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What is Killing AOL & Yahoo!?

by on August 16, 2011

The big gate can not grow ad revenue

Despite the change from print to digital dollars cents to print, TV advertising remains healthy and robust . Similar to the decline of print media, is the flow of advertising dollars online brand and some of the greatest players to jump, so they switched to the growth of online media.

While Yahoo is still the leader in many categories , they are struggling to sell their ad inventory directly and sell more of it as filling stock / inventory. AOL has also hit this problem very difficult. Despite the acquisition Huffington Post and be prepared to sell ads on a CPM false $ 1000 , they are still losing money and their advertising revenues rose only marginally .

The Stock Exchange of the great gate next to nothing

Some of the biggest portals are hoping that the critical web-style TV will increase their advertising revenue , but I'm skeptical, and therefore the market. AOL stock was around 50% in the last month before the rally recently (and half of what remained was cash on the books ). Part of the recent recovery in share prices of these is AOL's announcement of a share buyback. Yahoo! Basically, is estimated at $ 0 when you return their cash balances and investments in foreign assets.

Why can not push the gates?

Part of the lack of growth of advertising budgets for major mobile portals is hype ( which is now ~ 12% of clicks on search ads ), Facebook and social media. Brand advertising dollars spent on "cool" to mount the new fashions and trends.

Riding the Hype social AdWords ads now also have a social component to them.

Three other major issues that impact on the portals (see below) are retargeting, custom integrated media buys, and the mix of quality traffic.

To determine a baseline, what influence these trends are the main portals are of the opinion that …

… However, their traffic Quarterly was fairly stable compared to Q1 & Revenue was up 32% over the previous year . Despite a search-first sales strategy, still hammered by Panda and the removal of tons of content, Demand Media is growing much faster than AOL or Yahoo. It is therefore not surprising that non-classified Yahoo & AOL heavily on the investment community.

Retargeting First Announcement

Between contextual ad-targeting and retargeting advertisers have many opportunities to reach their audience without having to pay premium advertising inventory to display rates where they are less relevant.

At first I thought it would raise CPM ad retargeting to compete as an additional channel to manage advertising inventory. For smaller sites on knitting and celebrity gossip is probably not, but for "premium" media, which is far too expensive, it means the opposite. At first, it sorta hit some of the sites B-list, but not the major portals and over time this trend grew and eventually consumed even the major portals.

Google has taken the traditional ad retargeting. At first offers advertisers an artificially high level for much of that traffic on the perceived value, but because the advertisers were only competing / bidding against themselves and those ads can appear anywhere and many have now found that they significantly reduce his commandments and always a lot of exposure .

Some e-commerce sites, not just ad retargeting to people who have visited their site, but some distance so that the individual products you viewed or to throw in your shopping destination. You may not notice the trend, if you are looking for things that you purchasers (such as a mirror image of who we are, we tend generally to things that we, the normal and the most popular because they are true) but If you are shopping for something out of the blue, then the ads that follow you much more noticeable.

When I buy fourth birthday present for my wife when buying online, joked with a friend about the ugly and over-the-top some of the items were Zales. These elements are then gave me around the web banner below!

What is worth more than to see someone put an article in a shopping cart is also some very person has already acquired. Amazon offers products on their Web pages, send personalized, "you might like" e-mail recommendations and use their data to build a distributed ad network :

Amazon is now using its large supply of consumer data bundle in buckets on the products they looked at or purchased based on the merchant site. The company helps advertisers reach these consumers with targeted media, with their display behavior targeted ads in training
each URL.

There are many other technologies and business models based on the reorganization: Some companies try to hire a pixel on third party sites, some cookies Analytical Services Akamai provides no respawn EUR pixel tracking, collection, Facebook is that the data button, even if you're not on it, and the third party social media "Add" button to collect and dispose of similar data.

The transition to mobile retargeting are improving. digital revenues are growing in popularity and Eric Schmidt wants to be in your pants .

2nd Integrated Media Buys

WebMD

WebMD has sections where you're going information to the user the right ad in the channels integrated directly associated with the disease self-sponsored quiz.

Blog Sponsorship

Pay By Mail Art has just hit the road in their approach to marketing to gain exposure on blogs. ReviewMe (which I co-founded and sold to me several years ago) for a slightly higher road to take, but perhaps not so much to draw attention to the brand, as we had hoped at least not at first.

More recently, most blogs online communities have their own advertising network. Would you like mothers to achieve? P & G has an agreement with BlogHer and it was quite popular as blogs and videos about it.

YouTube

Shortly after watching a YouTube video on sugar and insulin soon as I saw the following YouTube experience, according to a display via a video and all other rights related ad unit

Among the "content and not the ad unit," a further step, YouTube has ads customized for Nintendo , which borders entire site YouTube reflects the match.

Tip-Ex also had a popular viral ad YouTube .

Nikesh Arora Google gave a speech where he said that product placements WillItBlend to $ 5000 in the mixtures.

The third dilution of the power quality

Some of these ad networks with embankments scam "inventory" (as Yahoo Search or Looksmart were famous for dealing with "search" ads ).

The mixture in the puddle will further reduce prices of network traffic, but only one big problem, because the other above changes. Part of why the fraudulent "active" on the ad "networks" is appealing is that it's probably a much higher markup by the advertising agency that purchased the advertising inventory of premium.

"We just AdImpressions u … 34000000000000 1:05 ET and the cost for others "sounds interesting and effective. You can mix the meat mystery is much higher margin on the junk, with respect to the premium and they can have enough to buy ad retargeting on the whole, so you do not know where the power comes from, but it looks ok in all (unless you look deeper).

It is nothing more than the e-mail co-registration leads and incentives for quality SEO and PPC, led mixed results. Fill with trash, to increase the volume, but mix enough good things, so the overall performance high enough to make it even more interesting, all arbitrations time the value of the brand strength and yield additional retargeting .

The fourth search engines such as stealth Web Portal

Would be local? Use Google Places. Want the video? See the Google-YouTube. Looking to buy something? See item entries in the search results. Need a stock quote? Its right in the search results.

Much of the generic all-purpose traffic to subsidize the big portals will now help search engines like Google, Bing that putting more data to be eaten directly in the search results. This trend is even clearer than it appears on the surface, when you invest in companies that third party arbitration of research results (such as whale sharks Media), the inclusion of custom display formats and upper funnel lead generation

The next fifth question? Identity of the author and the talent to circlips

Services such as Klout to create a currency from one person to influence, ie advertisers, allowing them to bad luck.

Weighting on the Google domain authority to a degree locks authors in their current job, using the difficult demands for a new site for the construction of the initial impetus to become profitable. Google rel = author as a way to experience the creation of a copyright work in the classification system. If successful (and notations by the author to the public), which is the most successful authors of individual control over the networks to which they are written for, which in turn would only further weaken the gates wide open, making it easier to jump ship to the authors and do their own thing.

As a technology for online advertising continues to the next stage until a large part of the big media companies see the chip talent. You saw what was coming , could not change it.

"They [AOL] absolutely certain asset base, but I think you'd be hard pressed to find someone to describe it would be a" must buy, "said Craig Atkinson, PhD Director Digital, the media of purchase unit of Omnicom Group Inc. is one – sources

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