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February 27, 2007

A Man, A Plan, and Anna Nicole Smith.

Yahoo!’s much-hyped release of their new ad system upgrade, dubbed Project Panama, was set amidst the hoots and hollers of plummeting – or at least under-performing – profits. Everyone was crossing their fingers in hopes that the new ad ranking system would help the portal to gain some ground and close the Google text advertising gap.

Conceived 9 months earlier, Panama was the baby that Yahoo! had pinned their hopes on, predicting that that overhaul would increase profits by at least 45%, taking effect by mid-2007. Loren Baker had remarked on Search Engine Journal:

Yahoo’s new Search Marketing technology should come more relevant advertisements across keyword searches and the Yahoo Network, leading to more clicks and in turn; more revenue.

Coulda, woulda, shoulda. We awaited the results with breath that was bated. Finally, comScore released preliminary data analyzing the changes in Yahoo!’s click-through rates for sponsored search ads. The results? Positive.

However. Someone here in the Digital Axle office, cleverly disguised in Diesels and blue Vans, has the observation skills of a KGB spy. He noticed something very fishy about Yahoo!’s supposedly new relevant advertisement keyword search. Being: they are not as on the ball as they think they are.

At precisely 3:15 pm on the fateful day of Thursday, February 8th, he took a screenshot of both Google and Yahoo’s search results for “Anna Nicole Smith”. Note that the ads for Google include relevant hits like TMZ.com and PETA’s remembrance of her “dedication to animals”. The Yahoo ads? Rich Slimming Wu Long Tea, other diet products, and DVDs. Not so up-to-the-minute, are they.

315pm_thursday_28_google_keywords_1_2

315pm_anna_nicole_yahoo_keywords_1_2

We’ll see what happens in Q3 when Panama really starts taking its first steps. We just hope, for Yahoo!’s sake, that it doesn’t fall flat on its face.

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