Right to reply: Will agencies benefit from Yahoo!- Microsoft alliance?
- Added:
- Feb 26, 2010
Now that the Yahoo-Microsoft alliance has been given the go-ahead in Europe, what does this mean for the SEM agencies? Chris Speed, Head of Paid Search, I Spy Marketing, looks at the implications as Google and its rivals look to woo agencies in the online ad wars.
The main implications for digital marketers are that we will now be using one platform instead of two, and working with one client team, making things easier and more efficient for us and other agencies.
However, there are potential challenges, such as integrating Microsoft’s technology with Yahoo’s client management team. Traditionally, we see higher Click Through Rates on MSN than Yahoo. The alliance also begs the question: how will our quality score and CPCs be affected by a potential reduction in CTR?
Also in question is whether agencies will get extra benefits from the new alliance. What’s needed is increased insight, white papers and research from the new alliance – which is an area that Google continues to improve in.
Overall, Google’s market supremacy is such that it doesn’t need to do anything to defend this deal. However, it is clear that they are working closer with agencies now, providing greater research, and insight. They need to continue to provide relevant results to users at a cost that is acceptable to its advertisers – if this happens, they will not lose market share.
By Chris Speed
Head of Paid Search
I Spy Marketing
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