Yahoo tries to get more fashionable with Polyvore purchase
Yahoo is buying style-tip specialist Polyvore in its latest attempt to become a more fashionable place to advertise.
Financial terms of the deal announced Friday aren't being disclosed, signaling the price of the acquisition isn't considered to be significant.
Polyvore is an 8-year-old startup that specializes in connecting merchants with consumers browsing for ideas on clothing, health, beauty and home decor products. Good Housekeeping magazine once dubbed the service a "fashionista's playground."
Yahoo plans to tap into Polyvore's taste-making skills and loyal consumer following to sell more ads in its digital magazines focusing on style and beauty. The acquisition will join dozens of other mostly small deals that have been engineered by Yahoo CEO Marissa Mayer during the past three years in an attempt to boost advertising sales.
The results have been lackluster so far, barely budging Yahoo's revenue.
Earlier this week, Yahoo released a financial forecast calling for little or no growth in its revenue, after subtracting ad commissions, during the current quarter that will end in September.
The acquisition, which hasn't closed yet, will mark a homecoming for three of Polyvore's co-founders, Jianing Hu, Guangwei Yuan and Pasha Sadri. They are all former Yahoo engineers.
Polyvore's website will continue to operate after the deal is completed, according to Yahoo.
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