06Oct

Jessica Rowe

Proven Tactics for Targeting Local Searchers — SMX East Session

Headed by 15miles president Gregg Stewart and comScore’s Brian Jurutka, this session discussed the findings of the third annual study — from TMP Directional Marketing and comScore — that looks at trends in local search behavior. The session highlighted the fact that local search is an element in and of itself and that only 5 percent of sales happen online, but 95 percent still happen offline.

in sessionThe objective of the study was to understand the use and value of search, print and online Yellow Pages, as well as monitor shifts in consumer behavior and opinion. The trends in local search behavior shows that 31 percent of consumers use search engines as their primary source of local business information, 28 percent use print directories, 21 percent use Internet Yellow Pages and 12 percent use local search sites. As expected, the upward trend is toward search engines. The downward trend is print media/directories.

Another interesting trend is that 26 percent of responders use social networking sites as a primary source of local business information. This showcases an interesting, emerging trend of where people go for information. Also, age is a factor in how people search. While some overlap exists, a majority of mature adults and seniors tend to reference print media, whereas younger age groups trend toward interactive channels.

Search intent is an interesting finding. People do their research about products online to formulate opinions. When consumers search via print, purchase decisions have been made, and people are looking for names, locations and phone numbers to reach a business. Year over year, 32 percent of people reported they felt they could find better deals online versus 25 percent in 2008. Because of the ROBO (research online, buy offline) effect, call tracking becomes even more important.

The current online search trends show some interesting findings. First, the rapidly expanding search landscape grew even more compared to last year, with 5 percent growth in number of searchers. Also, search intensity is up a staggering 25 percent. The non-search engine growth is growing faster than the engines themselves; this includes searching on social networking platforms. Craigslist and eBay have seen the largest boost, which could also be related to people looking for deals in the current economic downturn. Marketing opportunities exist in unlocking these markets and tapping into these spaces.

Another finding is that the importance of ratings and reviews is growing with 57 percent of responders, who indicated such information is important in the decision-making process; however, only 27 percent of these consumers have actually written reviews. Stewart added that this is an area of opportunity for our clients in terms of understanding, monitoring and embracing user-generated content. This is the new word-of-mouth marketing, and companies need to learn to manage the process.

According to the survey, the most helpful features of search results are as follows: phone numbers and addresses are most important, followed by maps, websites and proximity. Again, the importance of tracking calls to businesses becomes clear. People expect results to be closer to their location than they have in years past. The name of our interactive marketing division, 15miles, wasn’t chosen by accident.

In local search share, local sites and IYP are split, with local growing nearly 10 percent, thanks mostly to Google Maps. The increase in Google Maps searches is attributed mainly to the Google 10 Pack.

There is an increase in the number of people who contacted businesses over the telephone, from 39 percent in 2008 to 46 percent in 2009. Plus, more consumers visited businesses in person. While online transactions are important, most transactions and interactions happen in person, and overall purchases are down 5 percent (largely attributed to the economy).

The study also analyzed search terms. The results show that 75 percent of searches happen on general search sites, until you get to specialized services. For example, data about plumbers was shared; 46 percent of searches happen on local sites, and 25 percent happen on Internet Yellow Pages. This shows that generalization does not work for all companies; marketers cannot assume that just targeting one category will necessarily generate success.

The study also analyzed local search on mobile devices. The cell phone results show that 32 percent of consumers with Internet-capable cell phones are using their mobile devices to conduct local searches; this is 11 percent more than 2008. Also, use of smartphones is growing. More mobile users are seeking local content, including online directories (42 percent), maps (41 percent) and restaurants (37 percent). This will continue to be an emerging area in local search.

In summary, a TON of data was presented:

  • Online channels remain the primary source of local business information at 67 percent (up 5 percent).
  • Searchers feel they can get better deals online (capitalize on that).
  • People are looking for phone numbers (track your calls; if you can measure it, you can optimize it).
  • People expect businesses to be close (target a tight radius within 15 miles).
  • Finally, ratings and reviews are increasingly important.
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