A Man, A Plan, and Anna Nicole Smith.

Yahoo!’s
much-hyped release of their new ad system upgrade, dubbed Project Panama,
was set amidst the hoots and
hollers of plummeting – or at least under-performing – profits. Everyone
was crossing their fingers in hopes that the new ad ranking system would help
the portal to gain some ground and close the Google text advertising gap.

Conceived
9 months earlier, Panama was the baby that Yahoo! had pinned their hopes on, predicting that that
overhaul would increase profits by at least 45%, taking effect by mid-2007.
Loren Baker had remarked
on Search Engine Journal:

Yahoo’s new Search Marketing technology should come more relevant
advertisements across keyword searches and the Yahoo Network, leading to more
clicks and in turn; more revenue.

Coulda,
woulda, shoulda. We awaited the results with breath that was bated. Finally,
comScore released
preliminary data analyzing the changes in Yahoo!’s click-through rates for
sponsored search ads. The results? Positive.

However.
Someone here in the Digital Axle office, cleverly disguised in Diesels and blue
Vans, has the observation skills of a KGB spy. He noticed something very fishy
about Yahoo!’s supposedly new relevant advertisement keyword search. Being: they are
not as on the ball as they think they are.

At
precisely 3:15 pm on the fateful day
of Thursday, February 8th, he took a screenshot of both Google and Yahoo’s
search results for “Anna Nicole Smith”. Note that the ads for Google include
relevant hits like TMZ.com and PETA’s remembrance of her “dedication to
animals”. The Yahoo ads? Rich Slimming Wu Long Tea, other diet products, and
DVDs. Not so up-to-the-minute, are they.

We’ll see what happens in Q3 when Panama really starts taking its first steps. We just hope, for Yahoo!’s sake, that
it doesn’t fall flat on its face.

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