Interactive Local Media Advisory
Yahoo! Goes after Both the 'Chicken and Egg'
Neal Polachek,Greg Sterling , 8/19/2004
past two weeks, Yahoo! has launched a new consumer-facing local
search site and a suite of upgraded Internet products and services
for small business, most notably domain name registration for
US$9.95 per year. Though outwardly unrelated, these two developments
are very much connected in seeking to address both sides of what’s
been called the “chicken and egg” problem of local
search. Search sites need content to attract local search usage
and, in turn, advertisers. But without enough advertiser content,
there won’t be sufficient usage.
usage side of the equation, Yahoo! Local search offers
a single entry point into a wide range of local Yahoo!
content. Still in “beta,” it has strengths
and weaknesses. Its strengths are the simplicity and usability
of the interface and the enhanced features and capabilities
it offers. On the content side, Yahoo!’s range of
merchant solutions is part of an aggressive bid to get
small businesses online and become the leading provider
of small-business Internet services. With these two initiatives,
Yahoo! is ambitiously tackling both sides of the chicken
and egg problem simultaneously.
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