Yahoo announced the rollout of a new feature that they call quality-based pricing. They claim that this is an ongoing effort to raise the value of their sponsored search and content match products.

So far all traffic for a particular keyword was billed at a certain amount. Now, with the introduction of Quality based pricing the cost per click will differ based on the quality of the websites that are providing traffic to you.

Yahoo claims that “Quality” is calculated based on conversion rates and other measurements of the ability to deliver more interested and valuable customers to you from particular distribution partner sites and discounts will be automatically applied to your account.

They also claim that cost per click should decrease. Its too early to conclude if that is going to happen… Lets wait and watch!

Tags: PPC

This entry was posted on Monday, June 11th, 2007 at 1:27 pm and is filed under Pay Per Click. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.