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Yahoo! Advertising in Japan?Why it’s necessary, and how it differs from Google Advertising.

update date:2024.04.09

release date:2024.04.09

There are two major search engines used in Japan, Google and Yahoo!
Many of you are probably familiar with the world-famous Google, but some of you may be wondering, “Wait, Yahoo? That Yahoo, from the 2000s?”
You probably didn’t know that Yahoo!, unlike in the west, is very much alive in Japan, with a wide range of tools, apps, and websites people here use every day.
This article summarizes the features of Yahoo! Advertising and how it differs from Google Advertising for advertising managers.
If you want to start using Yahoo! Advertising or are managing ads overseas, please read on!

Features of Yahoo!

Yahoo! Ads is a service that allows advertisements to be placed on Yahoo! platforms & partners.
There are two services, Yahoo! Search Ads (YSS) and Yahoo! Display Ads (YDA), which target different ad formats and websites.
The main advantages of using Yahoo! are:

  • One of the largest user bases in Japan (approximately 8,500 monthly active users)
  • A wide range of users (age, gender, etc.)
  • Can be started with a small budget

Reference: LINE Yahoo! for Business

For these reasons, Yahoo! Advertising is an advertising medium that can produce results comparable to those of Google in Japan. Therefore, mastering Yahoo! Advertising is a must for advertising managers in Japan.

About YSS (Search Advertising)

YSS (search advertising) is an advertising menu that can be distributed to Yahoo! JAPAN search results and partner sites. Ads related to the keywords that users search for are displayed in the search results.
There are a maximum of four ad spaces at the top of the search results, and the order of placement at the top, which has the highest click-through rate, is determined by an index called Auction Rank.

【Auction Rank = Bid Price × Ad Quality】
・Bidding price: Cost per click (which can be set by the advertiser)
・Advertisement quality: Various factors such as estimated click-through rate, LP usability, relevance of the ad text to the search query, etc.

Available Ad Formats

YSS uses responsive search ads, which consist of a “title, description, and URL”. In addition, you can add additional ad display options such as Quick Link Option, Phone Number Option, Text Supplement Option, and Category Supplement Option.

Cost

YSS is a pay-per-click (CPC) system, which means that you only pay when your ad is clicked; the cost per click is determined in an auction format and is adjusted based on the bidding strategy you set when creating your campaign.

About YDA (Display Advertising)

YDA (Display Advertising) is an advertising menu that uses images and videos placed on the Yahoo! JAPAN top page, content and partner sites, etc.. They offer two types of Display Ads: “Reserved Ad Space” and “Operational Ads”.

YDA (Reserved Ads)

Reservation-type advertising is a service that allows advertisements to be placed on Yahoo! JAPAN’s top page and content pages by reserving the time period and placement, and is suitable for campaigns that aim to increase awareness and brand image.

  • Ad formats: Banner ads, video ads, etc.
  • Cost: Charged by impression (CPM), etc.

YDA (Operational)

The operational advertising service delivers banner and video advertisements to Yahoo! JAPAN and affiliated sites in an auction format. Targeting based on attributes and interests is also possible, enabling advertisements to be operated in accordance with your objectives and budget, from recognition to acquisition.

  • Ad formats: Responsive ads, banner ads, etc.
  • Cost: Cost-per-click (CPC), etc. (Charges are incurred when a user takes an action specified for each campaign objective)

Difference between Yahoo! Ads and Google Ads

①User base

Google is used by a wide range of age groups and has an overwhelming number of users. However, Yahoo! tends to have a high usage rate among users in their 40s and 50s and no gender bias, so depending on the content of your products and services, you may be able to achieve better results than with Google. Therefore, considering your company’s objectives, operating Yahoo! ads mainly or using them in combination with Google ads may be an effective strategy.

②Publication of Affiliated Partners

Google Ads are placed in Google’s search results and partner sites, while Yahoo! Ads are placed in a number of Yahoo! partner websites and properties.

〇 Yahoo! Partners

  • CyberAgent, Inc
  • Dentsu Digital Inc
  • GMO NIKKO Inc
  • DYM Corporation
  • Softbank Corporation, etc.

See also: Yahoo! JAPAN Sales Partners

③Unique “search targeting” feature

Advertising has a unique display advertising function called “Search Targeting” that targets people who search for specific keywords.
This function enables precise targeting using criteria such as user search keywords, number of searches, and time period specification, making it possible to efficiently approach users with high potential.
Other useful functions, such as automatic keyword suggestion, shorten the time required for keyword selection.

④Destination of Advertisements

Unlike Google Ads, Yahoo! Ads does not support ad serving outside of Japan. This is an especially important point for global companies to consider, and should be considered when there is a need for overseas expansion.

⑤Extensive Support

Advertising offers extensive support for advertisers, including the following

  • Basic Advertising Knowledge Learning Site: Free basic knowledge about advertising on the site
  • Official Learning Portal: Systematically learn the knowledge necessary for advertising operations
  • YouTube channel: Video distribution of the latest information on advertising operations and other topics
  • Holding events and seminars: Information can be shared among advertisers and the knowledge of experts can be learned

In addition, Yahoo! offers help with setting up advertising accounts and best practices for operation.

⑥Other

〇Area setting

 ・Google allows you to specify an address plus a radius of 0 miles (km).
 ・Yahoo! allows only address specification.

〇Advertisement function

 ・Google can set responsive search ads (*).
(*A function that automatically displays patterns of ad text by registering ad headlines and descriptions)

〇Review period for advertisements

 ・Google: within 1 business day
 ・Yahoo!: within 3 business days

〇Cooperation tools

 ・Google can be linked with GA4 and Google Search Console

〇Devices

 ・Google tends to have a high usage rate for smartphones.
 ・Yahoo! tends to have a high utilization rate on PCs.

Summary

This article summarizes the features of Yahoo! advertising and how it differs from Google advertising.
Yahoo! has an extensive track record of reliability, including the ability to place ads on the websites of major companies. In addition, Yahoo! is increasingly collaborating with LINE, PayPay, and other services, which is expected to further increase its value.
Compared to Google ads, each has its own advantages in terms of functionality and targeting.
Therefore, it is important to advance understanding about your company and to operate advertisements in a way that suits your objectives.