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Yahoo! has closed the gap on Google's 2006 revenue from online advertising because it keeps a greater proportion of advertising spend, according to soon-to-be-published data.

Revealing contents of an imminent report into portal site economics, Jupiter Research analyst David Card said market share at the big four broke down as follows in 2006:-

  • Google - 17%
  • Yahoo! - 16%
  • AOL - 8%
  • MSN - 7%
  • All others - 52%

Jupiter's figures are based on ad revenue after payments issued to advertising partners, suggesting Yahoo! holds on to a greater proportion of search marketing spend.

Earlier eMarketer figures that did not account for these so-called "traffic acquisition costs" had placed Google's revenue share way ahead of Yahoo!'s at 25.3% against 18%.

And latest figures published by eMarketer yesterday using the same calculations project that lead will extend still further by year's end...

  • Google - 32.1%
  • Yahoo! - 18.7%
  • AOL - 9.1%
  • MSN - 6.8%

... meaning the big four portals make up 66.6% of the total online advertising sector revenue, while the leader gobbles up a third.

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Published 21 March, 2007 by Robert Andrews

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Comments (1)

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Chris Speed, Head of Paid Search at I Spy Search Ltd

I wonder what this would look like for the UK market?

over 9 years ago

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