4. Microsoft-Yahoo Search Alliance - Search University 3

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  The Microsoft-Yahoo! Search Alliance: update and expected impact on the Search Advertising Landscape in Europe: Gilles Rousseau is the European responsible for the famous Search Alliance which is the merge between Microsoft Search Engine, Bing, and Yahoo Search Engine. He will explain the integration of both platforms in terms of technology, audience and advertising. He will then speak more specifically about Belgium and what it means to Belgian online advertisers.
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  • 2. The Microsoft-Yahoo! Search Alliance: impact on the Search Advertising Landscape<br />Gilles RousseauMicrosoft, Sr. Dir. EMEA Strategic Alliances<br />11h10 – 11h40<br />
  • 3. Today’s agenda<br /><ul><li>What is Search Alliance
  • 4. Benefits for advertisers
  • 5. Learnings from the US
  • 6. Implementation </li></li></ul><li>What is Search Alliance<br />Benefits for advertisers<br />Learnings from the US<br />Implementation <br />
  • 7. Introducing the Search Alliance<br />5<br />
  • 8. 1<br />1<br />1<br />1<br />3<br />2<br />Yahoo! and Microsoft Search Alliance<br />1. Powered by Microsoft. Yahoo! sells to premium advertisers, Microsoft to SMB<br />2. Powered by Microsoft. Owned and enhanced by Yahoo!<br />3. Powered and owned by Microsoft.<br />
  • 9. Competition<br />Efficiency<br />Customer service<br />Innovation<br />Performance<br />Improve ROI to advertisers<br />Provide a better search experience for ourusers<br />Faster innovation through scale<br />Create a competitive new choice in search <br />Simplify advertisers search <br />advertising<br />Why<br />join<br />forces? <br />7<br />
  • 10. … and we still compete.<br />We work together…<br /><ul><li>All advertisers will use Microsoft Advertising adCenter.
  • 11. Microsoft has licensed some core Yahoo! search technologies.
  • 12. Microsoft will provide algorithmic and paid search results for both companies.
  • 13. Yahoo! will support premium advertisers, agencies, and resellers.
  • 14. Microsoft will support self-service advertisers.
  • 15. Each company will maintain its own display business.
  • 16. Each company independently manages web properties, products, email, and instant messaging.
  • 17. Both companies own and innovate their own consumer search experiences.
  • 18. Both companies will maintain and service their own affiliate search partnerships.</li></ul>8<br />
  • 19. What is Search Alliance<br />Benefits for advertisers<br />Learnings from the US<br />Implementation <br />
  • 20. How the search alliance benefits advertisers<br />Offers a competitive choice in search<br />Offers a competitive choice in search <br />Yahoo! and Microsoft are working together to achieve the scale and innovation necessary to offer a competitive new choice in search<br />Provides better value and efficiency<br />Simplifies search advertising account relationships with one account team<br />Cost-efficient way to connect to a larger, highly converting audience<br />Saves you time and effort with one place to manage campaigns on a global platform – Microsoft Advertising adCenter<br />10<br />
  • 21. Search Alliance Customer Experience<br />Two Segments, One Marketplace<br />Advertiser<br />today<br />with<br />One Marketplace<br />Yahoo! Account Team<br />Microsoft Account Team<br />Microsoft SMB<br />Account Team<br />Yahoo! Premium<br />Account Team<br />One Buy<br />Yahoo!I.O.<br />MicrosoftI.O.<br />One Platform<br />Yahoo! Search Marketing Platform<br />Microsoft Search Marketing Platform<br />One Reporting System<br />Microsoft Reporting & Analytics<br />Yahoo! Reporting & Analytics<br />Helps deliver better ROI<br />Two Account Teams<br />
  • 22. The UK audience<br />Reach 23 million<br />unique <br />searchers<br />using Yahoo! and Microsoft sites<br />5 million<br />unique <br />searchers<br />use Yahoo! and Microsoft <br />– not Google<br />comScore qSearch (custom), November 2010.<br />12<br />
  • 23. Worldwide<br />Our searchers are more likely to buy<br />The unique searchers on Yahoo! and Microsoft sites are: <br />96% more likely to make purchases online than the average searcher. <br />Audience buying power index<br />Worldwide numbers shown. <br />Source: comScore qSearch (custom), November 2010. <br />13<br />
  • 24. 14<br />The UK audience<br />Two best converting search engines<br />% of click-throughs leading to secure pages<br />Together Yahoo! Search and Bing audiences are...<br />41% more likely to convert than the averageUK searcher <br />Source: NNR-UK, May-October 2010. <br />
  • 25. What is Search Alliance<br />Benefits for advertisers<br />Learnings from the US<br />Implementation <br />
  • 26. North America Marketplace UpdateWe are seeing stabilization of the marketplace.<br />CPC and volume in the combined marketplace are being closely monitored.<br /><ul><li>Pre-transition speculation about significant CPC increases have not borne out.
  • 27. Increases in CPA and ROI seem to have more than compensated for any CPC increases
  • 28. Click volume may not necessarily be equivalent to the combined volume of the two platforms due to some audience overlap</li></ul>We continuously monitor the market and traffic quality, and will work with you to help maximize clicks and optimize ROI.<br /><ul><li>Beginning this quarter, we anticipate a rich pipeline of innovations from Microsoft on a regular basis, helping to incrementally improve the marketplace, including new matching and optimization technologies.</li></li></ul><li>Marin Software Research<br />“Our findings indicate that the Search Alliance is clearly and unequivocally becoming a more attractive channel for paid-search marketers.”<br /> <br />“The Search Alliance has resulted in improved traffic quality for advertisers, as evidenced by higher conversion rates.”<br /> <br />“Yahoo!-Bing’s CPC consistently outperformed Google since the introduction of the alliance, and ended the year with a 20% advantage.”<br />Cost per click<br />Yahoo! Microsoft Search Alliance<br />Google<br />Yahoo!-Bing (adjusted) CPA & Conv Rate evolution<br />Search Alliance Conversion Rate % Change and CPA % Change relative to competition<br />Copyright © 2010 Marin Software, Inc. All rights reserved. <br />
  • 29. Latest Bing progress in the US<br />18<br />“The fact that Bing has crossed the 30% mark in the U.S. is significant in and of itself. Looking back through Experian Hitwise’s archives underscores the tremendous amount of growth for Bing-powered search. The rate of growth appears to be increasing […] Bing.com, which represented just 10% of searches in September 2010, represented 14.32% of searches in March, 2011”<br />Source: http://mashable.com/2011/04/11/bing-search-growth/<br />
  • 30. What the industry is saying<br />Marketers should view the Bing-Yahoo integration as a <br />new opportunity<br />Bing-Yahoo Missed Opportunity For Marketers, Search Spend To Rise, January 18, 2011<br />It appears that the RPC on the combined Yahoo-Bing search platform is now on a par with Google.<br />“Bing is slowly but surely gaining ground on Google”, January 14, 2011<br />The partnership seems to be working, at least in North America, and it bodes well for the push into Europe this year. <br />“Bing is slowly but surely gaining ground on Google” January 14, 2011<br />… it seems that Microsoft is gradually, dare I say it, getting search right.<br /> “Bing is slowly but surely gaining ground on Google”, January 14, 2011<br />
  • 31. What is Search Alliance<br />Benefits for advertisers<br />Learnings from the US<br />Implementation<br />
  • 32. Roll-out: We Are Building Scale…<br />Today<br />WW Footprint: 2Markets <br />
  • 33. We are building scale...<br />2013<br />WW Footprint: 55 Markets <br />WW Query Share: >15% WW Searchers: 600+M <br />
  • 34. Typical market Transition Timeline<br />Set up<br />Prepare<br />Optimise<br />Paid search testing<br />Customer migration<br />Campaign migration<br />Yahoo! Ad Ramp<br />Tuning<br />Algo testing & transition<br />Billing transition<br />Paid search transition<br />Account Provisioning<br />Connect Yahoo! account with existing AdCenter account or open a new account in Microsoft advertising adCenter.<br />Campaign Staging<br />Choose your transition option and create campaigns in adCenter. Campaigns will be in a paused state, ready for activation.<br />Ad Serving Transition<br />Ad Serving for Yahoo! search queries will transition from the Yahoo! Search Marketing platform to adCenter .<br />* To promote a positive advertiser experience throughout the transition, we may adjust transition timing and dates as needed.<br />23<br />Account Provisioning<br />Connect Yahoo! account with existing AdCenter account or open a new account in Microsoft advertising adCenter<br />
  • 35. Where we are today<br />Set up<br />Prepare<br />Optimise<br />Paid search testing<br />Customer migration<br />Campaign migration<br />Yahoo! Ad Ramp<br />Tuning<br />Algo testing & transition<br />Billing transition<br />24<br />Account Provisioning<br />Connect Yahoo! account with existing AdCenter account or open a new account in Microsoft advertising adCenter<br />
  • 36. Guidance to advertisers<br />Keep managing and optimizing your Yahoo! and Microsoft accounts until transition is complete. <br />This is the only way to keep receiving valuable traffic from both accounts.<br />Keep using our tools, features, and products to help improve your performance. <br />We’re working to determine future feature capabilities, always keeping in mind what’s best for you.<br />Visit www.searchalliance.com/frfor the latest news.<br />
  • 37. Gilles Rousseau<br />Sr. Director EMEA Strategic Alliances<br />Gilles.rousseau@microsoft.com<br />Thank You!<br />
  • 38. 27<br />
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