What would you do if you were Yahoo, consecutively coming in behind Google in search, and struggling to improve revenue flow? Yahoo plans to relieve 2,000 people of duty in the near future. Unfortunately, one does not have to search far into the brand’s past to find layoffs. This would be Yahoo’s sixth major layoff in four years.
Yahoo has to think about lost employees and added interest of stockholders who want to hear less about losses and more about future gains. A NY Times article reveals Yahoo will gain $375 million from the layoffs. Brand leader, Scott Thompson, has asked an outside consulting group for help with Yahoo’s future.
Yahoo does not experience Google-like recognition; but, the former does experience a high number of visitors, making for a lot of collected data via Yahoo’s 17 years. The Times article addresses Thompson’s insinuation of Yahoo’s future’s reliance on its personal data resources. “The data is very,very impressive. You’ll see some interesting, data-oriented experiences coming out sooner versus later,” says Thompson.
What would you do in Yahoo’s position? Change is always good. The current structure of search leaves Google the victor, providing the statistically dominant search engine service. However, it also provides services and is a leader of innovation. Another article features Google glasses, giving wearers the ability to see maps and data while cosmetically sporting…glasses.
Is that where Yahoo needs to take its brand? Should it expand horizons? It seems that is what investors desire, a turnaround rather than a stagnation, or worse, slow decline of the brand. Google seems to cultivate its brand while Yahoo contracts at present.
There are a few ways to weigh in on Yahoo’s decisions. The brand could concentrate on providing ever-better search, hoping to eventually close the gap on Google. Yahoo could also think outside of the search box, of other available resources and untapped verticals. After all, Yahoo has built a ‘brand’ name for itself.
Yahoo’s media division does include Yahoo Sports, the Web’s most-trafficked sports site. It also has hands in a video collaboration with ABC News, another very noticeable brand name. Will we continue to hear of Yahoo, or will the brand echo softly into that good night? An internal letter contained word of ‘real change [that] is coming.’ Let us hope Yahoo makes a u-turn.