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Yahoo Adds Zip Level Targeting To Its Local Search Ads

Pay Per Click November 6th, 2008

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Yahoo Sponsored Search Advertising  Yahoo Sponsored Search Advertisers can display ads by individual zip code targeting. In a recent announcement through the Yahoo Search Marketing Blog, Yahoo revealed the news of their new, more precise geo-targeting choice for search advertisers. This new option will give you the opportunity to have your ads displayed by zip code targeting, whereas previously advertisers could only mass target the whole states and/or DMA’s (Designated Marketing Areas). Geo targeting is pivotal to the continued existence of many businesses. More and more advertisers are looking for niches and sometimes that is a regional niche. This addition has positioned Yahoo! along with Ask.com, the lone search engine to offer specific zip level based targeting facility to advertisers.

Though Google AdWords doesn’t offer exact ZIP code targeting, it does let advertisers to use ZIP codes as the basis for ad targeting (‘ads will show 20 miles around zip codes’) and lets advertisers choose custom target regions to display their ads (which could be chosen to go with ZIP codes).

According to Yahoo Communications Manager Kastle Waserman -"Our new geo-targeting system is designed to help you hit the bullseye with your ads every time! "

YSM blog says: 

Geo-targeting is a clever little feature that can analyze a user’s search query, their Internet Protocol (IP) address and other user information to determine where they are and what ads to serve to them. For example, if you select Portland as a geo-targeted region for the sale of your product, searchers with an IP address in Portland will be served your ad. If you’re a Portland business, you’re likely to get more relevant clicks that can lead to more sales. Our new updates give you the chance for even more relevant clicks.

Yahoo’s new Zip code geo-targeting appears with an interactive mapping interface marketers can use to select cities and Zip codes. The city menu includes about 3,500 municipalities in the U.S and Canada, allowing advertisers to deliver their campaigns down to cities and zip codes.

YSM blog explains how to set about the new geo-targeting option: Geo Location Targetting

The new geo-targeting option is accessible now to all Yahoo Sponsored Search advertisers when you sign up for your account online, below the "Campaigns >> Campaign >> Campaign Settings" tab in your account. Then select "Geo-Targeting", from there you can use the drop down to select your target area by Entire Market, Country, State/Province, DMA , City or ZIP code. A map will provide a visual of the areas you are selecting.

Zip Code Targetting"Zip/postal code" is given as one of the drop down menu option along with DMA and city options. Once zip code targeting is selected, the advertiser can supply the list of zip codes to yahoo, which then returns the targeted areas for the chosen zip codes.

With the evolution of local search marketing, it has become possible for agencies and small business owners to get familiar with search engine marketing thus bringing very qualified leads to their online business. For local business service industry such as hair salons, body shops, realtors, private health care, law firms or transportation services local search has a greater significance to their advertising campaigns. Yahoo explained in its Sponsored Search system; "Please note that geo-targeting accuracy is not guaranteed and may vary depending on the level of targeting selected, as well as other factors ". Those advertisers prefer zip code over DMA for geo targeting their ads will welcome the new option in Yahoo Sponsored Search.

So what does this mean to Paid Search advertisers?  I’m not sure at this point.  If you are in this industry you already know that Yahoo! and its paid search system has been deplorable of late.  This upgrade to me shows that they may possibly be renewing their efforts to improved a system that has been incredibly flawed over the last months. 

Time will tell if the enhancements continue. 🙂

Post By Asha (54 Posts)

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