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Feb 2 2005
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Competition Picks Up Steam in the UK
Britain��s Guardian newspaper reported today that British Telecom plans to spend up to 10 million pounds �� about US$18 million �� promoting its BT Phone Book product this year.

This represents a significant upping of the ante by BT, which spent 3 million pounds last year, as it completed the full rollout of 171 combination White Pages and classified directories. BT, which once owned the market leader Yell Group, now has made it clear that it intends to snatch away market leadership from its former subsidiary.

This seems a tall order given BT has perhaps a 10 percent market share today, and that Yell��s Yellow Pages is a ubiquitous, well-managed brand in the UK. However, BT is also a powerful brand, and the company doesn��t lack for resources. We think ambitions of parity are at least some part bravado, but a sufficient commitment of resources and solid execution could conceivably result in a significant share shift.

Adding to this ratcheting up of the competitive intensity level in Britain is the steady emergence of Trinity Mirror. The regional newspaper chain successfully launched a classifieds directory in Edinburgh, Scotland, last year, and is trying to repeat its success in Glasgow, a more challenging market. Now the UK has an apparent fourth major directories player, making it one of the most competitive markets in Europe.
Global Yellow Pages Blog
posted by  Charles Laughlin at  11:18 | comments [2] | trackbacks [0]


posted by   JFK Jan 18 2005 at 10:59
Advertising will help BT, but it is likely to lead to a similar increase in ad spending by the management of Yell who knows a thing or two about competition. The key will be the sales force and the product delivered.

posted by   MarkMW Jan 20 2005 at 09:07
An interesting piece.

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