Yahoo to raise stakes in RI advertising

The Jakarta Post, Jakarta

Yahoo is set to change the face of Internet advertising in Indonesia through a deal that will bring local companies into the international fold.

The multimedia giant has signed an exclusive advertising agreement with local firm Indomedia Dinamika, which will give local companies previously unparalled access to Internet advertising.

The move will give Indonesian companies access to advertising taken for granted in neighboring Singapore and has the potential to revolutionize the corporate approach in Indonesia.

With 350,000 people accessing Yahoo in Indonesia each day, it represents a potentially profitable avenue for companies in Indonesia to promote themselves.

When a Yahoo portal is accessed, advertisements from various companies appear on the computer screen. Up until now only foreign advertisements appeared in Indonesia. Under the new deal Indonesia-based companies will be given the opportunity to rent these spaces.

It not only offers Indonesian companies the opportunity to advertise locally but also gives them access to the rest of the world through Yahoo's international portal network.

According to the head of Yahoo in Southeast Asia, Niren Hiro, companies such as national air carrier Garuda Indonesia could benefit through greater access to Indonesian clients as well as consumers in the rest of Asia.

"We are the biggest portal in Southeast Asia with an 80 percent share in the Singapore market alone. As individual companies realize the potential of Internet advertising, their rivals will and do follow suit, increasing our share of the market along with the benefits for our clients," said Hiro.