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Yahoo Drags Down Google, Ebay. Is It Deserved?

Written by Evan Schuman
September 19th, 2006

After Yahoo announced today that it would scale back its third-quarter financial expectations because of weak recent Web ad sales, Google and Ebay joined Yahoo in a shared stock-fall ride. Let’s set aside for the moment that Wall Street’s “what have you done for me lately?” financial analysis is not the way to run an E-Commerce company. But there does tend to a lack of there there with much in E-Commerce today.

Yes, online ads are much easier to measure. But consumers are clicking less and less and advertisers are starting to question how strong a sales lead a clicker is anyway. Advertisers are absolutely pulling dollars away from print and putting it online. But will the online ROI keep them for the long term? I have serious doubts. (But, please, while you’re debating that point, click on a bunch of our Google ads. I love being proven wrong.)

Posted in E-Commerce, IT Strategy/Industry, Software
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