A week after Panama launched on Feb. 5, sponsored search ads on Yahoo saw a 5% increase in click-through rate over the week ending on Feb. 4. The week ending Feb. 18 saw click-through rates up 9% from the rates the week before Panama's launch.
The percentage of clicks made on sponsored links also increased modestly. During the week before Panama's release, 10.1% of clicks on Yahoo's search engine were on sponsored listings. Seven days later, the percentage rose to 10.6%, and another week saw a rise to 11.1%. The numbers were based on comScore's sample of 1 million U.S. Internet users.
Last week, research firm UBS released a report predicting that Yahoo's search revenue could grow 45% on the strength of the Panama update, assuming that the rate of search volume continued to grow, and that the engine's click-through rate on sponsored links increased at least 8%. The note predicted that the revenue gains would not be seen until well into the second quarter.