Drilling Down on Local ‘07

The Kelsey Group’s Drill Down on Local: Key Issues, Analysis and Primary Data

Seven Predictions for ’07 – ‘11

Prediction #1

Vertical (or Specialized) Directories
Most Effective Media

Ad Budget to Vertical (or Specialized) Directories

Prediction #2

Websites are Indicative of Increasing On-line Ad Spend

SMBs with Websites Spend 171% More on Advertising

SMBs with Websites Generate More Revenue

Prediction #3

A Majority of Consumers Watch Internet Video Ads

57% of Consumers Moved Closer to a Transaction After Watching

Prediction #4

Latent Demand for Mobile Services

Reasons for Not Accessing Mobile Internet

The Mobile Opportunity is a Confluence of Companies

Mobile - A User and Advertiser Bundle or Continuity of Service

Prediction #5

Most Valuable Product Features

Consumer Reviews Generate Business

Consumers Are Relying More on Reviews

Interactive Media Increasing in Importance for Local Shopping

Prediction #6

“My Yellow Pages company should handle all my advertising needs.”

More Ad Choices Necessitate Help

And…Younger Business Are Increasing Ad Budgets Faster

Prediction #7 – Connected Services Growing in Importance

Intuit and the “Connected Service”

$19.95 per Month – Live Inventory Feeds for QuickBooks Users

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The Local Search Market

Paid Search Growth

A Majority of Consumers Watch Internet Video Ads

57% of Consumers Moved Closer to a Transaction After Watching