September 22, 2006

Yandex.Direct Removes Price Threshold

Internet, September 22, 2006. The cost of entering ad displays at Yandex.Direct now equals to bid increment — RUB 0.30 (close to $0.01), effective today. This basically removes the "entrance fee" for context ads.

A tenfold decrease in price makes context advertising available to market segments with lower unit profit. Specifically, these segments are books, audio and video products, mass-market mobile phones, and fast-moving consumer goods: foods, perfume and beauty products, household chemicals, tools, office supplies, and so on. In addition, lifting the threshold will boost the number of ads from individuals and advertisers in the regions of Russia, where prices are lower than in Moscow.

"Virtually all Russian companies are already aware that online context advertising is a highly efficient tool for promoting goods and services," comments Olga Vysotskaya, head of Yandex.Direct service. "However, not all of them have started using the tool yet. Our objective is to try and remove any barriers that may prevent offline businesses from going online."

Tens of thousands of advertisers place more than 130,000 ads in Yandex Advertising Network by more than half a million keywords every month. The system's weekly turnover has exceeded $1 million. In spring 2006, Yandex.Direct offered its customers a set of tools for faster and more efficient management of advertising campaigns (Autofocus, Autobudget, time of day targeting, etc.).

Elena Kolmanovskaya, Chief Editor
Michael Ushakov, Head of Yandex PR
Phone: +7 495 739-70-00
Fax: +7 495 739-70-70

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