Yahoo! (YHOO) Keeps It Lead: May Internet Traffic

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By Douglas A. McIntyre Published

comScore’s new traffic figures for May show Yahoo! (YHOO) maintaining a comfortable lead in total unique visitors over Time Warner (TWX), and Google (GOOG). Yahoo! had over 130 million unique visitors in the US, ahead of its two rivals who each came in at just above 120 million. Microsoft (MSFT) ranked fourth with 113 million.

The study raises the question once again as to why Google does so much better financially than the Yahoo! and Time Warner sites (which include AOL). The answer would appear to be targetting, The effective yield-per-page-view for the text ads on Google must be superior to the same ads on Yahoo! and AOL. The two web portals run dislay ads as well.

Another factor is that Yahoo! and AOL have huge numbers of "remainders", which are pages which have not been purchased in advance by advertisers. These pages are sold off at very low rates through networks including ValueClick and Advertising.com. Google’s text ad formula appears to work well enough so that it is not plagued by these low yield advertisers.

The numbers do, in fact, indicate that size is not always what matters, at least in terms of what advertisers will pay for.

Douglas A. McIntyre

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About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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