Yahoo buys indextools, could leapfrog google analytics

Google redefined the analytics market in late 2005 with the release of a free, re-branded version of the Urchin reporting platform. That merchandise was the first to bring a site coverage interface to the masse shot, including many scrappy businesses that lacked the 100 of dollars a month such scheme typically cost at the time.

Now it's acquiring some competition. With a deal to buy robust analytics platform IndexTools, Yahoo aims to compete with and possibly leapfrog Google in the low-cost analytics space. Marketers say it may even start nipping at the heels of endeavor platforms Visual Sciences and Omniture, which have managed to hold their land by offer custom installs and consulting services.

IndexTools, which is lawfully known as Tensa Kft., offering both criterion and advanced site coverage features such as traffic alerts, usage reporting construction, and live cost analysis that incorporates dynamic pricing data from hunt engines. Marketers can choose from two versions of its coverage system, "e-business" or "endeavor," priced at $50 and $250 per month severally.

Yahoo declined to say whether it would make one or both of those merchandise completely free to use, but it seems all but certain to happen. In an e-mailed reply to ClickZ, Yahoo said it would explore all possibilities for acquiring IndexTools "into the hands of all of our client and spouse."

"Between IndexTools and Yahoo's own analytics tools we intend to provide a full suite of analytics to our head and tail advertisers, agencies, publishers and development partners," Bassel Ojjeh, senior vice president and head of Yahoo's Strategic Data Solutions group, said in an e-mailed statement.

As such, Yahoo is probably to reach a different set of marketers than have migrated to Google Analytics, according to Jeffrey Eisenberg, co-founder & CEO of selling consulting firm hereafter Now.

"This is truly good for show advertisers, he said. "The people who are not using Google AdWords -- this will make those people more aware of results."

Assuming Yahoo makes part or all of the IndexTools product suite free, Eisenberg said he believed the development would likely lead to an "arms race," as Google seeks to match IndexTools capabilities and Yahoo pumps R&D into the product to maintain its lead.

IndexTools' management team will join Yahoo's Strategic Data Solutions group, reporting to Ojjeh. That team consists of Márton Szóke, managing director, Peter Galantha, CTO and Dennis Mortensen, COO.

In addition to its analytics and keyword bid management products, IndexTools offers professional services in the form of training, analysis and deployment advice. It also operates an R&D unit. Yahoo declined to share integration plans for all IndexTools' separate operations, but said it expects to retain most employees.