Although recent media coverage within the online marketing space has been largely focused on Microsoft’s bid for Yahoo, an interesting effect of the bid has somewhat slipped under the radar. in an effort to fend off Microsoft’s bid Yahoo has begun seeking other strategic alternatives, one of which has been a test of outsourcing their paid search inventory to Google.
In fact, the test has already begun and, according the Wall Street Journal, initial results of the test have been positive from both Google and Yahoo’s perspective. The two parties will be continuing testing in the near future and then a longer term partnership may be on the horizon.
So what does a potential partnership between Google and Yahoo for the online marketer?
Well, first, if Yahoo does at some point transition their text advertising over to Google then there is tremendous upside to current AdWords customers with well-optimized accounts. The addition of Yahoo search sites to the AdWords network would immediately boost the number of people seeing their ads by around 20%.
Additionally, continued optimization efforts could solely be focus on a single account (AdWords) rather than needing to deal with two accounts and the nuances between the two. The only caveat to this would be that AdWords competition would surely become even more intense and only those with the expertise and budget will be able to truly reap any sustained benefits.
Discussion on the topic may be premature since a partnership would surely be subjected to scrutiny for anti-trust issues by the Justice Department, but it is worth keeping an eye on and definitely worth putting in a little effort on improving your AdWords account sooner than later.