Yahoo2010 Overall Final1 27

Connect to Consumers that Matter

Delivering Reach, Insights and Solutions

2

Contents

• Overview of the media landscape

• Why Yahoo!– Yahoo! is innovating for consumers– Yahoo! delivers for advertisers

• Reach• Insights• Targeting Solutions

• Appendix: Product Overviews

2

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Media has proliferatedA strategic media mix is critical for reaching the right audience at scale

amazon

fool.commicrosoftpeoplemag.com

googleyoutube

nytimes.com

aolbbc.cmespn.com

AP NewsBloomberg

Business Week

New York Times

Economist

Google

Marketwatch.com

MSN/Windows Live/Bing

Rueters

USA Today

Wall Street Journal

Operator

LA Times Weatherbug

Alltel

amazonfool.combestbuy.com

microsoftpeoplemag.comgoogleyoutube

nytimes.comaoltravelocitybbc

espn.com

AP NewsBloomberg

Business Week

New York Times

Economist

Google

Marketwatch.com

MSN/Windows Live/Bing

Rueters

USA Today

Wall Street Journal

Operator

LA Times Weatherbug

Alltel

Ad Spend Mix is Evolving

Mobile

Internet

Cable TV

Outdoor

Directories

Radio

MagazinesNewspaper

s

Broadcast TV

19%

10%

2%

1%

0

Source: VSS (2009 Mid-Term Update).

2008 vs. 2009E

-5%

-10%

-10%

-14%

-19%

Online Advertising Has Huge Growth Potential

Time spent vs. ad spend for major media types (2009)

Time spent

Ad spend

Print Radio TV Online

26%

39%

9%

13%12%

16%

31%28%

Sources: Time spent is per NA Technographics (2009); Ad spend is per VSS (2009 Mid-Term Update); Opportunity is Yahoo! estimate.

28%

13%

EngagementTargeting

Measurability, accountability and lower

costAudience

198 million people are currently online in the US and

over 1.1 billion globally

Online has measurability, accountability and lower cost compared to traditional media

Internet allows for a higher degree of engagement with

prospects and customers

Internet has better targeting capabilities and reduces

media waste

66

Internet has been experiencing growthContributing factors

Source: US ComScore Media Metrix, September 2009

EngagementTargeting

Measurability, accountability and lower

costAudience

77

Yahoo! Is Innovating For the Consumer

Yahoo is…

• Making the web more relevant and personal

• Empowering consumers

• Providing more social features

• Offering new mobile capabilities

Yahoo! is the center of our consumers digital lives.

Yahoo!’s Unique Position Delivers for Advertisers

8

where advertisers go to execute targeted, creative and unique marketing solutions

8

Yahoo is…

A partner that delivers a vast, engaged audience and a connection to consumers

Yahoo is…

Performance & Innovation

Industry-leading targeting

Yahoo! offers audience-based behavioral targeting and

industry-leading geographic, demographic

and day-part targeting

Yahoo! has the ability to deliver best-in-class search

and display campaigns across the PC and Mobile platforms

Industry-leading targeting Performance & Innovation

Engaging contentYahoo! sites provide quality content

that is personalized and relevant to each user

Engaging content

Massive reach160 million users* and 80% of the US online population*

99

Yahoo! delivers

Yahoo! is where millions of people go everyday to see what is happening with the people and things that matter to them most

and where advertisers go for the most compelling marketing solutions.

Source: ComScore, September 2009

Massive reach

1010

Source: comScore Media Metrix, September 2009

Yahoo! offers massive reach globally and in the US

Yahoo! has unprecedented reach and delivers one of the largest audiences on the web. Our audience is large and deeply

engaged.

Yahoo! reaches over 595M+ unique users globally

Yahoo! Network reaches 160M unique users in the

US

12% of all time spent online in the U.S. is on

Yahoo!*

Yahoo! sites log more than 4.4 billion visits per month

in the US

11

Yahoo! offers the audience you are looking forWho is on Yahoo!

98 million between the ages of 18-49, 82% reach80 million men and 75 million women40 million have graduated college

TOTAL REACH of 160 MILLION MONTHLY CONSUMERS

Reach of 80% of the online audience35 million with a HHI of $100,000+

Source: comScore Media Metrix, September 2009

Yahoo! connects you with your audience

1212

The most visited web page in the US

The new homepage simplifies the Web, making it easier for users to check in as part of their daily routine, and discover more about the people and things that matter most.

The new Yahoo! Homepage provides advertisers unique opportunities to access one of the largest audiences on the Web, delivering relevant, customized ad experiences.

1313

61% of the entire US online audience uses the Yahoo! Homepage each month

Top Homepage Sites(Unique domestic daily audience in millions)

• Yahoo! has experienced significant year-over-year growth of 31%

• MSN has grown 15%

• AOL year-over-year growth is flat

• MySpace has experienced -9% decline year-over-year

Source: Comscore Media Metrix September 2009

The Most Powerful Homepage on the Web

41MM UUs

Yahoo! US Homepage

19MM UUs

MSN Homepage

14MMUUs

AOL Homepage

11MM UUs

MySpace Homepage

1414

Yahoo! as several leading properties that outperform the competition and hold the #1 position including:

comScore - August 2009

Yahoo! attracts users with engaging content

E-mail

1. Yahoo! Mail

2. Win. Live Hotmail

3. MySpace Mail

Y! UVs: 106,621

Finance

1. Yahoo! Finance

2. AOL Money & Finance

3. MSN Money

Y! UVs: 23,542

News

1. Yahoo! News

2. CNN

3. MSNBC

Y! UVs: 47,260

Photos

1. Facebook.com Photos

2. Photobucket

3. FLICKR.COM

Y! UVs: 23,665

Sports

1. Yahoo! Sports

2. ESPN

3. NFL Internet Group

Y! UVs: 29,168

Source: comScore Media Metrix, August 2009

Base: P2+ U.S. data, Note: Homepages is not a traditional category in comScore’s service

*Not Shown: Yahoo! Green ranks #2 in Environment, Yahoo! Small Business ranks #3 in Small Business

Monthly figures unless otherwise indicated

Yahoo! is ranked among the top 3 sites in 26 key categories

Autos

1. eBay Motors U.S.

2. Yahoo! Autos

3. AutoTrader

Y! UVs: 7,957

TV

1. AOL TV

2. Yahoo! TV

3. MSN TV

Y! UVs: 12,171

Games

1. EA Online

2. WildTangent3. Yahoo! Games

Y! UVs: 17,553

Search

1. Google Search

2. Yahoo! Search

3. ASK Network

Y! UVs: 89,668

Local/Maps

1. Google Maps

2. Mapquest

3. Yahoo! Maps

Y! UVs: 12,680

IM

1. Yahoo! Messenger

2. AIM.com/AIM App

3. MSN Msngr

Y! UVs: 36,393

Groups

1. Facebook Groups

2. Yahoo! Groups

3. Google Groups

Y! UVs: 8,316

Home Pages

1. Yahoo! HP

2. Google HP

3. Facebook HP

Y! UVs: 117,913

Movies

1. IMDB.com

2. Yahoo! Movies

3. Moviefone

Y! UVs: 15,594

Travel

1. TravelAd Network

2. Yahoo! Travel

3. Tripadvisor

Y! UVs: 9,945

My (Custom)*

1. My Yahoo!

2. iGoogle

3. My MSN

Y! UVs: 25,296

Careers

1. Monster

2. CareerBuilder

3. Yahoo! HotJobs

Y! UVs: 17,615

Reference

1. Wikimedia

2. Answers.com

3. Yahoo! Answers

Y! UVs: 44,294

Personals

1. SinglesNet

2. Yahoo! Personals

3. Match.com

Y! UVs: 3,132

Portals

1. Yahoo! Sites

2. Microsoft Sites

3. AOL LLC

Y! UVs: 158,043

Music

1. AOL Music

2. MySpace Music

3. Yahoo! Music

Y! UVs: 17,115

Shopping (Comparison)

1. Yahoo! Shopping

2. Shopzilla.com

3. Shopping.com

Y! UVs: 20,875

Entertainment News

1. omg!

2. TMZ

3. People

Y! UVs: 19,149

Real Estate

1. Move Network

2. Yahoo! Real Estate

3. AOL Real Estate

Y! UVs: 6,664

15

Yahoo! is a Leader

Yahoo! Monthly Unique Visitors (000) Noted in Yellow

16

Brand Campaigns Performance Campaigns

ROI

BRAND AWARENESSBRAND FAVORABILITY

BRAND PREFERENCE

BRAND LOYALTYBRAND

ADVOCACYEFFECTIVE

REACH

ROI

BEST

PROSPECTS

PROMOTIO

NS

STORE

TRAFFIC

ACQUISITIO

N

REACH

MORE

QUALIFIED

LEADS

LEAD

GENERATION

Yahoo! Marketing Solutions are Designed to Meet Your Objectives

Yahoo! meets your objectives with industry-leading solutions

17

Yahoo!’s Extensive Product Portfolio Can Deliver the Solution You Need

• Yahoo! has a variety of ways to deliver your message

• Unique, creative ad formats on a variety of platforms– search, display, video, mobile

• Targeting Capabilities– A Breadth of targeting options

• Custom solutions– microsites, cool front page takeovers

Search Display

With more than 2.6 BILLION searches conducted on Yahoo!

monthly, Yahoo! offers a search experience that help

consumers find what they are looking for online.

As the leader in display advertising, Yahoo! can offer you high quality ad inventory and access to an extremely loyal, engaged audience.

18

* Source: ComScore Ad Metrix Publisher, August 2009

Yahoo! is the Ideal Partner to Help Marketers Create Integrated Digital Campaigns

The combined power of search & display deliver results

Search Display

Search & Display together can provide an increase in online and offline purchasing

Across eight industry categories,

1. August 2008. Specific Media: study leverages 12 months of proprietary Specific Media Ad Effectiveness data backed by comScore, tracking more than 60+ Specific Media campaigns to draw averages demonstrating the direct correlation between display advertising and search.

Research reveals that consumers across industry categories who were exposed to display advertising were more likely to search for brand and segment terms than unexposed consumers.1

when users were exposed to display advertising.

there was a

average lift on search activity

100%101%102%109%123%155%

20

MobileYahoo! reaches 35.4 MILLION monthly unique

mobile internet users

Source: U.S. comScore Media Metrix data, September 2009

Yahoo! is the Ideal Partner to Help Marketers Create Integrated Digital CampaignsReliance on the mobile functions will further increase as mobile

devices improve, applications proliferate and mobile users become more sophisticated

Mobile

Video

2121

Source: U.S. comScore Media Metrix data, March 2009

Yahoo! is the Ideal Partner to Help Marketers Create Integrated Digital Campaigns

Online video has become a pervasive part of our everyday lives, with well over 12.5 billion streams per month

Yahoo! streams billions of videos each

year, ranging from professionally-produced TV

programs to original Web-exclusive content

to user-created and user-submitted clips

2222

Yahoo! meets your objectives with industry-leading targeting solutions

Yahoo’s data and insights are the foundation of a comprehensive suite of targeting tools. Our advanced targeting options help you reach the right customers at the right time.

Robust targeting tools help you connect to the customers that matter to you most

2323

Targeting, Performance & Measurement

• The combination of Yahoo!’s data and the ability to leverage and utilize outside data sources, enrich and extend our targeting capabilities to reach the audience you are looking for

• We have resources to help & optimize– Proprietary in-house research

team

• We have measurement tools and vehicles– Yahoo! Web Analytics tool to

track user behavior

• Nielsen partnership to measure impact of Yahoo! advertising to offline sales (Consumer Direct)

Yahoo! provides deep insights into the audiences you want to reach

2424

The Yahoo! Ad Network provides reach and frequency

• The Yahoo! Ad Network delivers:– Unmatched consumer insights and

user engagement with the ability to aggregate audience insights from our own data

– Ability to select and scale the best performing audiences and provide opportunities for more advanced marketing strategies

• The network reaches 88% of the US internet Audience and tops the chart in user engagement

• The Yahoo! Ad Network has the highest frequency of any comscore ranked property of network– we outrank our closes competitor by 40+%

Source: U.S. comScore Ad Network Report, September 2009

2525

What Differentiates Yahoo!

• Yahoo! is capitalizing on trends and insights into the media landscape and capturing online engagement and understanding behaviors of consumers

• Yahoo! has a commitment to making Yahoo! the first place advertisers think of for their marketing messages

• Yahoo! continues to focus on our core strengths to deliver the right solutions for you

• Our vast audience• Engaging and relevant content • Targeting and consumer insights• Delivery of creative solutions

26

One stop shopping with Yahoo!

26

Unparallel reach

Measurability

ROI

Scalable Results Pioneers of Behavior Targeting

Unmatched Targeting

Capabilities

Branding and DR campaigns

Search and Display

Yahoo! is …

Providing YOU with the opportunity to connect with your consumers and deliver a unique and

creative online advertising experience

Engage with Yahoo!

Thank You!

Jean Pappalardo [email protected] 8185246144

Appendix

30

Learn More

Reach a vast, engaged audience with display advertising solutions, complemented by deep consumer insights and

industry-leading targeting to help you drive better results.

Innovative Display Advertising Solutions

31

Display Solutions: Rich Media

Next-Generation Ad FormatsStreaming, expanding, floating, surveying, wrapping units and more – creative concepts in attention-grabbing ads. Your imagination is the limit.

Integrated Dynamic Data-Driven Smart AdvertisingPresent a personalized message to your best customers by combining the power of our targeting and promotional opportunities with your creative concept. Tap into the Internet’s potential by using interactive ads that enable your customers to tell you what they want.

Measured EngagementBenefit from deep reporting that goes way beyond the click. Track time spent watching video, mouse-over interactions, poll results, average number of panels interacted with and much more. If you design it, we can track it.

32

Display Solutions: Smart Ads

123 X = 247,968 ads6 X 8 X 42

123Routes

6 PricePoints

Per Route 42Images

8 Background

Layouts

Smart Ads Combine Three Technologies:

• Dynamic ad generation• Automated

performance optimization (click / interaction / conversion)

• Targeted online advertising inventory

GOAL: Use data to construct the best creative for each user

33

• Ad Play• User Cue• Clickable• Call – to – Action

AMERICA’S BEST TRUCK

www.chevy.com

Our advanced video ad formats are designed to enable users to truly interact and engage with your message.

Display Solutions: Video Ads

34

Here’s how it works:Create an Ad – No designer needed and no additional development costs. Simply customize banner ads using our design tools, or upload your own creative.

Target Your Campaign – Specify the geographic locations and site-content categories you want to target. Specify a budget based on a maximum bid for cost-per-impression (CPM) and your cost-per-click (CPC) or cost-per-acquisition (CPA) goal.

Track Performance – Get daily reporting on clicks, impressions and conversions, then use our tools to maximize the performance of your ads.

If you have advanced targeting needs, our Yahoo! team can work with you on additional options such as demographic, behavioral, retargeting and more!

Display Solutions: Yahoo! My Display Ads

Yahoo! My Display Ads give you everything you need to create display ads and run them across the Yahoo! network in just days, no additional development cost or graphic designer needed!

35

Yahoo! offers a rich, comprehensive set of mobile ad products

designed to help advertisers tap into the rapidly growing,

lucrative audience of mobile consumers.

Innovative Mobile Ad Products

36

(1) Banner : 300 x 50

Eye-catching display ads can be targeted using the same wide array of options as traditional web banners. You can also integrate

features specific to mobile location and carrier targeting.

(3) Banner: 168 x 28 (4) Banner: 120 x

20

Yahoo! Mobile Display Advertising

37

Mobile Sponsored Search

The Many Opportunities to Reach your Customers with Yahoo! Mobile Sponsored Search.

Yahoo! Mobile Sponsored Search Ad Network

Category MarketplacesCategory-Specific

Advertising Opportunities for:

Mobile ConsumablesTravel &

AccommodationsChat /Social Networking

Yahoo! Run of Network

Extended Reach on Yahoo! Owned and

Operated Properties

iPhone & Blackberry Run

of NetworkDevice-Specific Run of

Network for iPhone and BlackberryCarrier Search

Access to the Top Carriers in the US

Mobile Sponsored SearchTraditional Search

Marketing on Yahoo! One Search

38

Yahoo! has and is delivering a series of Search enhancements that benefit consumers, advertisers and publishers.

Innovative Search Marketing Solutions

39

Rich Ads in Search are designed to deeply engage your target audience through images, videos and multiple

direct links to your site.

Search: Innovation with Rich Ads in Search

Can help boost CTR by as much as 25%!

40

Search: Transparency & Control with Ad Delivery Report

Allows our advertisers to see how their ads are performing on various partner sites.

*Analytics need to be installed to view conversion data

41

Gives advertisers the ability to adjust bids, budget, messaging and

traffic on Yahoo! vs. Partner sites (Coming Soon).

Search: Transparency & Control with Network Distribution

•Launched in Australia, September 2009

•Analytics need to be installed to view conversion data

•Launched in Australia, September 2009

•Analytics need to be installed to view conversion data

42

Desktop application designed to help advertisers manage

their campaigns more easily and efficiently.

Search: Transparency & Control with Yahoo! Search Marketing Desktop

“ Desktop helps save time and it takes less effort to manage Yahoo! accounts. ”

Agency client - Red Ventures

“ Desktop helps save time and it takes less effort to manage Yahoo! accounts. ”

Agency client - Red Ventures

43

Search: Enhancing Consumer Relevance with New Search Results

New Search Results Page• Designed to make Search more personally

relevant for our consumers – helping them find & explore the things that matter to them most

Enhanced Results/Search Monkey• Enhanced search results provide quicker access

to what people are looking for from sites they trust

• Search Monkey enables publishers and site owners to enhance their Yahoo! Search results by adding more detail, photos, flash video and games directly in the search results page

44

• Designed to help people get things done in one search by better understanding their intent and delivering the best results/most complete information

• Suggests additional search terms based on what is typed

Search: Enhancing Consumer Relevance with Search Assist

45

Yahoo’s data and insights are founded on a comprehensive suite

of targeting tools and our advanced targeting options help you

reach the right customers at the right time.

Behavioral

Consumer DirectRetargeting

Demographic

70

2934

1730

25

4513

44

18

35 50

20

6539

2112

Geographic

Industry Leading Targeting Capabilities

46

Objectives Targeting Solution Examples

Brand Awareness Demo, Y! Front Page, Y! Properties

Brand Favorability Demo, BT, Y! Properties

Brand Preference BT, Y! Properties

Brand Loyalty BT, Retargeting, Custom Segmentation

Brand Advocacy BT, Custom Segmentation

Promotions Geo, BT, Retargeting

Store Traffic Geo, Demo, BT, Consumer Direct

Lead Generation Demo, BT, Retargeting

Acquisition Demo, BT, RetargetingDir

ect

Resp

on

se

Bra

nd

To Meet Your Marketing Objectives

47

Yahoo! Behavioral Targeting enables advertisers to target customers with expressed interests in a category

or specific product. We go beyond the more common rules-based segmentation or clustering of users by sites

visited.

Behavioral Targeting

Our solution is powered by sophisticated modeling technology based on extensive online interactions that includes:

• Searches

• Page-views

• Ad interactions

Learn More

With these models, Yahoo! identifies what consumers are interested in and predicts where they sit in the Awareness-Consideration-Purchase funnel.

48

Unlike other demographic targeting services that try to guess age and gender based on consumer website visits,

Yahoo! Demographic Targeting is powered by age and gender information provided by consumers themselves.

48

Demographic Targeting

Learn More

Use Demographic Targeting When You:

• Want to target specific brand messages to key audiences to increase relevance

• Need to create mass engagement with key audiences that are more likely to respond to a message to increase performance

49

Geographic Targeting

A proprietary Yahoo! algorithm validates both IP address and location to ensure accurate location-based targeting.

Use Geographic Targeting When You:

• Offer services in a specific geographic area

• Sell products online and ship only within a specific geographic area

• Have an offline storefront where customers purchase products

• Want to drive targeted visitors to different local sites of your national company

• Need to test a specific location for market potential

• Are legally restricted to advertising within a specific geographic region

Learn More

Yahoo! leverages multiple data sources including Universal Location Manager, IP address and user

registration data to determine the most accurate user location.

50

Search Retargeting is a customized display targeting solution

that enables advertisers to retarget users that have searched

using a specific set of keywords.Consumer conducts a search using one of the targeting keywords*1

Results page is served with advertiser search ad in paid listings2

In as quickly as 15 minutes, a display ad is served across the Yahoo! Network3

Search Retargeting

* User is qualified for 30 days* User is qualified for 30 days

Enhanced Retargeting•Plug the leaks in the lower funnel

•Convert more users

•Maximize efficiency and ROI

Smart Ads•Broad buy to push volume into an efficient funnel

•Dynamic creative chooses best products, messages, and creative elements for maximum performance

Enhanced Retargeting

19

Consumer Direct

Why Yahoo!

• Target consumers by purchase behaviors

• Massive Reach across the Yahoo! Network

• 5+ years experience and over 300 documented campaign results

Reach your most valuable customers online and drive them to retail stores.

Benefits

• Drive 50% greater short-term sales per impression, according to Nielsen*

• Improve your digital ROI in offline sales

• Measure online impact on offline sales to meet accountability

*Nielsen statement on campaign results for January 2004 through May 2009. In a comparison of nearly 250 Consumer Direct and 50 non-Consumer Direct campaigns executed from 2004 to 2009, Nielsen reports the average Yahoo! Consumer Direct campaign generated 50% greater short term sales per impression than the average non-Yahoo! campaign measured by Nielsen.

Consumer Direct combines Yahoo!’s massive reach and targeting technology with Nielsen’s opt-in Homescan purchasing data and insights to make your online marketing work harder to drive offline sales.