Yahoo buys Dapper to fight Google in Contextual Ads

On October 5, 2010 Yahoo has declared that they have purchased the Dapper to fight Google in contextual ad market. Amount is not disclosed by Yahoo yet. Now with dapper, Yahoo will be able to generate more relevant ads on Yahoo advertiser.

Copyright: Yahoo

Dapper provides “dynamic display ad creation and optimization,” a stylist way to make money from contextual ads placed on Websites.

Dapper’s “smart ads” take the lead of the content people are consuming on a publisher’s Website to “automatically show the right product, offer, or message.”

For example, a computer hardware company used the technology to display ads on some related Websites about hardware sellers and their buyers.

Dapper was founded by Eran Shir and Jon Aizen in 2006. While their aim was to make a high position in display advertising by creating personalized ads, Shir acknowledged in that it is difficult to scale in a market where ad giants Google, Yahoo, Microsoft and plenty of smaller companies are looking here and there for business.

Yahoo will grant Shir and Aizen access to a larger range of advertisers.

Yahoo aims to complete the deal in the fourth quarter of 2010. As per analysis yahoo is aiming to battle with Google in contextual advertise.

However, Google has been gaining momentum in display ads thanks to its DoubleClick and YouTube businesses. In buying Dapper, Yahoo is defending its turf, adding a personal touch to its display ad properties.