Disney/ABC Television Group will supply airtime to Yahoo personalities, and the online service will promote ABC shows, in what the companies call “an extension and expansion” of their three-year cross-promotion business arrangement.
They’ll begin on Monday with a daily Good Morning America segment called “Yahoo Your Day” offering news-you-can-use tidbits from personalities including Yahoo Style’s Joe Zee, Yahoo Beauty’s Bobbi Brown, Yahoo Health’s Michele Promaulayko and Yahoo Food’s Kerry Diamond.
In return, Yahoo Screen and Yahoo TV will feature “special clips” from Disney/ABC shows including Scandal, How To Get Away With Murder, Grey’s Anatomy, Pretty Little Liars, Jimmy Kimmel Live, and Dancing With The Stars.
ABC News Digital’s Colby Smith says that he can’t discuss terms of the deal, including ad sales arrangements. But he’s confident that it will “propel our business forward and propel Yahoo’s business.”
ABC News President James Goldston adds he expects to see an “expanded relationship through the election” including Katie Couric appearances on ABC and Yahoo. “News has always been at the heart of the relationship, especially breaking news.”
Yahoo CEO Marissa Mayer is determined to promote her company’s media assets. Investors are still waiting to see a big increase in ad sales following her efforts to build online destinations and video with splashy hires of personalities including Couric and former New York Times tech writer David Pogue. “Video is incredibly important as we look at how to reinvent our large legacy display business for the future,” she told analysts in January. “Video is key, because it is an essential and familiar way for marketers to deliver their messages.”
But some investors would prefer to see Yahoo repurchase stock. Starboard Value CEO Jeffrey Smith sent a letter to Mayer this week saying that investments “to alter Yahoo’s competitive position in markets or product categories where the company has little history of past success will prove an expensive endeavor likely to produce subscale businesses.”