Yahoo! Launches Quality-Based Pricing

Yahoo! announced via its blog today, a new pricing model called “quality-based”.

Their blog post says:

Previously, you were charged the same for traffic from all web sites within our distribution network. Now, with quality-based pricing, you may be charged less for certain clicks than you otherwise would pay, depending on the overall quality of the traffic provided by our distribution partners. As a result, your click charges can decrease.

“Quality” is calculated based on conversion rates and other measurements of the ability of our partners’ sites to deliver more interested, valuable customers to you.

For clarification, the change is ONLY on network sites (YPN) and not to the Yahoo! paid search. The change starts today and is going to be slowly rolled out. So why did Yahoo! wait until the day of the launch to let their customers know there was going to be major updates to the pricing model? I have no idea.

Yahoo! is on a roll today after launching their search API. I think it’s great their are finally going to start quality-based pricing, though they are about a year and a half behind Google.

Technorati Tags: yahoo search, quality-based, search

Spread the word:

If you like this post, then consider subscribing to our full feed RSS.

This is the kind of stuff that drives me crazy and has me pushing away a lot more from these networks as a publisher. They may as well just say, “If you write a lousy landing page up and can’t convert your traffic, hey, don’t worry about it! We’ll punish the publishers whose valuable space you’re hoarding for your crap, rather than letting you suffer with the reality that your copy sucks! Yay!”

wait…soo yahoo now does the same thing of postiong based on CTR?