Yahoo! Search Marketing have confirmed that minimum bids will be reduced to 5p in the UK from January 19th.
Here is a copy of the email I received today:
In order to reflect the dynamics of the market, and to help you maximise your return on investment, Yahoo! Search Marketing will introduce a new minimum variable bid pricing structure. This means that from January 19th, our bidding prices will start from as little as £0.05*, which is great news for your business!
Please note that minimum bids will vary by search term, with the lowest bid price starting at £0.05*.
Yahoo! Search Marketing is dedicated to providing world-class online marketing products and services that drive highly targeted customers to your business while allowing you the greatest return on investment.
We hope this new pricing will help you make the most of your Yahoo! Search Marketing account and allow you to drive even more highly targeted customers to your site.
If you have any queries about this new pricing or how to find out which terms are concerned by the new minimum bid price, please do not hesitate to contact us on 0800 169 9740. Again, thank you for choosing Yahoo! Search Marketing. We look forward to helping you build your business.
The Yahoo! Search Marketing Team
* The Minimum Bid for each click vary by search term and starts from £0.05. Please note that as the minimum bid depends on the specific search term, certain keywords will have a variable minimum bid of £0.05 and others a variable minimum bid of £0.10.”