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Embattled Yahoo Inc has struck an advertising partnership deal with WPP Group that will let WPP buy ads on Yahoo's online ad exchange, the companies said late on Thursday.Yahoo Strikes Ad Trading Deal With WPP [uk.reuters.com]
In a statement, the companies said that as part of the deal, WPP advertising agencies would, through its 24/7 Real Media arm, develop a proprietary advertising media trading platform that takes advantage of Yahoo's Right Media exchange.
Still, this is sad. Yahoo has become more or less just like every other web site in trying to sell ads. And, I'm not certain that it's all Yahoo's management's fault. If Y has to cut deals such as this, how difficult is it for, say, newspaper web sites, to sell ads to national marketers? Tough sledding for everyone, in fact.
I think the message here is that success for a new web channel today is to target tighter on the audience, then tighter and tighter and then create a niche, all in mind with serving several firms who needs to reach that targeted niche. The waste of "mass media" ad buys is almost over. If anyone could have done it on the web, it would have been Yahoo.
Hey so they will see some more revenue and be able to access more advertisers - but it sure ain't going to change their strategy or management team in anyway and that IMHO is their fundamental problem.
[edited by: TinkyWinky at 2:22 pm (utc) on May 16, 2008]