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1 Maximizing Local Lead Generation Opportunities: Understanding the LookLocally.com Search Marketing Advantage A LOOKLOCALLY.COM WHITE PAPER

2 W H I T E P A P E R The Expense and Challenge of Local Lead Generation Today, it is estimated that there are over 20 billion active Web pages and approximately 7 million new Web pages are being added to the World Wide Web every day. For any business, directing potential customers to one of those 20 billion pages is a challenge. For multi-location businesses that want to direct potential customers to one of their local locations, the process of getting profitable online exposure can seem both costly and overwhelming. According to Forbes.com, approximately 25% of all Google daily searches (around 50 million users per day) are seeking LOCAL products and services As any business will tell you, obtaining effective online exposure means getting on Page 1 of popular search engines such as Google, Yahoo! or msn. If a business isn t listed on that first page, the chances are very remote that an online surfer will see the listing and click to the Web site. As a result, the level of competition, plus the monthly costs and dedicated maintenance required to ensure a first page ranking for both organic (natural search) and PPC (Pay-per-Click) ad listings are intense. But despite these challenges, the potential of leveraging this medium to generate greater local business opportunities is significant. In a recent article from Forbes.com, Piper Jaffray analyst Safa Rashtchy indicates that approximately 25% of all Google daily searches (around 50 million users per day) are seeking LOCAL products and services. That statistic and the fact that 72% of all local searches for products or services begin on the Internet make a compelling case for effectively harnessing search engines lead generating capabilities. While Web visibility poses problems for every business trying to market itself on the Internet, the problems are magnified for multi-location businesses such as franchises, manufacturers, dealerships, chains or distributors. These businesses see the benefit of search marketing to promote their local network, but most are unable to leverage the medium in a way that will generate meaningful exposure and leads for all locations. For national or regional franchisors and manufacturers, this removes an important value-added incentive for encouraging additional franchisees or dealers to join their networks. To meet today s need for leveraging search engine marketing requirements for local business, a more compelling and affordable alternative is required. The ideal solution would enable headquarters to establish an equitable and affordable search marketing program that effectively promotes each local entity, increases local lead prospects and has a proven track record for growing revenues while adding value to the entire business network. LookLocally.com solves the problems and challenges associated with using search engine marketing to promote local businesses by employing a pull marketing strategy. Pull marketing is defined as communications with a customer that are originated by the consumer. LookLocally.com uses pull marketing along with effective search engine optimization to create a multi-phased programmatic approach that maximizes exposure on Page 1 of search engine results for each individual location. The high ranking results produce increased qualified leads and generate greater revenue opportunities. This white paper examines the challenges that multi-location businesses, branches, franchisors and distributors face with existing search engines to promote their local branch or franchisee locations. It explores the advantages of the LookLocally.com multi-phased optimization approach for local search engine marketing resulting in generating qualified leads at the local level. 2

3 Understanding the Challenges of Achieving Page 1 Results Multi-location businesses have traditionally used search marketing resources to promote their local businesses in one or more of the four ways listed below, but each approach has its own particular challenges: 1. Web Site Optimization also known as Search Engine Optimization (SEO) involves optimizing the corporate Web site by editing up to 100 different factors on each Web page to assure a high search engine ranking on the organic (left side results) section of search engine results (see illustration in Figure 1, page 4). Some of the factors include keyword density, images, Meta tags, page titles, content relevance, embedded links, tagged images and many more. Most organizations do not have the resources or knowledge of SEO to be able to accomplish this internally. The majority of businesses hire a third-party firm specializing in SEO. The challenge with this approach is that to promote a specific location, each location must have a unique and detailed Web page to produce a positive outcome for the location. Multi-location businesses must optimize for each of their locations; for example, Auto Repair Dallas, Auto Repair Houston, and so on. While the cost estimates for SEO for one location can run as high as $1,000 per month, multiplying the costs for each location across an entire network would quickly escalate the numbers beyond the point that any positive ROI could be achieved. 2. Pay-Per-Click (PPC) Ads PPC ads are displayed as a sidebar text ad on most search engine results pages. They appear when a series of relevant keywords that have been purchased by the advertiser are entered in the search bar by an online user. This form of online advertising can get quite expensive since the ranking of the ad on the page is based on the cost per keyword and cost per click. The more the advertiser is willing to pay for each keyword, the higher the PPC ad will be ranked on the page. PPC for many locations can be cost prohibitive. For example, a business with 50 locations would have to purchase keyword terms for each of their local locations. Cost estimates for purchasing all of the relevant keywords for one location can run as high as $500 per month and multiplying the costs for each location across an entire network would quickly escalate, prohibiting a positive ROI. In addition, managing this process to ensure that PPC ads have a continuously high ranking requires a staff of administrators regularly monitoring the keyword rate. Factoring in the use of administrative resources and their time further increases the total cost proposition for this advertising vehicle. Also with PPC, since the advertiser is continually paying for clicks, the PPC costs can reach astronomically high levels unless there is a fixed budget cap in place. If the monthly budget allocation runs out before the month has ended, the ads will no longer run, resulting in missed business opportunities. Finally, PPC ads are also highly susceptible to click fraud, which occurs when a person, automated script, or computer program imitates a legitimate user but fraudulently clicks on an ad for the purpose of generating more charges per click. The clicks then inappropriately debit the advertiser s PPC account and increase PPC network partner/affiliate commission revenues. 3

4 W H I T E P A P E R Paid Search or Pay-per-Click (PPC) Organic or Natural Listings via Search Engine Optimization (SEO) Figure 1: Pay-per-Click versus Organic Search Ad Listings 3. Online Directories can be both horizontal (Dexonline.com, SuperPages.com, LookLocally.com) or vertical for particular business sectors (Lawyers.com, Chiropractors.com, etc). For many businesses, online directories will show every business within a category when a certain set of search criteria is entered. The drawback of this approach is that it is difficult to differentiate one business from another since all competitive businesses in a category are displayed. These competitive listings can add up to tens or hundreds of listings. Also, unlike PPC that provides detailed reporting on the number of clicks each ad has received, online directories typically do not include that capability which makes it quite difficult for advertisers to measure the effectiveness of their directory display ads. The ability to generate incremental click-through (the re-directing to a sponsor Web site) and leads via an online directory is entirely dependent on how well the directory site is promoted. In contrast to search engines that millions of online users have set up as their browser home page, the popularity of an online directory is a function of how well it is known across the online community, and how extensively it is used to search for local businesses. Results for online directories appear in both the paid search and the organic areas. 4. Custom Landing Pages are Web pages that are designed and optimized for a high ranking on search engine results pages. Custom landing pages are often used in conjunction with direct mail, print, or broadcast advertisements which direct viewers to a specific Web page located on a company s own Web site. This approach requires the advertiser to dedicate either internal or external resources to both develop the custom pages and devote additional server resources to accommodate the increased traffic to the Web site. Depending on the number of locations and/or the extent of the advertising campaign, the costs associated with creating, managing and hosting an extensive number of custom landing pages on a corporate Web site can add up very quickly. Local branches have demanded an effective and affordable approach to online search marketing to increase their local visibility, lead generation and sales opportunities. LookLocally.com delivers a proven, superior, cost-effective alternative for any business who wants to generate local leads online. Over time LookLocally.com s online lead generation solution also adds value and strength to the overall corporate Web site ranking via embedded links to the corporate Web site that act much like votes for the relevancy and importance of the site. 4

5 The LookLocally.com Advantage for Greater Local Lead Generation As opposed to push marketing advertising mediums such as , pop-up ads, and direct mail, LookLocally.com is a pull marketing lead generation service for businesses. This style of marketing uses the most popular and frequently used search engines to attract and re-direct potential online customers to specially designed local business Web pages. LookLocally.com deploys a proprietary online vehicle to generate a custom landing page for each business location and optimizes that landing page for a high ranking position on popular search engine results pages. Approximately 99% of all LookLocally.com customers are ranked in the organic area of either Page 1 or Page 2 across most major search engines, including Google, Yahoo!, msn, or AOL. 95% of LookLocally.com members rank on the first page in most searches. The LookLocally.com approach to local search engine marketing addresses the challenges with the four traditional online search marketing alternatives in the following ways: 1. Unique Search Engine Magnet Pages are highly optimized custom landing pages that are created by LookLocally.com for each business location. These custom Search Engine Magnet Pages provide an alternative to the Web site Search Engine Optimization (SEO) approach. Magnet Pages are custom HTML Web pages that provide a mini Web site which generates leads for each location by utilizing keywords that represent the individual cities and unique services that each location offers to its customers. Compared to traditional SEO, the Magnet Page approach provides proven Page 1 search engine results at a considerably lower cost. For businesses with multiple locations or services, LookLocally.com will work with a headquarters location to create an effective Magnet Page matrix that will accommodate all the unique business locations within the network. This gives local business locations an exclusive competitive edge since LookLocally.com will only accept two members for each keyword and city combination, (such as Auto Repair Fort Worth). Approximately 99% of all LookLocally.com customers are ranked on either Page 1 or Page 2 across most major search engines, with 95% of those clients ranked on the first page. In addition, Magnet Pages can house embedded links to other client-sponsored Web sites or to a corporate headquarters Web site. This provides both greater visibility for the listing and additional information for the user. These additional links also increase the probability of generating high-quality leads and sales results. Figures 3 and 4 illustrate how Magnet Pages appear in search engine results (Fig. 3) and by clicking on one of the two links, the prospect is directed to the corresponding magnet page (Fig. 4). Organic Magnet Page Listings Figure 3: Organic listing of a LookLocally.com Search Engine Magnet Page 5

6 W H I T E P A P E R Link to sponsor Web site Figure 4: The Corresponding LookLocally.com Magnet Page 2. An Effective Pricing Model - The pricing model for LookLocally.com is based on a fixed per page, per location amount. With this pricing model, the business pays a fixed price for each Magnet Page. The price comes with a guarantee of a highly ranked position at the top of the search engine results page, no matter how high the click-through traffic may be from the search engine site. The term click through is used to describe the process of clicking on an online advertisement to reach the advertiser's destination. This provides a result similar to the PPC approach, but at a significantly lower cost than advertising directly with search engines. Over 95% of all LookLocally.com customers have been able to obtain Page 1 search engine result rankings using this approach, and have done so at a fraction of what similar results would cost using either PPC or SEO organic advertising. 3. LookLocally.com Online Directory LookLocally.com has its own online directory which is functionally comparable to national online directories. The difference between the LookLocally.com directory and all others are the various options offered and the degree of flexibility that businesses are allowed. LookLocally.com provides three ways to advertise on their online directory: Free Listing A free, three-line text listing showing business name, phone number, and address. Enhanced Listing For a nominal fee, the business listing is displayed in either bold text or in color. Additional options include links to a business Web site and a contact form. Premium Listing An advertisement featuring the local business is displayed at the top of the listing page, along with a link to the location s LookLocally.com Search Engine Magnet Page. To provide members with a Search Engine Magnet Page campaign even greater value, this feature position is included with their annual subscription. n-members have an opportunity to upgrade to a Search Engine Magnet Page at an affordable annual fee. With the LookLocally.com online directory, a local business has the flexibility to start with a free text listing and upgrade to an enhanced or premium listing when it is appropriate for the business to do so. Finally, LookLocally.com has a high page ranking and with over a million hits a month LookLocally.com s directory drives additional leads to local businesses. 6

7 4. Measurable ROI Metrics members can use online reporting tools that allow them to see not only the amount of Web site traffic to their Magnet Page but also important statistics such as the number of messages that have been received from those pages, the number of times the ad has been edited and the amount of click through traffic that has been sent from the Magnet Pages to the corporate Web site. This provides an enhanced degree of measurability that allows businesses to effectively measure the ROI they are achieving from their LookLocally.com advertising campaign. It also removes any additional Web monitoring, management and traffic burden on the corporate Web site infrastructure. By applying this multi-faceted, pull marketing approach to search engine marketing, LookLocally.com solves the challenge of using search engines to generate more qualified leads and business opportunities for local business locations. At the same time LookLocally.com provides business management with a measurable and cost-effective online lead generation solution for multi-location businesses. The table illustrated below in Figure 5, provides a comparison between existing search engine marketing programs and the advantages of a LookLocally.com Search Engine Magnet Page campaign. Search Engine (SE) Coverage Leads Generation Pricing Model % Search Eyes Client Has Ability To Edit Guarantee? Paid Placement or Sponsored (PPC) Select SE or engines at start of online campaign Local or National Either shared, duplicated, or exclusive Varies, continually escalating (real time auction) Sponsored Area: 20% to 30% of Searchers Yes Search Engine Optimization (SEO) Across All Search Engines HQ/National Exclusive Expensive and time consuming for local lead generation Organic Area: 70% to 80% Directory Coverage varies by directory & industry National or Vertical Industry Shared or duplicated 1 to 2 year contract Varies: Sponsored or Organic Areas LookLocally.com Search Engine Magnet Page TM Across All Search Engines Local Exclusive 1 year subscription Directory Premium position included free Priced for local lead generation Organic Area: 70% to 80% Yes Yes Figure 5: Search Engine Marketing Comparison Matrix 7

8 W H I T E P A P E R Summary Search engine marketing has become an accepted and mainstream advertising vehicle that is proven to generate new business leads and opportunities. LookLocally.com s multi-phased online marketing approach leverages custom Magnet Pages and its highly trafficked directory, and does so at a more affordable price than search marketing alternatives. LookLocally.com s custom Magnet Pages generate highly-ranked search results and greater lead opportunities for local business locations. The LookLocally.com local search technology has a demonstrated and proven track record and produces measurable business results. In summary, the LookLocally.com search marketing program provides the following advantages for business with multiple local business locations: Greater Exposure LookLocally.com is successful in getting local businesses listed on Page 1 of the most popular search engines, dramatically increasing Web traffic to a local LookLocally.com Search Engine Magnet Page and click throughs to LookLocally.com member s Web site. Exclusive Competitive Edge LookLocally.com provides an exclusive benefit for businesses to be the first within their location to sign up since LookLocally.com will only accept two members for each keyword and city combination. More Effective Lead Generation LookLocally.com s pull marketing approach to search engine marketing generates qualified leads and business opportunities at the local level. Additionally, LookLocally.com has search engine marketing solutions that produce exclusive leads for your business, branch, product or service. Measurable Marketing Results LookLocally.com offers detailed Web site statistics that allow businesses to measure Magnet Page effectiveness and calculate accurate marketing ROI. Affordability LookLocally.com provides exceptional value compared to the advertising and administrative costs associated with advertising via other search engine marketing alternatives such as PPC and SEO. Greater Flexibility Businesses increase their flexibility to rapidly respond to marketplace needs for each location by utilizing the LookLocally.com online resources such as editing, monitoring and measuring their campaigns. LookLocally.com 1452 Hughes Rd. Suite 130, Grapevine, TX For more information about the benefits of using LookLocally.com to maximize search engine marketing results for multi-site business, please call toll free at (866) or visit our Web site at About LookLocally.com: LookLocally.com, founded in 2002, is a full service Search Engine Marketing (SEM) firm offering a complete portfolio of solutions to get businesses ranked on Page 1: Pay per Click, Search Engine Optimization, Directory Services and LookLocally.com s Search Engine Magnet Pages (a patent-pending solution for effective online local lead generation). Enabled by proprietary technology, over 95% of LookLocally.com s clients are ranked on Page 1 in an online search. Additionally LookLocally.com s clients enjoy over 30,000 Page 1 rankings across all major search engines (Google, Yahoo!, MSN, AOL, Ask, Dogpile, etc.). For more information about the benefits of using LookLocally.com to maximize your online lead generation for multi-site business, please call toll free at (866) or visit the LookLocally.com Web site at The LookLocally.com name and the LookLocally.com logo are registered trademarks of LookLocally.com, Inc. All rights reserved. Copyright 2006

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