Hitting them where they liveThe Emergence of Local Online
Steven Berlin Johnson Chris TollesChairman, Outside.in CEO, Topix
90% of consumer purchases are made within 20 miles of a persons home or office.Source: Live Technology Holdings, Kelsey Group (2008)We Spend Locally
Internet-Influenced Sales $1.2T by 2012Source: Forrester Research (2008)
Internet influenced offline retail
Internet influenced offline retail5046297598861,0081,121
Local Online Ad ForecastsBorrell Associates: $12.6B in 2008Jupiter: $8.9B in 2012Veronis Shuler Stevenson: $19.2B in 2011eMarketer: $7.8 billion in 2011
Note: Definitions of local segment vary (classifieds, search, display, video)Its a very big market
The Geo-Web6,000 placebloggers in outside.in databaseRoughly 100K who write about location occasionally
Geo-tags are to the Geo-Web what links were to the original Web.
You can disagree about what information means, as long as you agree about where it is.
- The State of Geo-TaggingMore than 5% of Flickr photos now geo-tagged70% of Twitter messages come with basic location data;
This is an ad.
A different approach (We needed it now)We had 30,000 ZIP code level news pagesWe could geotag news content semanticallyThere werent enough stories to fill the pagesWe gave people the platform to roll their own
Uh OhThe Problem:Not enough local content1,440 Local daily papers2,303 News radio stations1,686 Television stationsX634XX8,6406,9096,74422,293Number of populated ZIP codes in USTotal number of local stories per day32,500Original Local StoriesInsight:Local News is not (yet) a search problem
This stuff works outside of the big marketsLocal Hits in a Defined MSA = 58.6%Local Hits Outside of a Defined MSA = 41.3%Commenting in 20,000 cities and towns every monthRankNode NameDaily Pageviews
1 city/somerset-ky 68,244 2 city/glasgow-ky 62,495 3 city/paragould-ar 55,389 4 topstories/topstories 52,427 5 city/london-ky 41,281 6 city/barbourville-ky 35,047 7 city/corbin-ky 34,558 8 city/paris-tx 31,238
Creating local voice on the web
The punchlineMarket for local advertising BIGGrowing 4X-6X in next four years$8 Billion - $12B market by 2012People buy stuff in person where they liveGeo-Web emerging to connect content to locationGeo-tagged content in place, in volume, todayBig opportunity for advertisers, publishers, people
Everybody (online) lives somewhere