Good morning, All,
Yahoo’s back and Marissa Mayer seems for all intents and purposes to be on a buying spree. Last week it was Tumblr and now they’ve thrown their hat in the ring to acquire Hulu. They supposedly bought Tumblr to attract a younger audience, and it is highly unlikely that they took the time to view this infographic before they dropped $1.1 billion to close the deal. Yeah, right. At last week’s CM Summit, Yahoo CMO Kathy Savitt reminded us of something that we had forgotten: that it was Yahoo that first made the web a daily habit. All of those websites out there and there was no way to find them, unless you knew the URL. Yahoo was a game changer. When they went public, they went on a buying spree and tried to be all things to all people: broadcast.com, geocities, to name two. They missed out on eBay and tried to build their own. Remember Yahoo auctions? Didn’t think so. They cast too wide a net too early on and it was unmanageable. The field was wide open and enter Google (which Yahoo passed on, just for the record). As for Yahoo’s acquisitions, closed and pending, let’s not forget that besides search, Yahoo is and always was a content company. Content and search were always Yahoo’s core competencies, and they seem to be returning to those roots that first made them successful. This time, with an eye to the future: native advertising (Ok, we know that contextual advertising has been around for a while and that only the name has been changed to deceive the clueless, much as the cloud is networked computing by any other name: gotta love the marketing department, and see what a little strategic marketing can do? A ‘new’ category is born.’ Take heed). But Mayer needs to give Tumblr time to continue to build their audience, and focus on long-term goals rather than short-term mandates.