Sharp CPC Increases?

Do we trust what this wag says?

[chewy]

Quote:

Advertisers to See a Cost-Per-Click Increase of 78 Percent with Yahoo and Microsoft Search Alliance Transition, GroupM Search Study Reveals

Read more:

[sunherald.com...]

With all due repect, this "wag" seems more like comment bait than real analysis and I have no idea who GroupM is.

But they raise an interesting point - will change drive up prices?

Are any of the good folks here seeing anything to confirm or disconfirm this rather excessive claim?

[mrguy]

Of course change will drive up pricess for some, but the price of entry for Bing is already higher than a lot of terms on Google.

I don't see it being that much of a factor especially if you can targert your ads to either Bing, Yahoo or Both.

[NoLimits]

We are seeing a 40% increase in click costs on average since late September on existing AdCenter campaigns. Our transitioned campaigns are seeing a similar percentage increase when compared to what we were paying with Yahoo.

If they can't get the click costs down low enough to at least attempt to compete with Google, this whole transition was pissing in the wind.

We have paused all of our campaigns within AdCenter as they no longer yield a positive ROI... and we're not talking about a tinker-toy budget either - deep 7 figure annual ad-spend.

Thus far AdCenter reps have proven to be very polite, but completely ignorant as to what is happening within their system. If you spend over $8k/mo your Yahoo rep will retain you - but unfortunately they are equally inept.

[rustybrick]

NoLimits, since late September? The switch over on the ad side didn't start till October 11th.

[Channel01]

Rusty, they've been running a "test" since late August where MSN has been serving a portion of the ads on Yahoo. The quoted rate of the test was about 3.5% of Yahoo traffic but I noted a much larger lift in MSN traffic than that amount during the initial test phase.

[rustybrick]

Thanks! So the lift for you was above the 3.5%?

[Edge]

Well, details aside on how I know this rumor, but YPN paid a heck of a lot more than MSN does on the publisher side. And, when YPN merged with MSN publisher (officially) – revenue increased for publishers …

But, then again it's rumor.