Panama Working Better Than Expected?

After Yahoo CEO Terry Semel crowed last week about the success of Panama, a Wall Street analyst now adds to Yahoo's merriment with news of even more success, according to paidContent.org.

UBS AG analyst Ben Schachter told Bloomberg that Panama is "just working quicker and better than people had expected," and it may boost Yahoo's revenue growth from searches to more than 20 percent in the second half of this year, instead of his previous estimate of as little as 15 percent.

Also quoted in the Bloomberg story are search marketers from Did-it, who said clickthrough rates rose 3 percent in February, and Avenue A | Razorfish, who said CTR has risen 10 percent since Panama's debut. If that 10 percent figure holds up across the board, that could mean a boost of about $25 million in Yahoo's sales this quarter, which would exceed Yahoo's timeline of expected results in the second quarter, Piper Jaffray's Safa Rashtchy told Bloomberg.

About the author

Kevin Newcomb joined ClickZ in August 2004, covering search marketing and other online marketing topics. He has been reporting on web-based businesses since 2000.

Before the bubble burst, Kevin was a marketing manager for an online computer reseller, handling copywriting, e-mail marketing, search marketing and running the affiliate program.

With a combination of real-world marketing experience and years of business journalism, Kevin brings to ClickZ a unique ability to deliver news and training materials that help online marketers do their jobs better.