Hitting them where they live

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Hitting them where they live. The Emergence of Local Online. Steven Berlin Johnson Chris Tolles Chairman, Outside.in CEO, Topix. “ 90% of consumer purchases are made within 20 miles of a person’s home or office.”. We Spend Locally. - PowerPoint PPT Presentation

Text of Hitting them where they live

  • 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)

    Chart1

    179504

    210629

    216759

    251886

    2871008

    3251121

    Ecommerce

    Internet influenced offline retail

    (Millions)

    Sheet1

    200720082009201020112012

    Ecommerce179210216251287325

    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;
  • GeoToolkit

  • 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

    *****