Yahoo Introduces Cost-Per-Lead Ads

Posted on: December 17th, 2012 by Luke Faragher
Yahoo Smiling - cost per lead

Recent development of search

Since the rise of Google as the internets’ most beloved search engine, Yahoo and Bing have taken a back seat in developing how we search on the web. That being said, under the control of Yahoos’ newest CEO; Marissa Mayer comes a particularly interesting development in Search called Cost-Per-Lead Ads, that we find both exciting and intriguing, not just because we see many positive uses but that as the first format change under her charge, it shows that she is keen to push development in new areas of Search.

What are Cost-Per-Lead Ads

A groundbreaking new ad unit, Yahoos’ Cost-Per-Lead ads are inserted within the organic search results just under the sites listing (see below). This new ad format collects information such as email address, phone numbers and a number of other user defined options and allows Yahoo to earn from it’s search, outside the scope of the financially disappointing deal with Microsoft it made earlier in the year. Similar to the ethical, “poster-child” Bing who seem determined to promote ethical paid search, Yahoo have clearly marked the new unit as “Ad Form” with the advertisers name placed after the form.

yahoo cost-per-lead advertising

Once a user submits their entry, the add will display thank you text in place of the form and in some instances a new tab will be opened allowing a user to fill in additional information to complete a more complex form.

Most interesting about this new feature is that Yahoo has proposed that it will VET all data submitted into the form to make sure that advertisers will only pay for what they define as ‘legitimate leads’. Little indication of pricing has been given, save that the pricing will vary depending on the product or service that is being advertised, much in the same way that competition in the industry dictates PPC pricing in Googles ads.

Yahoo has also confirmed that unlike the Google PPC model, that only one ad will be served per SERP and if there are two competing advertisers that are eligible only the higher ranked ad will be shown. Although this might affect the profitability of the service, it would guarantee that cost-per-lead could be justified by an advertiser if they have less competition and as the ads are not keyword based they will appear under all organic site results.

So how do I get my site listed with Yahoos’ Cost-Per-Lead service?

As we know, Yahoo manages all their advertising relationships themselves, so anyone interested should get in touch with their sales representatives (or DiD of course). If you want any more information please don’t hesitate to contact us using the contact details provided, by leaving a comment below or using any of our social media channels.

What others are doing in Cost-Per-Lead Search

Although Yahoos new service has some defining points which make it very interesting to see how effective their new format is, Google has been experimenting with Cost-Per-Lead search within its paid adverts (PPC) (see below) for some time. This serves as an ad that contains a form to collect email and telephone numbers, but is based on Googles usual service and no guarantees or vetting occur, which could mean that Yahoo might be onto a winner. The only thing that we feel might stop this becoming a big success is traffic and at the end of the day, Google will always have more.

Google PPC form

We look forward to seeing the results and more from Marissa Mayer in the future of search, Yahoo and Paid Advertising.

If you want to discuss any of the points raised in the post above or want to add anything to the conversation please leave your comments below and thank you for reading.

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