natural/organic search algorithm being so poor. Users go to search engines to find information, most of that information is found in the natural results so if the natural results are no good….. Without this core audience of searchers the paid results just don’t get the volume of clicks and conversions that advertisers want from a pay per click campaign.

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