Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Yahoo! Wants a Stock Exchange for Ads and Page Views

Don't let it get away!

Keep track of the stocks that matter to you.

Help yourself with the Fool's FREE and easy new watchlist service today.

We've heard the recurring notion that the traditional ad model is dying, despite the cutthroat battle raging between Google and Yahoo! (Nasdaq: YHOO  ) , especially in context-sensitive ad-serving. Well, we've seen some wacky ideas about how to monetize Web pages, and now Yahoo! has a new notion for how page views could be monetized: through futures contracts.

The value of a Web page to advertisers can shift dramatically, depending on a site's perception and performance. Especially for smaller sites that depend on services such as Adsense, there can be dramatic variations depending on their traffic as well as the origin and browsing history of their readers. There's a certain gamble already present in the ad game, and if Yahoo! has its way, then selling and placing ads could get another middleman and a touch of the investment world.

According to a patent filing, Yahoo! wants to trade an estimated base price of an ad at a specific future date on a stock-like ad exchange. From the patent filing:

Techniques are described herein for monetizing page views on an exchange using futures contracts. For example, an estimated price (a.k.a. base price) and a future date (a.k.a. base date or occurrence date) may be declared with respect to a page view. The estimated price is the price at which the page view is to be offered for sale. The future date is the date on which the page view is scheduled to occur. A futures contract regarding the page view is offered for sale on an exchange, such as an ad exchange. The futures contract specifies an obligation to purchase the page view with respect to the future date for the estimated price. The futures contract may be offered for sale on a date that precedes the date on which the page view is to be offered for sale.

The patent lays out details of how the value of a page view could be determined. In the background, however, it appears that Yahoo! is looking for ways to monetize Web traffic beyond the simple page view. Just as stocks are traded and traditional futures contracts are placed, the Yahoo! example is essentially trading the option to place ads. That may or may not work, and it could add a speculative component to the advertising market that gives even publishers -- who initially would sell those futures contracts as the right to place advertising on their site at a specific date -- an additional revenue opportunity. At least for those who like to gamble.

You can leave a response, or trackback from your own site.

More from ConceivablyTech:

Want to read more about Yahoo!? Add it to My Watchlist, which will find all of our Foolish analysis on this stock.

Yahoo! is a Motley Fool Global Gains recommendation. The Motley Fool owns shares of Google, which is a recommendation of Motley Fool Inside Value and Motley Fool Rule Breakers. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. This article has been lightly revised from its original version. The Motley Fool has a disclosure policy.

Read/Post Comments (1) | Recommend This Article (2)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On February 21, 2011, at 7:06 PM, the508seal wrote:

    FYI, A patent grants the right. There is no obligation to implement it.

    sam in silicon valley

Add your comment.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 1445262, ~/Articles/ArticleHandler.aspx, 10/26/2016 7:23:18 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,199.33 30.06 0.17%
S&P 500 2,139.43 -3.73 -0.17%
NASD 5,250.27 -33.13 -0.63%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

10/26/2016 4:00 PM
YHOO $42.08 Down -0.47 -1.10%
Yahoo CAPS Rating: **