NameSniper sent me a PM about these questions, so I asked him to post the questions here so that everybody could see the answers at the same time. I'll try to answer as best as I know, and Acroplex, I got a good laugh at your list. Acroplex is probably the biggest fan of Yahoo's TQ score that I know of.
Yahoo implemented their TQ score about a year and a half ago. It is completely based on conversions to the advertiser. When you are using either Yahoo or Google they recommend that you put the conversion tracking code somewhere on your site so that they know when a conversion happens. Unfortunately not all advertisers put the code on their site and some of them that do, put it in places that nobody will ever get to. Yahoo uses about 50 categores for each domain, and each of those categories has a different conversion rate. The conversion rate is calculated from the Yahoo.com search engine. So the finance category may have a 1 in 100 conversion to have a tq of 10, but travel may have 1 in 500 for a 10.
I have found that if you get about 100 clicks a day for about 2 weeks, you will get a TQ score, but this is based on clicks going to Yahoo, not anything else.
One big difference between Yahoo's TQ system and Google's Smart Pricing, is that Yahoo actually tells us what your scores are. Also the TQ scores in most cases are very accurate and they are very helpful.
TQ scores come out once a week, usually on Thursday, but sometimes on Friday. We get TQ scores on a few different markets that Yahoo supports. The scores range from NA to a 10. NA means you don't have enough data. 1 being the worst score and 10 being the best.
Acroplex mentioned that sex.com would have a TQ of 10, to be honest with you I bet it wouldn't. You have to think about what converts when you own a domain. One of our customers had a generic "boat" domain, and we have a way with a domain with a high volume to get a TQ on that domain by itself. The TQ for the domain was only a 1, which may no sense to me, this was a perfect domain that was getting hundreds of clicks a day. So I called Yahoo and they couldn't help, so then I started calling a few of the advertisers, and they said they loved the traffic, but nobody had bought a boat yet. So they couldn't give it a good score. Are you kidding? So sometimes advertisers are idiots. But this is a great example when sometimes a perfect domain just doesn't work with a TQ score. But I would still buy the domain in a second.
Is there a score that you should maintain? I would love everybody to have a 10. But a 7 or higher would still be good. If you have a 4 or lower, somebody will be contacting you to work on improving your score or recommending other options.
One thing that we didn't talk about is what does your TQ effect? Your revenue. So let's say an advertiser is willing to pay $1.00 for a click. You have a TQ of 10, and you send a click, in theory the advertiser would pay the full $1.00 for that click. If you have a TQ of 7, and you send a click in theory the advertiser would only pay $0.70, but actually they would pay more, it's not really 10% for each point. A TQ of 7 may be $0.85, but I'm not 100% sure and it varies per category.
For people who don't have a score, all people without a score are averaged together for 1 score.
I guess that sums up the TQ system as I know it today.
Donny