Search Engine Watch reports that, according to analytics firm Covario, Yahoo ate into some of Google’s share of the paid search market in the second quarter ended June 30, 2008. Meanwhile, spending on paid search as a whole dropped from 52 percent to 43 percent in the same period.

Do we just take Covario’s word for it? Neither the Search Engine Watch article nor Covario actually tell us how much share Yahoo nabbed from Google. However, the finding IS consistent with AdGooroo’s claim that Google’s share of paid search slipped, while Yahoo’s marginally increased last quarter.

Source: Nathania Johnson, “Yahoo Snags Search Ad Marketshare Gain at Google’s Expense”, Search Engine Watch, August 11, 2008

What’s the most profitable industry online? Those in the know will say pornography. But those REALLY in the know will say that porn is not as profitable as everyone thinks.

Just recently, Playboy posted a net loss of $2.1 million - amounting to a 6 cent loss per share - for the second quarter ended June 30, 2008. While much of that was due to decreased ad sales in Playboy’s print and broadcast media properties, the company’s digital business also struggled. Online/mobile revenues were $11.6 million for the quarter, down from $14.8 million earned in Q2, 2007.

The online porn business is still like any other business: it relies on product innovation, customer satisfaction, effective marketing, sound financial management, and so on, to be successful.

Source: Press Release, “Playboy Enterprises, Inc. Reports Second Quarter 2008 Results”, Yahoo Finance, August 6, 2008