Yahoo wasn’t able to sell a significant portion of it’s Class 1 display space

I’ve written about Yahoo here and here.  Missteps like this are hard to diagnose.  I suspect the canary in the coal mine is always losses within the sales organization, leading to disruption.  At that point, it’s hard to distinguish whether you’re dealing with a sales issue vs. a product issue.  Sounds like Bartz is holding on to the belief that it’s the former and not the latter.

 

When Yahoo does not manage to sell the available space on its premium pages at a guaranteed high price, it channels the space as Class 2 display into the ad exchanges, where it is sold at much lower rates. In the second quarter, a significant portion of its Class 1 display space in the United States market failed to sell.

via Yahoo Wins Over Users, but Not Advertisers – NYTimes.com.

“trading desks will see their margins compress as more clients ask questions”

The future of media buying is destined to be more algorithmic, which in turn will make executing these buys less specialized and more expected. One industry analyst suggested the trading desks will see their margins compress as more clients ask questions. What today is 12-15-percent margins will end up following the pattern of search management to arrive back at the 1-2 percent range.

via DIGIDAY:DAILY – The Trouble With Trading Desks.

Yahoo/Right Media’s Internship program to develop media traders

To ensure a successful program that enables our clients to really excel, we have developed an on-site internship program for a period of three to six months to grow and develop the skills of a successful media trader. The skills required of a media trader marry the instincts of a marketer with the expertise of a Wall Street trader. They must identify their audience, understand the technology, interpret and utilize data, and then apply new knowledge and insight gained to each campaign. While developing this skill set takes time, we have found that an on-site internship program provides the time and resources necessary to nurture successful media traders.

via Memo to Agencies: Change is Good!.