Google and Yahoo Testing Search Ad Partnership
Two online giants may be testing the waters for a search ad partnership that could have big potential benefits for both. Google and Yahoo are reportedly in the early stages of exploring an arrangement in which they would work together for a search ad collaboration deal.
The NY Times says both companies have confirmed that Yahoo has been testing a process involving using Google search ads for a small segment of its search results.
Although Yahoo has made sporadic and mostly unproductive attempts to try and compete with Google in the past, it seems that at this point both companies have realized the value of working together instead of trying to outdo each other. A partnership would seem to be a win-win that would benefit both sides.
Previously, Yahoo had been relying solely on Bing search capabilities as per the terms of an agreement with Microsoft. That deal was reconfigured earlier this year, so Yahoo is now free to enlist other companies to provide a portion of its search results.
If the partnership moves beyond the testing stage and is eventually finalized, Yahoo would be able to offer a high volume of search queries to Google, giving Yahoo the ability to offer a combination of Bing and Google search results. Google would then gobble up an even bigger chunk of the search traffic market. Yahoo, meanwhile, would be able to provide a more diverse, comprehensive mix of search results without investing its own resources to develop or refine a search algorithm. At the same time, it would be able to increase its profits from search ad revenue.
Industry watchers have speculated that this new spirit of cooperation between the two companies may be attributed at least in part to the fact that Yahoo CEO Marissa Mayer previously headed up the search division at Google.
As with most things Google does, this possible deal is being handled with a lot of mystery and secrecy. The details are still being kept under wraps, so we don’t how the partnership would work and when it may formally be announced.
Meanwhile, this is a good reminder that companies should always be constantly monitoring their search engine optimization and search ad strategies, and evaluating ways to best take advantage of the latest changes in the search landscape. KEO Marketing is constantly monitoring the latest developments, and can help businesses adjust their ad campaigns quickly for the best results.