Yahoo! Search Marketing’s new ranking model will be introduced in Australia and New Zealand the week beginning the 22nd October 2007
As part of Yahoo! Search Marketing’s new search advertising platform, we are preparing to introduce an important change to the way ads are ranked in search results. This change will ultimately help Yahoo! Search Marketing provide more relevant results to users, while also improving overall performance for advertisers and publishers.
Currently, ads are ranked by bid amount-the higher the bid, the higher the associated ad appears within the search results. Our new ranking model means an ad’s relative position in search results will be determined by both bid amount and ad quality. Ad quality will be primarily calculated by its click-through rate relative to other ads displayed at the same time, in addition to other relevance factors. The better an ad’s quality, the more likely that ad is to be displayed on the page.
By changing to an ad-ranking approach that factors in ad quality as well as bid amount, advertisers will have an incentive to make their ads as appealing as possible to prospective customers. As advertisers make more effective use of the new platform, we anticipate increased click-through rates that should ultimately lead to improved monetisation for our publishers in the long term