Yahoo Benefits from new Panama Advertising System

By Loren Baker, Editor | February 26, 2007

comScore has released some data which shows significant gains in the amount of search advertisements which were clicked during the first week of the new Yahoo Search Marketing Panama ranking & Quality Index roll out.

The overall Yahoo Search Marketing click thru rate rose from 10.1% to 11.1% two weeks after the launch.

Reuters adds:

Data collected by Internet usage measuring firm comScore Networks showed that the number of Yahoo search users who clicked on ads — known as the click-through rate — rose 5 percent in the first week after the new system’s debut and 9 percent in the second week.

One percentage point may not sound like a whole lot, but we have to remember that this is across the board among all Yahoo searches and that Yahoo’s Panama is just beginning.

comScore Vice President James Lamberti adds; “Just a small change like that in hundreds of millions of clicks is going to be a huge opportunity to make Yahoo money.”

Yahoo is far behind Google AdWords in monetizing search but if this revamp of the Yahoo Search Marketing system works, the company should be gaining much more advertisers, partnerships and increasing their revenue.

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