Pricing Adjustments Working, Say Experts

YSM CTRs way up, CPCs and CPAs down as compared to AdWords, according to Covario blog

The Actionable Insights blog, published by marketing analytics software maker Covario, is reporting that Yahoo! Search Marketing’s September change to the way pricing discounts are determined is having a significantly positive impact for advertisers. Blogger Craig Macdonald and team looked at Covario client data to determine whether the launch of the new discounting was working as intended, and found that the answer was clearly “Yes.”

Macdonald reports that (looking at a four-week period before and after the discounts were enhanced) click-through rates on Yahoo! Search Marketing ads were up 46%, while only up 5% on Google AdWords ads during same time period. Covario also found that cost-per-click on Yahoo! fell by 29% during this time, while being down only 10% on Google. Finally, Covario found that cost-per-acquisition on YSM is down a full 11% since the launch.

More details can be found at the Actionable Insights blog.

— The Team

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20 Comments Add your own

1. Search Engine News »&hellip | November 10th, 2009 at 2:05 am

[...] More from http://www.ysmblog.com…; [...]
2. SearchCap: The Day In Sea&hellip | November 10th, 2009 at 2:33 pm

[...] Pricing Adjustments Working, Say Experts, Yahoo! Search Marketing Blog [...]
3. Internet Marketing Week A&hellip | November 16th, 2009 at 11:53 am

[...] how to improve your PPC campaign targeting. Yahoo! also declared on their blog that the paid search portal is showing dramatic improvements compared to Google in both click thru rates and cost per click. We have not seen evidence of this [...]
4. kenai | November 24th, 2009 at 10:09 am

I don’t know, to me, at least…things have got worse…

I used to get 320 clicks for $10 a day… now I get like 250…
5. Rick | November 24th, 2009 at 10:16 am

Funny I am paying double on Yahoo what I pay on Adwords fot the same keywords
6. Provida Group | November 24th, 2009 at 10:18 am

I definitely get value for my money with Yahoo! I just need more search volume.
7. Rick Hoening | November 24th, 2009 at 10:35 am

No Actually YAHOO has been raising their pricing and the system is not as user friendly as google. But then again Google is jacking their prices up as well lately. They are playing follow the leader & seeing how high the market will tolerate before we all bail on PPC. Remember Google and Yahoo, don’t bite the hand that feeds you, it may stop feeding you!
8. ced | November 24th, 2009 at 10:40 am

Actually cost is higher for us & conversion takes about 70% of benefit regarding the amount paid for advertising )
I don’t know for what business those stats are but not for us with website templates and flash templates…
9. MyflashXML | November 24th, 2009 at 10:45 am

Actually cost are higher for both yahoo & google. We agree with Rick, and we are amazed to discover that stats are quite strange as they are asking to raise bids “not visible for first page” but still indicating that ads is on 3rd position ??
Maybe it is true only for our flash gallery business )
10. Sam | November 24th, 2009 at 1:21 pm

Sam Thomas I literally agree with the words of Rick Hoening, Neither google or yahoo are price effective in terms of getting the ROI. PPC is just becoming one side business.
11. Domain Name Wire » &hellip | November 24th, 2009 at 1:43 pm

[...] it’s unclear what universe of click data Covario used to calculate this, Yahoo is happily quoting it. Covario says the typical CPA is down 11% since the [...]
12. Steve H | November 25th, 2009 at 7:04 am

I have been using Yahoo sponsored search for 8 months with great results with lower cost per click.
13. Shawn | November 25th, 2009 at 12:34 pm

In my experience, Yahoo CPC has always been higher than Google or MSN, even after their supposed “adjustment” a few months ago.
14. Web Doc | November 25th, 2009 at 1:46 pm

Yahoo acts like they want us to switch from Google to their PPC platform, but, it’s not a case of either/or…it’s both. And all three…why wouldn’t you want to be in all three of the major PPC markets?

Note to Yahoo and MSN: the reason Google dominates is because their system works better. Get your acts together and make a ppc system that works as well as theirs.

Also, if ur not making money with your ppc campaign, then ur not doin it right.
15. john kitler | November 26th, 2009 at 9:43 am

Hocus Pocus, Blue smoke and mirrors, Pravda.
My ROI is way down on Yahoo. This is all made up silly hyperbole
16. Chris S | December 3rd, 2009 at 11:50 am

I agree with the majority. Google is much more user friendly. I’m not actually sure what I’m getting with Yahoo! if anything, other than a charge on my credit card each month.
17. Search Marketing Expert David | December 23rd, 2009 at 7:45 pm

Google works well for me. But pricing discounts on Yahoo could change things for the better.
18. light bulbs | January 20th, 2010 at 2:26 pm

I think yahoo works better
19. You’re in Control | Hel&hellip | January 21st, 2010 at 7:06 pm

[...] you’re familiar with our system of pricing discounts, you know that your clicks are automatically priced according to our assessment of the performance [...]
20. You’re in Control - Blu&hellip | February 23rd, 2010 at 12:19 pm

[...] you’re familiar with our system of pricing discounts, you know that your clicks are automatically priced according to our assessment of the performance [...]

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