I broke the news last night with my Search Engine Land post named Minimum Bids In Yahoo About To Change. In short, the Yahoo Search Marketing search network will no longer have a fixed minimum bid of $0.10.
It now has a quality metric:
(1) Value - the number of bidders and their bid amounts in a particular keyword market (2) Quality - the relevance of keywords, or how frequently users click on the ads associated with them relative to competing ads
What surprises me the most is some of the forum reaction towards this news. We have threads at WebmasterWorld, Search Engine Watch Forums and DigitalPoint Forums and all seem somewhat positive. Here is a quote:
Good News! Thank you for the update Pete.
But some are not 100% excited about this:
interesting which direction it will go. I bet for most keywords it will go up.
When Google launched this, most advertisers were very upset. In fact, many are still very upset. The attitude of advertisers here can make the biggest difference. Those advertisers that embrace the change and prepare for it will win big. Those that don't can see themselves spending a lot of money they don't need to.