This deck highlights some of the latest research coming from the Local Search Association and provides a preview of the LSA|15 Conference in LA, April 19-22.

1. New LSA Research & LSA 15
Conference Preview
April 2, 2015

2. About me
• Local Search Association, Search Engine Land
• Impact of digital media on offline consumer
behavior
• Search, local, mobile, social + indoor location
• Twitter: @gsterling

3. About me
You
must
unlearn
what
you
have
learned

4. Proselytizing about local
E-­‐commerce
Local:
DigitalàOffline

5. The big-picture numbers
• US GDP (2014): nearly $18 Trillion
• 70% of economy = consumer spending (most within 15 - 20 miles)
• 93% of retail spending offline; e-commerce (2014): roughly $304 billion
• Roughly 80% of internet users do online research before buying offline
Source: US Commerce Department, US Bureau of Economic Analysis (2014); Opus Research, E-tailing Group (2012 – 2014)

6. A Brief Word about the
New LSA

7. Most
important
areas
of
focus
(scores
of
5)
3%
5%
8%
8%
10%
13%
14%
15%
23%
24%
26%
28%
30%
32%
40%
41%
49%
Wearables
Consumer
privacy
issues
Internet
of
things/connected
home
Connected
car
Indoor
locaFon
and
markeFng
Legal
or
regulatory
issues
that
pertain
to
the
ProgrammaFc/RTB
adverFsing
Comparisons
or
evaluaFons
of
technology
OrganizaFonal
or
sales
transformaFon
Display
and
video
adverFsing
Market
sizing
and
forecasts
Paid
search
Small
business
adverFsing
Social
media
MarkeFng
to
naFonal
dealers/franchises
Mobile
markeFng
AnalyFcs,
ad
tracking
and
aTribuFon
Source:
LSA
Member
&
Non
Member
Survey
–
July
15,
2014
What members want from LSA

8. Helping the market understand
• Why location is critical to consumers, brands,
marketers and merchants
• How much money is being spent and is at stake
• Why digital-influenced offline commerce is a
much bigger deal than e-commerce
• Key location technologies
• Why location is “foundational” to the mobile future

9. LSA Insights Data-Driven Reports Consulting & Custom Research
Webinars Co-op Data & Services Conferences & Events
Serving the local ecosystem

10. New LSA Insights research portal
Campaign
performance data by:
• Search
• Social
• Mobile
• Video
• IYP
• Print YP
By market and
category

11. Migration to Mobile

12. 75%
Source: comScore, February 2015
• Roughly
190M
people
today
• By
end
of
2015
in
excess
of
80%
• 90%
by
end
of
2016
Smartphones reaching saturation

13. #1
Source: Flurry Analytics, comScore (Q3 2014)
More
daily
Jme
spent
now
on
mobile
devices
than
TV
Mobile now “primary screen”

14. 60%*40%
*Apps claim majority of time (88%)
Source: comScore, Nielsen, September 2014
Digital media time

15. 36%64%
Source: StatCounter, March 2015
Traffic distribution in US

16. Usage, revenue migration
65%
of
search,
56%
of
ad
impressions
88%
of
ad
revenue
69%
of
ad
revenue,
745M
daily
mobile
users
Source: public statements, filings, earnings releases (2015)
80%
of
usage
50%
of
search
on
network
is
mobile

17. 40% – 50%20%
Source: Google, Microsoft public statements (2012 – 2014)
Local-intent search

18. Local search query volumes (US)
Source: Calculation based on overall query volume data from comScore (2015)
Q4
2014
Local
Search
Queries

19. Mobile overtakes PC for local lookups
Device
most
commonly
used
when
looking
for
local
informaFon
online
Source: LSA research (2015), n=2,147 US adults

20. Source: LSA research (2015), n=2,147 US adults
When
looking
for
local
informaFon
on
your
mobile
device,
where
do
you
tend
to
be?
How
oWen
do
you
use
your
smartphone
while
shopping?
More “out and about” usage

21. 36%54%
Mobile fanatics: intensifying usage
Source: LSA research (2015), n=2,147 US adults
smartphone
owners
who
conduct
less
than
10
searches
per
week
via
mobile
smartphone
owners
who
conduct
more
than
10
searches
per
week
via
mobile

22. Fanatics are younger, more affluent
Source: LSA research (2015), n=2,147 US adults
80%
of
“mobile
fanaFcs”
are
younger
than
43;
more
than
50%
make
at
least
$50K
per
year

23. Mobile searches per week
Source:
Thrive
AnalyFcs,
“Local
Search
Report”
2014
&
2015.
*Some
numbers
may
not
total
100%
due
to
rounding.
33%
16%
27%
48%
64%
24%
25%
23%
25%
22%
19%
24%
23%
11%
7%
24%
35%
26%
15%
6%
All
Age
Groups
Gen
Y
(18-­‐29)
Gen
X
(30-­‐43)
Young
Boomers
(44-­‐53)
Older
Boomers
&
Seniors
(54+)
Less
than
5
5-­‐10
10-­‐20
20+

24. Source: LSA research (2015), n=2,147 US adults
Engaged
with
mobile
ads
Made
purchase
aWer
engaging
with
mobile
ad
Fanatics more engaged, influenced by ads
80%
of
mobile
fanaJcs
made
purchase
aUer
mobile
ad
engagement;
43%
the
same
day

25. 27%
20%
23%
22%
19%
19%
12%
14%
6%
7%
15%
18%
SMARTPHONE TABLET
Longer than month/Wasn't
looking
Within the month
Within the week
Within day
Within hour
Immediately
How
Quickly
Looking
to
Complete
Most
Recent
Purchase
–
By
Device
Smartphone
(n=2,070),
Tablet
(n=
1,409)
Source:
Nielsen-­‐xAd-­‐Telmetrics
(2014)
Mobile
Path
to
Purchase
study
Mobile users ready to buy

26. Local relevance improves ad performance

27. Mktrs Haven’t Kept Up

28. Noise, fragmentation a major problem
Source:
ScoT
Brinker,
Chief
MarTech

29. National: saying right things, not doing them
Source:
Forrester,
Shop.org
(2015),
survey
of
60
naFonal
retailers
Nearly
60%
of
respondent
retailers
said
apps
are
“not
a
key
component
of
their
mobile
strategy
to
consumers.”
32%
of
respondents
said
they
were
spending
less
than
$100K
on
mobile
development
and
68%
were
spending
less
than
$1
million

30. Mobile a priority for some SMBs
Source:
Thrive
AnalyFcs,
“Local
Pulse
Survey”,
January
2015.
SMB
Planned
Change
in
Media
Spend
Over
Next
12
Months

31. Marketing $ spread across more channels
6
6.6
7.2
2013
2014
2015
Source:
Thrive
AnalyFcs,
“Local
Pulse
Surveys”,
June
2013,
January
2014
&
2015.
Avg.
number
of
media
types
currently
used
in
markeJng
efforts

32. Newer SMBs more digital
27%
38%
46%
45%
43%
51%
73%
62%
54%
55%
57%
49%
Less
than
1
year
1-­‐3
years
3-­‐6
years
6-­‐10
years
10-­‐15
years
15+
years
TradiFonal
Media
Digital
Media
Source:
Thrive
AnalyFcs,
“Local
Pulse
Survey”,
January
2015.
SMB
Media
Mix
by
Tenure
of
Business

33. In fact, most SMBs not mobile-ready
• 60% have no strategy to market to mobile consumers
• 60% of SMBs don’t utilize tools to measure
performance
Source:
Thrive
AnalyFcs,
“Local
Pulse
Survey”.
January
2015.

34. Time, knowledge big challenges
40%
37%
33%
21%
Not
Enough
Time
Not
Enough
Knowledge
or
ExperFse
Ad
Budget
Not
Large
Enough
Not
Enough
Resources
to
Hire
Dedicated
Personnel
Source:
Thrive
AnalyFcs,
“Local
Pulse
Survey”
January
2015.
SMBs
Biggest
Challenges
with
Online/Digital
MarkeJng

35. Local marketing providers falling short
25%
30%
45%
55%
60%
Other
Too
Many
Errors
Made
Price
is
too
high
for
the
product/service
Poor
Service
Levels
from
Providers
Poor
Program
Results
Reasons
for
not
being
saJsfied
with
current
media
providers
(Scores
0-­‐6).
Source:
Thrive
AnalyFcs,
“Local
Pulse
Survey”.
January
2015.

36. Conference: LSA 15

37. Great place to network
Every
corner
of
the
local
ecosystem
represented

38. Effectively -- three events in one
• SMB digital bootcamp (April 19)
• Tactical workshops (April 20)
• Main conference (April 21 - 22)

39. SMB Digital Bootcamp (April 19)
• Day of intensive education for local businesses re digital
• Topics: presence, search, social, mobile, email, strategy
• Partners/speakers: GoDaddy, Google, Yelp, YP, Yahoo, Microsoft,
Closely, G/O Digital, Goodzer, Constant Contact, ReachLocal,
Buzzboard, MOZ, Search Influence, LocalSEO Guide, Where2GetIt

40. Tactical workshops (April 20)
• CraWing
a
Compelling
Sales
Offering
for
Today's
More
Savvy
SMBs
• Research:
Triggers
and
Causes
of
SMB
Churn
• Sales
2.0:
Best
PracFces
(PresentaFons
&
Discussions)
• ConducFng
a
Basic
SEO
Audit
(with
ATenFon
to
Easy
Wins
and
Scalable
Content
Strategy)
• Major
Algorithmic
and
UI
Trends
at
Google
• Selling
Mobile
to
Small
Businesses:
What’s
Working
Now?
• New
Uses
of
LocaFon
for
Audience
TargeFng
and
Offline
ATribuFon
• TacFcal
• PracFcal
• Case
studies
• Best
pracFces

41. LSA 15 main conference (April 21-22)
Topics:
• SMBs
• Brands/NaFonal-­‐Local
• Sales/retenFon
• Mobile
• ProgrammaFc
• Commerce
• Ad
CreaFve
• Culture
change
What’s
working,
what’s
not
–
and
why
Highly
diverse
program
with
a
focus
on
transformaJon
and
innovaJon

42. Key sessions
Hope to see you there: http://thelsa.org
• Research:
Triggers
and
Causes
of
SMB
Churn
• Serving
the
Small-­‐Budget
Marketer
• Selling
Mobile
to
Small
Businesses:
What’s
Working
Now?
• Major
Algorithmic
and
UI
Trends
at
Google:
What
They
Mean
• How
Mobile
Commerce
Will
Change
Local
• The
Art
of
Mobile
Ad
CreaFve
• The
ProgrammaFc
Future:
Where
Does
Local
Fit?
• The
Brand
PerspecFve
or
How
I
learned
to
Embrace
Chaos
• Digital
Assistants
and
the
Future
of
Search

43. Questions