The outward effects of a potential Microsoft-Yahoo merger in terms of reshaping the online advertising environment are little despite the media attention, according to LA-based interactive advertising agency Apollo Interactive.
Director of Advertising at Apollo Interactive, Coleman Engellenner, comments: "A merger would consolidate two major players, but it would be insignificant in the grand scheme of planning and buying digital media, as we currently have hundreds of ways to generate considerable reach."
A merger, while both Microsoft and Yahoo each draw much attention on their own, would not have any significant impact on the way in which media is bought or evaluated, or the way in which consumers use the sites.
The merger in which AOL, bought both Advertising.com and TACODA in 2007, has resulted in revenue losses as they face struggles to unite the ad sales divisions. The merger also has not changed the way media planners and buyers buy AOL properties yet. Microsoft and Yahoo are essentially the same: portals with search engines. The increased ability to reach Hotmail and Yahoo mail users under one buy is maybe the only noteworthy effect the merger could have.
Engellenner adds
: "As much hype as this merger generated". "It would affect stockholders far more than media planners and buyers. I think a lot of that was lost in the mad race to cover the story."
With offices in Los Angeles and Dallas, Apollo Interactive is an internet advertising and marketing agency. The independent, privately held agency, founded in 1995, is routinely ranked on Top-50 lists of online advertising agencies in the US.
