Yahoo Reorganizes and CEO Releases Letter
Yahoo CEO Scott Thompson released an email letter today to his employees highlighting the changes that will be taking hold at the organization soon. Essentially, the company will be splitting into three segments- Consumer, Regions, and Technology.
The changes are going to take hold May 1st and all of their activity will be centered on the customer, at least according to Thompson. The letter highlights an array of changes Thompson has in store for the coming months.
All Things D has printed the email letter in its entirety:
It’s time for Yahoo! to move forward, and fast. And as we do, I want every one of us to keep one thing top of mind: what we do is about our customers, not about us. For Yahoo! to win in our core business, every one of us must put our customers first. Specifically, we must focus all we do on the users who trust us to give them personalized content and communications, and the advertisers who want to connect with our users. To be very clear, our highest priority is winning in our core business and that will earn us the right to pursue new growth opportunities.
To accomplish that we’re establishing a new leadership structure, organizing all of our activities around Yahoo!’s customers. Effective May 1, Yahoo! will operate in three groups — Consumer, Regions and Technology — all supported by our established Corporate teams. Each of the three groups will be charged with delivering the best customer experiences and have very clear accountability for getting results.
Our new Consumer group will be all about creating great, engaging user experiences. Our geographic Regions will serve our advertisers and agencies and be accountable for all Yahoo! revenue. Our Technology teams will provide the advanced infrastructure, technology and science to enable our Consumer group and the Regions to deliver our best products and experiences into market, at scale, and fast.
Our success is determined by how well we engage consumers and give them fun and informative experiences that they feel were designed just for them, on all screens. Our Consumer group will include three units — Media, Connections, and Commerce — and each will provide users the uniquely relevant and personalized content and services they expect and deserve, leveraging Yahoo!’s vast consumer interest data. We will redouble our focus on Yahoo!’s competitive advantage — our core, owned and operated (O&O) consumer properties. And importantly, we are bringing dedicated product engineering resources into each unit, much closer to our users.
• Media Our online media presence has long been our company’s clearest competitive advantage. Our Media group, led by Ross Levinsohn, will include all our media businesses globally with our marquee properties at the forefront: Homepage, News, Finance, Sports, and Entertainment. We will bring top design and engineering talent and differentiated technology — like Yahoo!’s Publishing Platform (YPP) — into close partnership with content producers and editors. Ross and his team will continue to drive real differentiation into our leading media experiences, including everything from our original coverage of breaking news events to tentpole events like the Royal Wedding and the upcoming Olympics and US Elections.
• Connections will be led by Shashi Seth, and include consumer businesses that connect and inform our users including Search, Communications and Social properties such as Mail, Messenger, Flickr, Answers, and more. The highest priority for Shashi and his team will be to think well beyond how users search, communicate and share online today. The Connections team is charged with fundamentally re-imagining how we design and deliver the next generation of these foundational Yahoo! experiences.
• Commerce We will renew our focus on commerce, and I expect this newly created team to play a critical role in Yahoo!’s future growth. Our Commerce teams will build on Yahoo!’s massive reach and strong consumer relationships, but their charter will go beyond traditional ecommerce. The focus of this team will be driving higher ROI for advertisers and agencies that reach users on Yahoo! by closing the loop for them between user interests, advertiser spend, consumer intent, and purchase behavior. The foundation of the new Commerce group will be Autos, Shopping, Travel, Jobs, Personals and Real Estate. We expect to name the leadership of this business unit shortly.
To read the entire letter please follow the All Things D link. We’ll be keeping you updated on all the changes at Yahoo in the coming weeks. The changes layer out in the letter take hold May 1st, but there’s bound to be new things coming to light all the time.