Yahoo! and WPP Group will announce a partnership that will make it easier and more effective for WPP and its agencies to buy and target online advertising.

Based on the agreement, WPP agencies will develop a proprietary trading system in order to display ads online, the New York Post reported.

It will connect to Yahoo!'s Right Media, which operates an online ad exchange based on a bidding system. Right Media will also offer technology and tools for building the platform.

The deal shows Yahoo!'s latest efforts to sell and broker ads on other sites in addition to its own properties.

After the Microsoft bid failed, Yahoo! is now facing pressure to revive its sluggish display ad business and prove its strategy works.

"It's a major building block in our strategy to build the most robust open marketplace," according to Hilary Schneider, executive vice president of Global Partner Solutions for Yahoo!.

Schneider added that Yahoo! is in "active discussions" with other ad firms on similar deals, New York Post reported.