Presentation given 5/5/2012 at the Louisiana Press Association Annual Convetion on the factors impacting local newspapers, looking specifically at search, social media, local search, reviews & ratings, paywalls, bloggers, digital-only news sites and Internet Yellow Pages. It also provides an overview of the primary factors that local newspapers must contend with and incorporate in order to stay relevant and maintain their position as the "trusted" local news source.

1. LPA Annual Convention
May 5, 2012

2. First Off, Who Am I?
• Name: Max Thomas • Twitter: @ThunderMax
• Title: President • LinkedIn: linked.in/maxthomas
• Company: Thunder SEO • Read My Posts: bit.ly/max-blog

3. What Does Thunder Do?
• Search >>
Google / Bing / Yahoo!
• Local Search >>
Google / Google Places
• Social Media >>
Twitter / Facebook / Pinterest / YouTube
• Content Development >>
Blog Posts / Infographics / Video / White Papers
• Online Community Building >>
Integrates All Of Above
• Clients >>
Local & Regional Companies / National Brands

4. Who Are Our Clients?
Local & Regional Companies
National Brands
•Apartment Communities
•Medical Facilities
•Auto Repair Shops
•Shipping Companies
•Hotels & Temporary Housing
•Law Firms
•Consumer Product Companies

5. “Why is he talking to us about
local newspapers?”
?

6. Grew Up Hearing About Newspapers

7. And…all those companies
used to advertise mostly with
local media.

8. PUNCHLINE
Everything is getting more local
Local newspapers are at the historic
“center” of local
Stay relevant
Be the digital “center” where
community members engage, interact
and transact

9. Google & Newspapers – Not A Good Marriage

10. Audience Participation
Why does Google like
newspapers?
(Hint: Both have to do with rankings.)

11. Audience Participation
http://www.google.com/about/company/
Links
Webpages

12. Webpages
Media Sites
Observation: Keep
some content in
front of paywall to
get search traffic.

13. Links (Inbound Links)
Without links, the
engines might
never find this page

14. What Is An Inbound Link?
A Vote For Your Site
I L ik
e Th
Site is
!

15. What Is An Inbound Link?
More Votes = More Links

16. What Is An Inbound Link?
Are All Links Equal?

17. What Is An Inbound Link?
And What About Questionable Links?

18. What Is An Inbound Link?
“Bad Guys” Tried To Game Google
Paid Links – Link Farms – Reciprocal Links

19. Google Cracks Down On “Spammy” Links
Feb 2011 >> Panda Update
May 2011 >> Panda 2
Jan 2012 >> Venice Update
April 2012 >> Penguin Update
100’s of algorithm updates annually

20. Links Google Rewards
Links that are
•Authority
•Quality
Newspapers & Media

21. Trusted Local Newspaper Content
Source: Size Matters: The Value of Local Newspaper Web Sites, NAA 2009

22. That’s Not Possible With Paywalls
Content behind the paywall is not
searchable by Google.

23. Google Keeps Courting Newspapers

24. All This Over Links & Pages?
Matt Cutts
Principal Engineer
“User Experience”

25. What Motivates Google
Poor search results
People not using Google
No one clicking on Adwords Ads
Lower revenue (and market cap)
Remember: Links and good content
are fundamental to Google’s
algorithm

26. NOW: Social Media Important To Search
• Bing confirmed social is full ¼ of search algorithm
(SMX San Jose 2012):
• For Bing: Twitter, Linkedin & Fan Pages.

27. NOW: Social Media Important To Search
• Google confirmed the algorithm tracks social
shares and mentions in December 2011
• Growing importance of Google+ and indexed
content from Twitter, Linkedin & Facebook
Fan Pages

28. Quickly Evolving Landscape

29. Quickly Evolving Landscape

30. Readers /
Subscribers How Do Online Users Shop Locally?
Trend – US Search & Local Search Market Continues To Grow
Source: comScore/15 Miles/ Localeze Local Search Usage Study 2012

31. Readers /
Subscribers How Do Users Shop Locally?
Trend – Social Media Grows As Method To Find Local Businesses
Source: comScore/15 Miles/ Localeze Local Search Usage Study 2012

32. Readers /
Subscribers Friends Have More Credibility Than Brands
92% of respondents in 56
different countries trust
Word-of-Mouth
recommendations from
friends and family above
all other forms of
communication.
Source: Nielsen’s Latest Global Trust in Advertising Survey

33. Readers /
Subscribers Strangers Have More Credibility Than Brands
• Consumers are increasingly
likely to trust the voices of
strangers over those of a
corporation.
• Online consumer reviews are
the second-most trusted form
of communication (cited by
70% of consumers, up 15%
since 2007).
Source: Nielsen’s Latest Global Trust in Advertising Survey

34. Readers / Demonstration - How People Search &
Subscribers
Make Local Buying Decisions

35. Readers /
Subscribers Case Study – Shopping For Apartments
Trend – Online Advertising & Website Lead Newspaper & Yellow Pages Ads
Online apartment listing/shopping website 79%
Apartment community’s (or management 78.5%
company’s) website
Driving in neighborhoods I want to live in 68.9%
Referrals (friends, co-workers) 59.2%
Search engine 55.1%
Ratings and reviews website 51.6%
Printed apartment guide 32.0%
Apt community’s (or mgmt company’s social 13.8%
networking page)
Newspaper advertising 13.5%
Yellow pages 2.5%
Source: @SatisFacts Research

36. Readers / A Story:
Subscribers
Prospect Peter Searches For An Apartment
Peter is logged in
Alright! to his Google
Personal account.
results from
my friends.
Location set for
where Peter is
searching.

37. Readers / A Story:
Subscribers Prospect Peter Clicks To See “Personal Results”
My friend +1’d
Regents Park.
I’ll check out
that one!
Friend on Google+
“+1’d” the Regent’s
Park page.

38. Readers / A Story:
Subscribers
Prospect Peter Checks Out +1’d Page
Looks nice…
and they have a
Fan Page.
Great! I’ll check
it out.
Community’s Fan Page
listed on website.

39. Readers / A Story:
Subscribers
Prospect Peter Checks Out The Fan Page
Great looking
Fan Page! They
have lots of
fans. That’s a
good sign.
t
Grea
a ys, “ ere’s
ael s h
Mich to live.” T too.
s
place f update real
o
lots s like a
Look munity
c om
s
v ent
ve e for
y ha n
The I’m dow gg
too aster E
!
the E Hunt.

40. Readers / A Story:
Subscribers Prospect Peter Checks Out The Twitter Profile
2,134 followers!
That’s a lot.
Good sign.
d
y an
’s Da Two of
Fool .
April adness !
hM ites e
Marc my favor ace mor
this pl Community’s Twitter profile
I’m liking d more. listed on website.
an

41. Readers / A Story:
Subscribers
Prospect Peter Looks For Reviews
Hmm…3.5 rating on
Apartment Ratings.
Let’s see what’s up.

42. Readers / A Story:
Subscribers
Prospect Peter Checks Out The Reviews
There’s good and bad reviews.
The bad reviews look like
isolated complaints. But they DO
have positive reviews and LOTS
of good stuff happening on their
Fan Page and Twitter…

43. Readers / Audience Participation:
Subscribers
What Does Prospect Peter Decide To Do?
No. I’m not going to Yes! I’m going to contact
contact Regent’s Park. Regent’s Park. Just a few
The negative reviews negative reviews but lots
concern me. of positive buzz online.

44. Readers / Reviews Matter /
Subscribers
Social Matters More
• 60% of general public say ratings and reviews are important,
29% actually use them.
• 63% of online users more likely to buy if business is
also found on a social network.
• 72% of online users more likely to use a
local business if connection recommends it.
Source: comScore/15 Miles/ Localeze Local Search Usage Study 2012

45. Readers /
Subscribers Social Media Supports Positive
Reviews
Source: comScore/15 Miles/ Localeze Local Search Usage Study 2012

46. Readers / Okay…Let’s Vote Again:
Subscribers
What Does Prospect Peter Decide To Do?
No. I’m not going to contact Yes! I’m going to contact
Regent’s Park. The Regent’s Park. Just a few
negative reviews concern negative reviews but lots of
me. positive buzz online.

47. Readers /
Subscribers What Does Prospect Peter Decide To Do?
Yes! I’m going to contact
Regent’s Park. Just a few
negative reviews but lots of
positive buzz online.

48. Readers /
Subscribers Why People Use Newspapers

49. Readers /
Subscribers Why People Use Internet & Cell/Smart Phones
Email-personal 96.7%
Email-work 77.4%
Personal banking/investments 77.1%
Research-personal 75.9%
Entertainment 75.6%
News 73.0%
Shop 71.7%
All in Social networking sites - personal and/or entertainment 71.5%
newspaper Interests/hobbies 59.9%
58.6%
Research-work
domain Instant messaging-communication with friends 49.6%
Ratings and review sites-shopping, help with buying 42.8%
decisions
Video games/entertainment 33.2%
Instant messaging-communicate with co-workers 32.6%
Social networking sites-for work-related purposes 27.5%
Discussion groups, chat rooms or blogs-personal 24.0%
Twitter-to keep in touch with people you find interesting 16.3%
Twitter-to keep in touch with what friends are doing 16.0%
Social networking sites-shopping, help with buying decisions 15.2%
Dating 11.8%
Source: ©SatisFacts Research
Discussion groups, chat rooms or blogs-work 10.3%
Twitter-for work related purposes 7.1%

50. Quickly Evolving Landscape

51. Advertisers /
Revenue Where Local Businesses Advertise
• Newspapers – Print & Online
• Regional Weeklies/Monthlies – Print & Online
• Free Coupon Publications
• Inserts & Flyers
• Direct Mail
• Search Engine – PPC
• Directory Websites
• Vendor Directory Websites
• Yellow Pages – Print & Online
• Local Cable – TV & Online
• Radio – On-air & Online

52. Advertisers /
Revenue Case Study: Convoy Auto Repair

53. Advertisers /
Revenue Case Study: Convoy Auto Repair
Tracks Two Leads:
1. Online Form 2. Phone Calls

54. Advertisers /
Revenue Case Study: Convoy Auto Repair
Correlation Between Coupon Pub’s,
Geography & Negative Reviews

55. Advertisers /
Revenue Case Study: Convoy Auto Repair
Correlation Between Coupon Pub’s,
Geography & Negative Reviews

56. Advertisers /
Revenue Case Study: Convoy Auto Repair
Search Highest Quality Calls

57. Advertisers /
Revenue Case Study: Convoy Auto Repair
Timeline

58. Advertisers /
Revenue Case Study: Convoy Auto Repair
There was a time when I was convinced that the Internet
was the only way to advertise and I dropped ALL print.
Now I believe that a carefully planned mix of Internet, direct
mail and, yes, even some local weeklies more centered to
the community you do business with is of growing
importance.
I am just saying that I now believe the scales of justice in
regard to the Internet and print are becoming back into
balance.

59. Advertisers /
Revenue Case Study: Convoy Auto Repair
What about the metro daily?
…the cost was way up there. The type of clientle it
produced was just the coupon shoppers which are not my
target demographic.

60. Advertisers /
Revenue Case Study: Convoy Auto Repair
And what about the YellowPages?

61. Advertisers /
Revenue Case Study: Convoy Auto Repair
Summary
•Avg Call Length of 1:27 -- below 2:00 threshold
•Avg price per call of $22 – for low quality calls
•Adwords PPC of $33 – for high quality calls, 2:00+
•Ad click rate of $1.50 – “ad” is on YP.com versus business
website

62. Advertisers /
Revenue Decline In IYP Usage
Trend – Internet Yellow Page Usage Showing Steady Decline
Source: comScore/15 Miles/ Localeze Local Search Usage Study 2012

63. Advertisers /
Revenue YP Sales Reps – Watch Out!
Source: Local Ad Networks – Making Sense Of Local Online
Advertising, 2012, BIA/Kelsey.

64. Advertisers /
Revenue YP Sales Reps – Watch Out!
• Long-standing relationships with businesses
• IYP reports show that business gets thousands of
“visits” per month, but this is to business listing on
YellowPages.com (hard to confirm stats via third-party)
• Sales rep’s armed with “Online Marketing” and “SEO”
programs that are misguided (up-charge)
• Sales Suggestion: Pay to set-up call tracking number
for print and for website ads, include CallerID as part of
report; also set-up trackable link (like bit.ly or Goo.gl) to
show how many clicks the ad gets
Source: comScore/15 Miles/ Localeze Local Search Usage Study 2012

65. Advertisers /
Revenue Daily Deals
Trend – 60% Of Local Online Shoppers Use Daily Deals

66. Advertisers /
Revenue Daily Deals
Trend – 60% Of Local Online Shoppers Use Daily Deals
Source: comScore/15 Miles/ Localeze Local Search Usage Study 2012

67. Advertisers /
Revenue Daily Deals Popular With Digital Readers

68. Advertisers /
Revenue Newspaper ROP Ad Revenue Increasing
Source: Forecast Newspaper Ad Revenue, 2011-2016, Borrell Associations

69. Advertisers /
Revenue Small Markets Are The Place To Be
Source: Forecast Newspaper Ad Revenue, 2011-2016, Borrell Associations

70. Advertisers /
Revenue Small Markets Are The Place To Be
These papers serve markets without integral broadcast TV
stations. Some have only limited local radio coverage. They
remain the place people in town go to find out who’s died, what
the city council said, and what’s going on at local schools and
events. They have small staffs, few union contracts, and fierce
reader loyalty. If their future doesn’t look rosy, it at least looks
sustainable.
Source: Forecast Newspaper Ad Revenue, 2011-2016, Borrell Associations

71. Quickly Evolving Landscape

72. Operations /
Costs Non-Legacy News Sites Profitable

73. Quickly Evolving Landscape

74. Content
Competing Online Local News Sources
Blogs Social Media

75. Content
Growth In Blog Readers & Bloggers

76. Content
What’s Fueling All These Blogs?
Source: Technorati Media, State Of The Blogosphere 2011

77. Content
What’s Fueling All These Blogs?
Source: Technorati Media, State Of The Blogosphere 2011

78. Content
What’s Fueling All These Blogs?
Source: Technorati Media, State Of The Blogosphere 2011

79. Content
What’s Fueling All These Blogs?
Source: Technorati Media, State Of The Blogosphere 2011

80. Content
What’s Fueling All These Blogs?
Source: Technorati Media, State Of The Blogosphere 2011

81. Content
What’s Fueling All These Blogs?
Editorial Exploding
Downsizing Blogosphere
Source: Technorati Media, State Of The Blogosphere 2011

82. Content
Hyperlocal Blogging - Seattle
1. Newspapers Contract
• Two Dailies Closed In Four Years:
• The King County Journal – 1/2007
• Post Intelligencer (1863 Seattle’s Oldest) –
3/2009
• The Seattle Times Cut Newsroom 44%
3. Hyperlocal Blogs Explode
• 90 place-based news and blogs sites just within
the Seattle city limits
Pew Research: The State Of The News Media –
Seattle: A New Media Study

83. Content
Paywalls
Mixed reports – anywhere from 150 to 300+
newspapers with paywalls in US
NYtimes.com – Q1 2012 Report
•500,000 digital paying subscribers
•39% of 1.3 million weekday print circulation
•18% of total circulation revenue
http://www.guardian.co.uk/technology/2012/apr/23/monday
-note-nyt-paywalls

84. Quickly Evolving Landscape
Device

85. Device
For The Love Of Gadgets

86. Device
For The Love Of Gadgets
Source: NAA, Newspaper Multiplatform Usage 2012
Focus Groups: WDC, Austin & Denver

87. LOCAL ROCKS!

88. LOCAL ROCKS!
People Want Local Information
Source: Size Matters: The Value of Local Newspaper Web Sites, NAA 2009

89. LOCAL ROCKS!
Yes – There Is Competition
Source: Size Matters: The Value of Local Newspaper Web Sites, NAA 2009

90. LOCAL ROCKS!
But Newspapers Are Still The Most Trusted
Source: Size Matters: The Value of Local Newspaper Web Sites, NAA 2009

91. LOCAL ROCKS!
And The Revenue Growth Is In Local Media
Source: Forecast Newspaper Ad Revenue, 2011-2016, Borrell

92. LOCAL ROCKS!
Even Metro Dailies Are Betting On Local

93. LOCAL ROCKS!
Madison Avenue Wants Newspapers To Figure It Out

94. LOCAL ROCKS!
Madison Avenue Wants Newspapers To Figure It Out
Commerce and coupons are more important to local consumers
than school closings and town council meetings.
Marketers will be motivated to move dollars back into local
community centric marketing when local digital media integrates
coupons and commerce, social media, featured content on local
restaurants, bars, merchants and entertainment, merged with GPS-
location based applications.
It's not too late for newspapers to take the lead, but most remain
too locked into their traditional news first focus to respond to what
their readers want and need.

95. LOCAL ROCKS!
Google Is Focusing On Local Search
Jan 2012 >> Venice Update
(focus on Local)

96. BE THERE!

97. Thank You!
• Questions?
• max@thunderseo.com
• @ThunderMax