Your minimum keyword bid on Yahoo Search Marketing could go down, it could go up, it depends on how Yahoo’s new minimum bid policy affects you.

Yahoo Search Marketing has some news about the 10-cent minimum bid. Namely, farewell to it:

The new minimum bids are a little bit like auction house reserve prices, and can be based on multiple factors, such as your keyword quality and the keyword’s value—or how much we think that keyword is worth. Here’s a look at the two main factors:

Quality—High quality generally means that your ads are being clicked more often, relative to your competitors. We try to reward quality with higher rankings and lower costs, and now, potentially, with lower minimum bids.

Value—We look at a number of things to determine what a keyword is worth: for example, how many advertisers are bidding on your keyword, and what they’re willing to pay for it.

Yahoo is in the middle of testing, and trying to expand, usage of Google’s AdSense for Search within Yahoo search results. After years of being taken to the cleaners by Google in paid search, it looks like Yahoo finally got a dose of religion in the form of ad relevance.

Posted on Friday, April 18th, 2008 at 11:51 am. Permalink