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Yahoo buys another ad network… and another

Posted by: Sean X on: January 4, 2012

And yet they still cannot seem to get the performance out them they expect. That is because they do not understand what they are buying. They are missing what is the value. They think it is a new technology, and it is NOT the technology.

Yahoo buys InterClick for $280 Million

MAGY (AOL, Yahoo, Microsoft and Google) keep buying Ad-Networks, and then the ad-network doesn’t pan out. And then they buy another one, and another. All of these ad-networks have some unique technology . And they keep scratching their heads how this ad-network that was making so much money, and so profitable just doesn’t seem to perform as well after they buy it. And they actually blame themselves; they didn’t “integrate” it properly.

And they all seem to miss what they are buying. And they continue to scratch their heads, and repeat this over and over.

Why? Because they are technology companies thinking that they are buying technology… and they are not.

They are buying a sales force, one that can sell. And then that sales force leaves because they just made “bank” and do not want to work for a bunch of also-rans in company X that bought them, under sales people who do not know how to sell, which is the reason they had to buy them in the first place.

And the star sales people leave, migrate to a new Ad Network which is “suddenly” the next great technology.

Quit thinking you are buying technology at ad networks, and do an end around and scoop up top sales staff instead. Give them a sick commission with golden handcuffs. It is a hell of a lot cheaper.

But alas, they are technology companies and seem to miss the obvious. It’s the people stupid.

ranty rant signing off…

1 Response to "Yahoo buys another ad network… and another"

I dont really understand why Yahoo is buying a ad network when they are losing market share?

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