Yahoo India acquires stake in ad network Tyroo

Yahoo India announced that it has acquired a 35% - 50% in online ad network company Tyroo. Tyroo is part of the Smile Interactive
Technologies Group (Smile Group). The cash infusion by Yahoo! will be used to invest aggressively in technology and sales network to reach out to the vast number of small and medium sized advertisers and publishers in India. Yahoo will get a board seat on Tyroo (via release).

Nikhil has many more details on ContentSutra.

While on the topic of online advertising in India, it would be great to know whats on the mind of the advertisers when it comes to the online medium.

There was an interesting piece on the advertiser’s perspective by Ratish Nair, CEO, Interactive Avenues. I’ve highlighted a few points below:

Here’s typical client speak – and perception:

“Internet does not have critical mass.”

“Users on the Internet are not sufficient to warrant serious spends on the internet.”

“I have used the Internet and did not get much from it.”

“TV and Print gives me the reach I want.”

“Two sites give me all the reach I need, why should I advertise elsewhere.”

“Only teenagers are there on the internet.”

CPMs on the internet are easily at Rs 150 or less. CPTs on channels like Star Movies, NDTV 24×7 etc can be as high as Rs 2,500 to Rs 3,000. Print can be even more expensive. Compare this with the Internet at Rs 150! While the ROI-led advertisers like banks, insurance, travel, internet businesses spend heavily on the net, their business models and extensive tracking mechanism enable them to figure out exactly how the internet is working for them. Therefore, spending on the internet is literally a no-brainer for them. But what about other advertisers?

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