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Russia & Yahoo! in the Global Internet Advertising Market:

Marvin LiaoSept 18, 2009

To connect people to their passions, their communities, and the world’s knowledge.

To be the “Must Buy” and “Partner of Choice” for the Top Advertisers and Agencies in the World.

CONFIDENTIAL YAHOO! Do not distribute3

Yahoo! reaches 500+ million users everyday in 39 markets and 31 languages

Why Yahoo!??

Source: Yahoo! Internal Data.

Canada

UK

France Germany

Russia

China KoreaJapan

TaiwanHong Kong

Australia

South East Asia

IndiaItaly

Catalan

Spain

Argentina

Brazil

Mexico

USA

#1 Web destination in the World 500+ million users monthly!

#1 Start Page in the world: Yahoo.com

#1 in Personalizationmore online users personalize their Start Page with Yahoo! than with any other portal

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Gaming

EmailDomestic + global?

TVInstant Messaging Podcasts

Blogs

RadioSMS

TiVo/DVR

Groups

Mobile

Magazines

Social networksFacebook

YouTube

iTunes

Peer-to-peer

Time-shifting

Surfing

Billboards

Social media + programmed content?

Mix of traditional + online?

Buy direct + use an ad network?

Mobile devices

Video + search + display + mobile?

Context + behavioral targeting?

Online

Questions we’re hearing from marketers:

• “How do I get my audience’s attention?”• “How do I participate in their conversations?”• “What’s the right balance of investment to reach my consumers?”

• Broad reach to quality audiences• Unmatched consumer insights• Increased relevance and engagement• Partnership for results

Yahoo! provides:

DISPLAY:

Rich Media

Geo Targeting

Demo Targeting

Behavioral Targeting

Retargeting

Dynamic Ads

Enhanced Retargeting

Promotions

Custom Solutions

MOBILE:Mobile Display (with targeting, class2 CPC)Mobile Search (OneSearch, run of network)

THE EXC:Class 2 HANGEReverse Look upPixeling

Clickable Video AdsInteractive Video AdsSmart AdsConsumer Direct AD UNIT SIZES:

LRec – 300 x 250North – 728 x 90Monster – 425 x 600Sky – 120 x 600NT1 – 954 x 60

SEARCH:

Sponsored Search

Search Submit Pro

Content Match

Rich ads in Search

Product Submit

Travel Submit

AUDIENCES:BoomersTeensAffluent shoppersCar buyersWomen 25-54MomsYoung men

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Designs selected by Demo

Optimal Messaging selected by Multi-variate Learning

Products automatically selected for best performance

Dynamic Interactive Content pulled from Feeds

A Sample Smart Ad

Yahoo! Proprietary and Confidential. ©2007 All Rights Reserved

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What is a Smart Ad?Dynamic Generation and Optimization of Rich Media Ads

• Dynamic ad generation: A flexible ad unit that can have millions of variations

• Automated optimization: A smart server that will experiment to find the best performing variation for each user

• Highly targeted ad inventory: More targeting data enables better decisions regarding which variation to show – and Yahoo has the most highly targeted inventory in the world

Yahoo! Proprietary and Confidential. ©2007 All Rights Reserved

Smart Ads combine three technologies:

Smart Ads - an example

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10 images

5 Backgrounds• This simple example has

150,000 possible variations – far more than is possible without Smart Ads

• A particular variation is selected for each impression for maximum performance and geographic accuracy

• Link directly to ticket purchase

• Showtime data provided by studio or from online vendor

• Far more variations possible – variable headlines, fonts, layouts, embedded videos, etc.5 x 10 x 3,000 = 150,000 variations

3000Theaters:

Nearest theatershown by default