The Usage and Value of Local Search Sources comScore study findings / marketer application Stuart McKelvey, CEO - TMP Directional Marketing Search with a Sharper Focus

Discussion Topics Sites used for Local Search shift as the consumer moves through the purchase process –Utilization of multiple sites Difference in search activity: –Product vs. Service –Category Familiarity Business selection factors: –Location / proximity –Brand awareness The criticality of tracking offline consumer behaviors

Understand the use and value of on- and offline local search sources such as IYP, Print YP’s and online search. Study Objectives

comScore panel of 1 million online users 3,000 consumers completed the survey regarding online and offline Local Search Results released Q Methodology

Study Results General Survey

Internet is the primary source when combined, while PYPs are the leading stand-alone source for local business information. Study Results Source: comScore Networks conducted on behalf of TMP Directional Marketing – Study: The usage and value of on- and offline local search sources, June Proprietary and Confidential.

The Purchase Funnel Study Results Understanding Consumer Behavior Awareness Research & Consideration Intent / Shop Purchase Local Search happens near the bottom of the funnel –Consumers know the what…now they need to decide on the where. However, from intent through purchase -consumers are still deciding on where to buy Source: comScore Networks conducted on behalf of TMP Directional Marketing – Study: The usage and value of on- and offline local search sources, June Proprietary and Confidential. Local Availability / Price

Local Product Search Website, discounts, promotions, types of payment accepted Information needs: The Purchase Funnel (1) Brand Familiarity (2) Proximity Selection Factors: Source: comScore Networks conducted on behalf of TMP Directional Marketing – Study: The usage and value of on- and offline local search sources, June Proprietary and Confidential. Study Results Understanding Consumer Behavior Awareness Research & Consideration Intent / Shop Purchase Local Selection SearchEngines

Local Service Search Address, maps, phone number Information needs: The Purchase Funnel (1) Proximity (2) Brand Familiarity Selection Factors: Source: comScore Networks conducted on behalf of TMP Directional Marketing – Study: The usage and value of on- and offline local search sources, June Proprietary and Confidential. Study Results Understanding Consumer Behavior Awareness Research & Consideration Intent / Shop Purchase Local Selection IYPs & Local Sites

Outside of local product based searches, findings indicate that General Search sites are used higher up in the purchase funnel General search users conduct more than double the amount of searches per session (12.8) than local & IYP site users (5.1). Users were less likely to have an actual business name in mind prior to search vs. IYP & Local site users. General search users were less likely to make a purchase post reference than IYP & Local site users. Study Results General Search User SearchEngines IYPs & Local Sites Source: comScore Networks conducted on behalf of TMP Directional Marketing – Study: The usage and value of on- and offline local search sources, June Proprietary and Confidential.

Based on findings, consumers were 40% more likely to have a successful localized search on an IYP or General Search site. Study Results Search Success & Satisfaction Source: comScore Networks conducted on behalf of TMP Directional Marketing – Study: The usage and value of on- and offline local search sources, June Proprietary and Confidential.

What happens in the absence of a successful search? Study Results Search Success & Satisfaction Gave up search Utilized Print Yellow Pages Used different search terms Used a different site Asked a friend for info Choose another search result Called Directory Assistance Other Getting your basic business info correct allows you to capture 50% of this audience To get closer to 100% you need to focus on local listing attributes Source: comScore Networks conducted on behalf of TMP Directional Marketing – Study: The usage and value of on- and offline local search sources, June Proprietary and Confidential.

Study Results Category Details

Study Results Category Details Source: comScore Networks conducted on behalf of TMP Directional Marketing – Study: The usage and value of on- and offline local search sources, June Proprietary and Confidential. In general, IYP & Local site usage only account for 30% of local search activity. However, usage varies widely by category.

8% 16% 47% 8% 8% 13% Source: comScore Networks conducted on behalf of TMP Directional Marketing – Study: The usage and value of on- and offline local search sources, June Proprietary and Confidential. Share of Home Services searches: Study Results Category Details – Home Services Usage changes based on consumer awareness of a category

Search with a Sharper Focus

The most common activities resulting from the online search were in-store visits and contacting the business via telephone. Survey Results

Primary Source for Local Info Post Search Activity Survey Results Purchase Activity Offline Online

Even traditional media drives offline activity Other Media 30% 28% 18% 17% Source: NAA’s Newspaper Engagement Study, NAA July 2006 In-store Visit as a result of ads Purchases as a result of ads 30% 21% 7%

Primary Source for Local Info Post Search Activity Other Media Purchase Activity Offline $363.5 Billion Online $112 Billion Source: Q comScore Networks

Value of Media With so much activity happening offline --- How do you ensure you are capturing the full value of your advertising?

Methods of tracking offline activity / conversions 1.Good –Easy to implement, however not precise 2.Better –For marketers who lack the budget / infrastructure for more advanced tracking solutions 3.Best –For the sophisticated marketer Tracking Offline Activity

GOOD: A Simple Approach Make assumptions based on change in sales volume In-store survey

Test program Coupon / promotion code program Pay Per Call Unique content landing pages specific to traffic source (unique price etc.) Branch / dealer locator Tracking Offline Activity BETTER: An Intermediate Approach

Tracking Offline Activity BEST: An Advanced Approach Compare Online Activity to Offline Purchases List Members Contact Requests Website Registrations

Tracking Offline Activity BEST: An Advanced Approach Bridging online research with offline purchases Customer Call Back Survey In-store pick up option Call Tracking – Sales disposition

A national home services company was looking to generate additional lead volume at an efficient cost per lead (CPL) and cost per sale (CPS) rate. A desirable CPL target was set at $20 as well as a target CPS of $50. Case Study The Results (note: results are from Jan – Dec 2006): o Target CPL = $20 o Target CPS = $50 Online Leads4,860 Online Sales1,781 CPL: $ CPS: $ Results measuring both online and offline performance: Total Leads (online + phone)10,377 Total Sales (online + phone)5,093 CPL: $ CPS: $ Results measuring online performance only:

Both online and offline tracking is needed to realize the full value of each media, thus assisting in the proper alignment of media mix and investment. In Summary

Thank You. Stuart McKelvey, CEO - TMP Directional Marketing