Yahoo putting its faith in display ads with Tumblr purchase

05/29/2013 | MediaPost Communications

Yahoo's purchase of Tumblr shows that the search company is betting on the success of mobile display ads to monetize the social networking service, writes Larry Kim. As cost-per-click for Google search ads increases sharply for some industries, many marketers will be looking to cheaper options, including display ads, which boast average conversion rates only 16% less than search ads, Kim writes.

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