Yahoo! reveals new ad model for tablets

Thu Apr 8 2010, 17:00 PM

Yahoo! is launching a new advertising model for tablet computers such as the iPad that will resemble the type of product placement seen on TV. The interactive product placement strategy will initially appear via the iPad's Yahoo! Entertainment app.  

A Yahoo! Entertainment user will be presented with a different experience each time they reload the app's home screen, which resembles a living room with a couch, magazines and television. When the screen loads the room will be filled with brands such as a can of Coca-Cola or a cup of Starbucks' coffee. If a user clicks on the product they could be directed to a downloadable gift, coupons or the brand's website. 

It is believed the large screen on tablet computers will propel mobile advertising, which has struggled to take off in the last few years. Yahoo! believes that because tablets will often be used for entertainment purposes, users will allow subtle advertising.  

"On mobile you have to oversimplify the advertising message," says Yahoo! senior director of applications Sandeep Gupta. "The tablet may be bigger, but because it's more entertaining, it's less intrusive." 

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