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No More Boohoo for Yahoo?

Posted by Jeff Hirsch on June 19th, 2012 at 12:17 pm

Appointing Michael Barrett as Yahoo’s head of revenue has been touted as a great move by the beleaguered company. While it absolutely is, why is this so important?

First off, interim CEO Ross Levinsohn is in the process of rolling out a strategy that allows the company to take advantage of its position as one of the most important media properties in the world.  Regardless of its stumbles in terms of position, revenue, and executive management, consumers have never stopped flocking to the site.

A smart publisher with this kind of clout can truly leverage opportunities in the marketplace.  First, they have a chance to truly claim the position as the premier guaranteed inventory property on the web.  With an effective sales force, Yahoo can leverage sponsorships, large formats, creative executions, video, etc. at premium CPMs like no other.  The quality AND the scale are there.

Second, they can take advantage of the “programmatic” opportunities in the marketplace.  With a knowledgeable approach, and the right leadership to make fuel the company, they can create private marketplaces for their best clients. Yahoo can leverage secondary demand from qualified sources and they can maximize revenue efficiency across the board.

Yahoo now has sales leadership to monetize their premium inventory from the top down, and the experience and wherewithal to do the same from the bottom up.

This will be a great story to watch unfold.   I look forward to seeing them get out of their own way in terms of trying to be a leader in advertising technology, and finding their rightful place as the leading digital media company. What do you think?

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