The New York Times reports Yahoo is launching "SmartAds." SmartAds is a product that leverages behavioral targeting data with search data, to generate "custom advertisements on the fly."
How does it work?
For example, a person who had recently searched for information about blenders might see an ad from Target that gives the prices for the blenders that are on the shelves in the store closest to that person’s home.
The advertiser gives Yahoo their logos, tag lines and images. The store owner will provide details about what the store offers to Yahoo. Yahoo will then match the retailers products and image creatives with the Yahoo users’ demographics and actions across the web, to deliver a targeted and customized ad.
“We’re doing real-time creative assembly that leverages what we know about our audience,” Mr. Teresi said. “You can buy the entire Wall Street Journal site, and when a female shows up, we will create a different ad or when someone from New York shows up, another one.”
Behavioral targeting is nothing new. But making display ads work more like search ads, "applying personalization to display ads, so they work like search and listing ads," just shows that the search ad model works - and works well.