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Yahoo/Wal-Mart Deal Further Blurs Publisher-Retailer Line

Author: WireSpring on 2008-06-05 13:28:27

According to this press release (ironically, on Yahoo News):
Yahoo! announced a strategic, multi-year relationship for online display and video advertising with Walmart.com. This agreement enables Walmart.com to leverage Yahoo!s advertising platform to present new offers to online customers. Yahoo! also becomes the exclusive portal to resell Walmart.coms display inventory.

Yahoo! will bring its extensive network of leading brand advertisers to Walmart.com and serve as the primary marketing and sales channel for the site's display and video advertising. Yahoo! will also apply its industry-leading ad-serving, targeting and inventory management capabilities to power ad pricing, targeting, delivery and reporting for Walmart.com. The site will ultimately become a participant in AMP! from Yahoo!, the recently announced advertising management platform that will become available to publishers later this year.

This announcement builds on our strategy to be the partner of choice for leading brands looking to engage more customers with compelling offers online, said Todd Teresi, senior vice president of the Yahoo! Publisher Network. "By combining Walmart.coms leading position as a multi-channel retailer with our industry-leading display advertising sales and ad management technology and sales force, we will be able to provide advertisers with the easiest, most effective way to deliver targeted, relevant marketing messages to Walmart.com shoppers."

Our take:

As AdAge pointed out, many take the announcement as a further sign of the blurring between retailer and media company.  Wal-Mart has already been operating what is essentially the nation's fifth largest network -- Wal-Mart TV -- for many years now, though clearly it has been thought of as an advertising vehicle exclusively (well, ok, most of the other major networks seem to have the same mentalit nowadays).  The deal with Yahoo! extends the retailer's own reach and audience size while giving Yahoo! access to Wal-Mart's already-enormous customer base.



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What's this blog about?
Whether you're new to digital signs and kiosks or you've been in the business for years, you've probably noticed that nearly every announcement and press release contains a huge amount of hype. Our goal with this blog is to provide coverage of the more interesting happenings, along with commentary to give you a reality-check on what matters and what's just fluff. We post new articles several times a week.