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- 60% SMEs conduct 75% of their business from customers within a 50-mile
radius.
- Average business size under 9 employees.
- 90% of conversions occur offline.
- Difficult to track conversions
- Difficult to measure success
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- Macy's founder John Wanamaker once said this about weighing the bang of
advertising bucks: "Fifty percent of the money is wasted. The
trouble is, I don't know which 50 percent."
- eCommerce is easy to measure.
- Someone walking in off the street is not.
- Phone Tracking
- Using web based forms to measure contacts
- Customer Surveys
- All solutions associative costs.
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- Small Businesses spend $5000 a year on marketing.
- 46% is allocated to traditional yellow page marketing.
- (source: The Kelsey
Group)
- $208 per month remaining for Internet advertising.
- Comparison:
- Google charges $199/month for Urchin.
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- Over 20 million small businesses in United States
- SMEs spend $22 Billion on local advertising annually.
- 3-5% of local businesses utilize paid search.
- Local internet marketing expected to exceed $5 billion by 2009.
- (source: The Kelsey
Group)
- Only 25% of total budgets available allocated to PPC by 2009.
- Sources indicate web is lower cost per conversion than YPs.
- Why not more adoption?
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- Google AdWords – Need sophistication to understand the system.
- Yahoo – Need local match & precision match accounts.
- Kanoodle – No channel targeting.
- Superpages – Minimum monthly spends.
- Within PPC, there is no hierarchy system of local ad display for search
intent.
- Local advertisers are not given premium ad placement on local search
properties.
- Why should local businesses choose to allocate budgets to PPC?
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- Available Options:
- Search Engine Enhanced Listings (Yahoo & Google Profiles)
- Business Profiles (Superpages)
- Banner Advertising
- Email Marketing
- Popup Advertising
- Pay Per Call (Ingenio)
- Search Engine Optimization
- Internet Yellow Pages (Superpages, Yellowpages.com, etc.)
- Pay Per Click Advertising (Yahoo, Google, etc.)
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- 22 Billion Dollars
- 20+ Million Customers
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- Offer simple pricing models.
- Offer simple distribution packages.
- Local business education.
- Expectations
- Measuring ROI
- Effective website / business profile pages
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- Remove minimum spends for PPC accounts. ($15 Superpages, $20 Overture
precision match).
- Better tools for local advertisers. (Overture local can’t see
bids. No IP lookup tool on Google).
- Stop showing national ads over local ads on local search intent queries.
- Distribution outlets give preference to national advertisers to gain
million dollar accounts at the expense of potential billions in local
advertising.
- Local ads on local properties.
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