Yahoo Bows out of Search – Bing Becomes the New Number 2

As you probably read last week, Yahoo! has given up on chasing Google in the search engine market. Microsoft’s Bing will now supply Yahoo’s search results, and Adcenter will replace Panama in PPC delivery.

Well, we could all sort of see that coming though, couldn’t we? Between bid offers for Y! and talk about the number of balls they’d dropped over the years, it was only a matter of time.

But so what? The real question for everyone else is, “how will this effect me going forward with my SEM campaigns?

1. You now have to know how to optimize for Bing. Last month I was still telling people, “don’t worry about Bing. It’s just another Microsoft search property that will be changed out for something else completely new in two years, without ever gaining any traction.” Microsoft Network, MSN, Windows Live… there was no reason to believe Bing would be any more important.

With this deal, however, their market share in search jumps from a paulty 13% and fading slowly to 33%. Google still has more eyeballs of course, but Microsoft’s reach has just jumped dramatically.

2. Get used to Adcenter. This is actually a minor Godsend, as Yahoo’s Panama was always something of a pain. I’ve been a fan of the simple yet utilitarian Adcenter for a while, and now, again, it’s worth doing. If Microsoft can manage to squeeze more convertability out of the traffic analytics they just inherited from Yahoo!, you may end up spending more of your PPC budget there.

So what happens if Micorsoft makes their PPC traffic profitable?

3. Expect Google to Retaliate. Not in a sinister way, but in a competitive way, Google will answer the challenge that Microsoft presents. They have the most eyeballs, but to continue to make their millions they need to continue to be thought of as the best place to spend a PPC budget.

As for natural search, I don’t think people will be bailing on Google for Bing anytime soon. Whether they do or do not, however, Google is always updating their product, so you need to stay on top of what they like. The best way to do that is read the findings of other SEO professionals. Webmaster World is a good source of information I recommend – either for learning how to optimize for Bing or Google.

4. Go to the next Search Conference you can. In most any other year, these things are a waste of time. Speakers in a slow news year will talk about a lot of different things that may be useful, but hardly ever necessary. This year, however, it will be necessary for you to learn about what people are doing about Bing. You can also make good contacts there with other marketers and exchange information over time as you both come home and implement your changes.

5. You won’t have to pay for Yahoo! Search products anymore. It goes without saying this, but I’m just happy to be able to. This used to be de rigueur advice for doing well on Yahoo!. For example, the cost for being included in the Yahoo! Directory is $299, and while it did help rank better, it always made me feel dirty. No one should ever charge to be in a directory – if a directory has any quality, they don’t need to. They make their money from all the great traffic they bring in. A cash-strapped Yahoo!, obviously, didn’t mind. Now that they aren’t providing results, you don’t need to worry about it anymore. The directory itself delivers very little quality traffic – few do anymore. Don’t waste your money on it.

While I think it’s sad that search’s Big 3 is no more, it’s really only bad for end users – people searching for something now have one less venue open to them. There again, if there was any room for competition in search, surely by now some new search property would have come out to challenge Google, or Yahoo! or MSN. Since it has only been these three for so long shows there hasn’t been much innovation in a long time. If some new search engine can move into the vacuum left by Yahoo! it will. That one hasn’t in all this time may be a clue that none can.

In the meantime, the good news coming from this is all for us marketers. We now have one less property to worry about optimizing for or spending PPC budget on, while still reaching roughly the same number of people.

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3 comments

  1. Great piece. I still haven’t seen enough traffic from Bing for it to be worth me learning how to do SEO for it. I see a lot of traffic from the paid side, but I think it’s from the content network the ads run on. Also they aren’t running their ads on Yahoo yet.

  2. Thanks, Dave – yes, the takeover is going to take place of the next 10 YEARS, and anything can happen between now and then. Some kid starting high school this year could be out of MIT and selling a game-changing search product by then.

    And the deal hasn’t even gotten SEC approval yet, so who knows?

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