Tuesday, May 22, 2007

Localized Search: A Threat to SEM?

According to industry analysts, Localized Search is attracting billions of dollars in ad spending growth, and new players like BooRah and Oodle are striking lucrative deals and securing funding. Even big player like Google, Microsoft and AOL are concentrating on developing local and personal search capabilities. Organizations have finally started getting a handle on search engine marketing, only to have it change on them. The fact is, localized and personalized search are a danger to SEM campaigns. Both local and personalized search extend the "what" of typical search to add the "where" and "who." Geo-location techniques help search engines tailor for local and personalized search. In fact, if you have a Gmail account, you will see personalized and local paid search items based on your email content. What users may not see, however, is information from companies that span multiple geographies, who are at risk of losing ranking spots to more regional or personalized search algorithms.

With the rise in popularity, it would be particularly timely to take a look at how organizations can revamp their SEO strategy in this changing search landscape. First off, businesses better make sure that their Web site is fully optimized for content and is search engine "friendly" to begin with. Businesses have to make sure that the company name, address and contact information (complete with city, state, zip) are on every page of the Web site. Once a site is optimized correctly, start tackling localized search by maximizing presence on the mapping services like Google Maps, Yahoo Local and MSN Live Local. Sign up for Google Local Business center. Google sends out a postcard with a unique pin to the address of a business to confirm that it really is there. The registration can be completed online to be listed in their index. Businesses must make sure this information stays current by updating the account when information changes (fax number, address, phone number, etc.)

Businesses can also use AdSense with geo-targeting and create a Google Local Business ad. Geo-targeted ads are served next to Google Maps right above the Google Local Business results. Having a presence in the Paid slot, the organic local slot and a pointer on the map increases the likelihood that the link will be clicked. Another key factor in the quest to dominate localized and personalized search results is to ensure listing in local-specific search engines like Yellowpages.com, Verizon Superpages, Citysearch.com and AOL's City Guide. Most of these engines offer free and premium listings. At the very least, search the free listings to see if a business is already listed and ensure that the information is correct. Consider a premium listing to maximize visibility within that search portal. Premium listings are usually inexpensive, and as in regular search engines, the ads are placed above "natural" results. Another simple yet valuable tip is to get involved in any local online outlets.

Research shows that local searchers are more qualified and ready to buy than broad searchers. For example, a user who searches for "used mountain bikes Burlington VT" is probably a lot closer to conversion than a user who searches for "mountain bikes." Local businesses with little or no online authority can quickly outrank top brand and search competitors for their geographical area by using local search. With a projected growth rate of 80% per year over the next three years, local search may give SEO a run for its money. Big brands, who are already building multiple geo-specific versions of their Web sites (Nike Running Boston, Nike Running San Francisco, etc.) will suffer the most if they don't step up to fully optimizing for local markets. It has been said that search is the great equalizer for online businesses, but local search may just tip the scales in the favor of businesses that tap into its full potential.
Thanks, Heather Frahm, CEO and co-founder, healthcare SEM agency Catalyst.

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