The portal, which claims 213 million unique users globally (excluding Japan), is offering 'custom targeting' and direct marketing in its media services bundle.
"We have a huge database collected through users, demographic data or declared data and user mode. We can do data mining to see what 'intent' each user has," said Rex Ng, data solutions manager for North Asia at Yahoo.
He added that marketers could also measure campaign effectiveness beyond click through rates. "Newcomers to the internet click on everything, so a high click through rate does not necessarily mean you are reaching the right audience."
The portal has also introduced impulse banner ads, which target users while they are in the "purchasing mode". These ads are delivered according to user searches. "If a user does a search on weddings then over the next hour Yahoo can deliver 'optimised' ads through thousands of categories.
This is good for items such as CDs or flowers, which people are likely to purchase straightaway. We are talking about categories, not just key words." Ng added that Yahoo's analytical reports also allow advertisers to determine which users are exhibiting higher responses to campaigns.
Yahoo's user profile analysis can be done by occupation, behaviour or demographics.
In a separate development, Yahoo has awarded its Southeast Asian media account to Motivator to tap into the WPP group's research capabilities.
Yahoo's marketing manager, Southeast Asia, Yvonne Tey, said working with MindShare would bring greater "cohesiveness" to the portal's advertising.
The MindShare contract marks Yahoo's first appointment of a media agency of record. Yahoo previously worked with MediaCompete and OMD on a project basis, according to Tey.
The Motivator deal covers Singapore, Malaysia, Thailand, the Philippines and Indonesia. Yahoo will continue to leverage on barter deals for media placement and will buy only for "things I can't barter with", such as national publications, radio and TV, said Tey. Motivator will be remunerated on a fee basis for research and consultation and on commissions for media buying in Southeast Asia.
Additional reporting by Tsang Shuk Wa.