Yahoo introduced several new enhancements to their targeting capabilities this week including geo-targeting, ad scheduling, demographic targeting, and added bid adjustments based on those targeting features.

Now, according to the Yahoo Search Blog, you can incorporate different geo-targeting settings at different levels within the same campaign or ad group. For example, you can set a geo-target option for a zip code in New York and the entire state of California. In addition, you can set higher bid amounts for each geo-targeted location.

Another enhancement is the long awaited ability to day-part. Advertisers now have the option to have their ads be displayed at the designated time of their choosing. In addition, you have the option to increase your bids at specific times of day.

Demographic targeting will allow advertisers to target theirs ads to a specified group of people. For example, you can target females, ages 18-20. You will also have the option to set a premium bid for audience segments you feel are more valuable.

With these improvements, advertisers have greater control over who sees their ads. They also have the ability to drive a more targeted user to their website and get higher qualified customer.

Many search engine marketing professionals, have viewed Yahoo as a secondary search engine to Google; with fewer audience targeting options and no dayparting available, it has not been easy to synchronize online advertising efforts as with Google campaigns.  However, this may change very soon.  Later this week, Yahoo will unveil its enhanced targeting features for their Search Marketing program. 

Yahoo’s new enhanced options will finally allow advertisers to schedule their ads with day parting.  There will also be an option to select multiple states, cities, DMAs, zip-codes, and mix and match for each campaign.  The option to combine zip codes with specific states, cities or DMAs is not available on Google, or any other search engine for that matter.

Yahoo goes one step further with its targeting functions by allowing advertisers to target audiences demographically on a search campaign.  Audiences can be targeted by gender or age.  While Google also has a demographic targeting option, it is only available for content campaigns; Yahoo’s option allows for demographic targeting for both search, as well as content campaigns. 

These new Yahoo features only allow for advertisers to reach a more specific audience.  According to Michael Walrath, Senior Vice President, Advertising Marketplaces Group at Yahoo, ‘As the economy continues to put pressure on advertising budgets, marketers are looking for increased accountability for every dollar they spend. Yahoo!’s new targeting products significantly improve the ability for search and display advertisers to reach their target audience, providing increased efficiency and accountability.’

This is a new era for Yahoo Search Marketing; the enhanced functions and features are only the beginning.  It’s not clear whether Yahoo will become the next Google, but one thing is for sure, they are moving in the right direction.

Yahoo match types differ from Google and MSN, which have exact, phrase and broad.

Exact match allows your ads to appear when a user searches for the specific phrase without any other terms in the query.  With phrase match, your ads will appear when a user searches on that phrase. Searches can contain other terms before or after the query as long as the query includes the exact phrase of your keyword. Broad match allows your ads to appear when a user’s search query contains the keyword, in any order, and possibly along with other terms. Ads could also show for singular/plural forms, synonyms, and other relevant variations.

These are the match types that we are all most familiar with. However, Yahoo’s match types, advanced and standard do not fall in line with the other major engines. Advanced (the default) selects and displays ads for a broad range of searches based on your keywords, ad titles, ad descriptions, and/or web content. Standard shows ads based on exact matches to your keywords. It also takes into account singular or plural variations and common misspellings of your keywords.

Why does match type even matter, you may ask yourself? Match types allow you the control to filter out irrelevant traffic, thus driving more specific queries to you. Each match type will have its advantages and disadvantages. For example, if you used advanced match in Yahoo, you will have an opportunity to generate high levels of traffic. One disadvantage is that your ads will be served on what Yahoo deems as related content. Even though you aren’t bidding on the specific word, your ad could still be displayed. For example, if your website had content related to shoe accessories, your ad might show when someone searches for “shoe repair”. Standard is the other option in Yahoo. It is more similar to exact, except your ads will display for misspellings and plurals of the keyword. One benefit to using this match type is you have more control of when your ads will be shown. Standard will limit the amount of irrelevant clicks. However, using standard will also limit your traffic.

When creating accounts in Yahoo, the default match type is advanced. If you are thinking about using standard, change the match type at the account level, campaign level and ad group level. Determining your advertising goals prior to setting match types will help you capture the amount and type of traffic you are seeking.