Yahoo Tests Similar Ad Model to Google

Forbes is reporting that Yahoo has released a test version of its new paid search mode, codenamed “Project Panama”, which includes a “relevance” component similar to Google’s.

Analysts predict a switch to this model will result in greater click-thrus for Yahoo and hence, greater revenue. It will be interesting to see how Google reacts to this. They settled a PPC patent dispute with Yahoo before going public – but can Google claim they own the patent for a relevance-based component. I guess the big question is what is this “relevance” attribute and how similar is this to Google’s algo.

Any takers?

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Andy Beal is an internet marketing consultant and considered one of the world’s most respected and interactive search engine marketing experts. Andy has worked with many Fortune 1000 companies such as Motorola, CitiFinancial, Lowes, Alaska Air, DeWALT, NBC and Experian.

You can read his internet marketing blog at Marketing Pilgrim and reach him at andy.beal@gmail.com.