Transcript of "Leveraging Directional Media to Fuel Local Commerce (Street Fight Summit West 2013)"
Leveraging Directional Mediato Fuel Local Commerce
Merging Digital Platform & Sales Reach• $1B in digital & mobile revenue• California-based tech organization• Developer of YP.com℠ site and YPmobile®products.• Network of 300+ online and mobile publishers• $2B in print revenue• Relationships with merchants• Nationwide sales force• Go-to-market systems and processes$3B in multi-media revenue#21 on Ad Age’s U.S. Media ListTop 50 digital global media companyMobile / Digital platform focus3K+ local media consultants600,000 advertisersRevenue and advertiser metrics are based on internal data®
Our MissionEstimated annual commercial transactions associated with searches on YP℠ Properties and across the YP℠ Local Ad Network$200B+Driven by Directional Media PlatformsHelping Local Businesses andCommunities Grow
Industry Challenge: Eliminating FrictionHelp consumersget stuff doneHelp businesses grow &retain customersInefficient interactions driving distance in the process• Consumer media is fragmented• Pricing models are varied and complex• Merchants bombarded with ad sales pitches• ROI is difficult to determine• Ad products primarily click and call driven• Unbalanced focus between consumers & advertisersNeed to establish better connections for consumers and advertisers.
Solving the Friction Problem & EnablingConnections Requires A Combination Of Assets…TECHNOLOGYCONSUMERREACHSALESPRESENCEADVERTISINGSERVICES
Consumer Reach: Scale & EngagementOrganicYP.com℠ site, YP℠ appsYPmobile® web &YP℠ print directory• 2.6 billion annual print andonline searches• 40M+ monthly uniques forYP.com℠ site and 20M+ forYPmobile® properties• 120M print books distributedMobile DisplayYP℠ Local Mobile Display Network• 150+ mobile app publishers across three mobileplatforms and nine app categories• Over 1B monthly impressions that reach 156Mmonthly unique usersSearchYP℠ Local Ad Network& SEM• Over 300 publishers and 60Mmonthly unique onlinevisitors across the YP℠ LocalAd Network• Search Engine Marketing forexposure to Google, Bingsearch results+ over 300othersOver 150 displaypublishersMetrics are based on internal data
Advertising Services: Span the Life Cycle• Digital & Mobile Advertising‒YP.com℠ and YPmobile® ad distribution across theYP℠ Local Ad Network‒SEM (YPconnect)‒SEO‒Online & Mobile websites‒Display‒Online Presence Management‒Coupons• Print Advertising‒YP℠ print directories‒Direct Mail (Digital Express)BE FOUND GET LEADS CONNECT MANAGEHelping consumersfind your businessGenerating leadsfor your businessEngaging with yourpotential customersto drive salesManaging & growingyour customerrelationshipsCore Advertising Services Emerging ServicesNew capabilities to address consumer& advertiser needs
Sales Presence: Local Online Advertisingis Sold, Not Bought3K+ mediaconsultants365days of presenceTrustedadvisors tolocal businessesEstablishedwithincommunitiesnationwide®
Technology: A Critical CompetencyConsumer PlatformSearch, Business Data,Personalization, SsocialAd Delivery PlatformTraffic Acquisition, PublisherMgmt, Ad Serving, TargetingPlatform Data ServicesInstrumentation, collection, processing, mining, analytics, reportingAdvertiser PlatformSelf Service, Call Cloud,Content Mgmt, ReportingPlatform InfrastructureNetwork, security, sysadmin, storage, DBA, monitoring, operations
YP Has Become…Mobile…Since 200842%Total mobile local searches across YPproperties in 2012Top Ranked AppsTop 50 on Apple and Android inTravel CategoryOver 300,000 menusNearly two million menu views byiPhone and Android users eachmonth350M+ad revenue associated with mobile;second highest in the industry perIDC300+Mobile publishers in the YP Local AdNetwork38% SEM spend to mobileHighest in the industry100 millionCalls made to a business using the YPapp in 20123 calls every secondMade to a business on the YP app100% Click GrowthClicks on paid listings accessed onmobile devicesMobile …Fully Integrated for Local AdvertisersWherever Consumers NeedLocal InformationDriving Mobile CommerceConnecting Advertisers toConsumers
When it Matters Most….-501001502002503003504004502010 2011 2012Web/OtherMobile10%25%43%Year-over-year GrowthTotal Clicks: +43%Mobile Clicks: +261%Year-over-year GrowthTotal Clicks: +21%Mobile Clicks: +106%ClicksonYP℠LocalAdNetwork(millions)Source: YP Internal AnalyticsNew Customer Opportunity for LocalBusinesses to Engage with ConsumersClicks on YP℠ Local Ad Network
Mobile Local Search Behaviors Are ChangingMobile Being Used Where the Ad Dollars ExistBehaviors around mobile local search are changing with the increased adoption ofsmartphones and tablets. Evidence of this includes search in categories not related toproximity or urgency, factors that often lead to a mobile search.
Banner Display Click Through Rate (CTR) byProximity to a Business DestinationData from geo-targeted YP℠ Local Mobile Display Network recentlyuncovered that the closer users are to a business, the more likely they areto click on a mobile banner ad for that business. However, there is a “sweetspot” about 1-2 miles that yields the highest engagement.Source: YP Internal Analytics
Summary ThoughtsNEED TO ELIMINATE FRICTION Make is easy for consumers to connect with advertisersKEY ASSETS FOR SUCCESS Consumer Reach: Engagement and scale are critical Sales Presence: Local advertising is sold, not bought Advertising Services: Must Span the Life Cycle Technology: Critical CompetencyCONSUMERS ARE GOING MOBILE FOR LOCAL SEARCHThe Local Commerce Opportunity Continues to Grow…