Ask any small and medium-sized business how they get new customers quick and easy, they will tell you it is about “being in the right place at the right time.” For many decades the battle for this prized position was waged in the pages of yellow pages phone books across America.
In the year 2000, after leaving high school, I joined Verizon Information Services sales at the TCC. My job responsibility was to call on small businesses across the country to sell yellow page ads from VIS’s conveniently centralized call center located near Dallas TX. Most of the accounts the TCC handled were small, typically spending less than $100.00 per month. The bulk of these “advertisers” paid for listings that were enhanced with bold font, red color, or in multiple categories. Just about every business NEEDED the presence in the phonebook to find new customers and retain old ones. Since then the TCC’s book of business has dramatically shrunk. One way to tell how irrelevant listings in phone books are now is the decline in yellow pages mail fraud. The TCC mailed renewal notices with rate increases to the majority of the small accounts that it sold. As GTE/Verizon’s mail-out procedures also permitted companies to scam businesses with “fake bills” for yellow pages advertisements. This phonebook scam business is now about as successful as advertising the opportunity to receive large sums of money from a Nigerian diplomat.
Small businesses no longer care whether they are represented with listings in the phonebook as they did in the past.
“Just because your business is relevant today, does not mean it will be relevant tomorrow”
Long gone are the days when being in the phonebook was do or die. Businesses literally timed “grand openings” around the date of yellow pages deliveries. The TCC, at what is now called SuperMedia, is rampant with sales fraud. What was once a “cash cow” in mail-out renewal revenue for the Verizon Yellow Pages, is now the epicenter of Yellow Pages fraud. The cancellation rate for listings is greater than that of those that advertise with display ads. Even Verizon has admitted that people no longer use the “white pages” directories, yet yellow pages publishers seem to somehow think that means they still want the yellow version of the bulky recycle bin ready paper weights. Considering that Verizon is now in a battle with bankruptcy trustees over the Verizon/Idearc spin-off stock fraud scam, I am sure things are going to get interesting very soon.
Today, people naturally assume that “Google has killed the yellow pages.” I must clarify to you that this is simply not true. Why you might ask? The yellow blood of the phonebook business is on smartphones and those that possess them.
SMART PHONES KILLED THE YELLOW PAGES
Don’t get me wrong, yellow page directories will still have a place with rural populations, pint-sized versions, and opted-in delivery magazine styled publications with incentives (like Groupon) for subscribing. Fancy gimmicks won’t win you the hearts of small businesses.
Mobile browser based search applications is a booming business. And for good reason, mobile answers where via convenient geo-location based applications and devices. The challenges of picking up the right directory with the proper local scoping are no more.
I believe the most viable local advertising company is the one that embraces the fragmentation of local search (although Google Places, and sooner than later Facebook Places, which uses Bing Maps, will monopolize the space if it secures mobile check-in properties) and makes it easy for businesses to interact with online communities, manage reputations, promote on the fly, and build a list of fans and advocates. The challenge is how do you go about eating an elephant like this? We all know the answer, one bite at a time. The real challenge is remembering where you left off. You can’t win overnight. The tools required are nothing like chainsaws and hacksaws, they are like scalpels, sensors, and precision measurement devices. Unlike traditional yellow pages ad buying, new media is effectively measured. Results are transparent. Pricing is ‘in line’ with performance. Having the biggest budget no longer wins the battle. I find it humorous that so many of your local category killer companies are struggling to adapt.
One of the key challenges for large media companies, such as traditional yellow pages publishers like SuperMedia and DexOne, is attention to detail and strategy. It must be a challenge to have to compete with small independent search engine marketing experts like SMB SEO. First off, independent marketing consultants work on behalf of a client, not the client and the clients competition. Putting the client first and focusing on the client provides a strategic advantage. Knowing what marketing messages to share, such as events, promotions, and work load makes a difference. I suggest that if your internet marketing company is focused on outsourcing fulfillment activities to India, you might want to reconsider who it is you hired to provide your search marketing services.
So, what is next? Systems! I am building the “World’s Best” small business advertising system to manage not just local search, but IT functions, HR functions, communication, marketing, software, hardware, payroll, point-of-sale, work-flow, and much more. I don’t have a name for it just yet, so I will just call it my “SMB SEO Toolbox” or “SEO in a box.” I know it doesn’t really have a great ring to it, but slapping a great name on an upcoming idea would be putting the cart before the horse.
You see, fancy gimmicks, catchy names and so-called guarantees only get you so far. I wouldn’t bet the farm on that as a business model. Sure you might win over a few dumb schmucks, but sooner or later they will realize that the service they were sold does not match the service they are receiving. Why is that?
- Search engine marketing without analytics is dumb
- Search engine marketing without website landing page optimization is dumber
- Search engine marketing resellers who markup clicks on Google are the dumbest.
Yellow pages companies have traditionally been pretty good at traffic. They have never been known for doing a great job “servicing” customers. Yellow page companies don’t focus on servicing as much as selling. I often suggest to my clients to consider buying traffic from sites like YP.com, SuperPages.com, Local.com and the like, but never hire them to provide a service. Never hire them to build your companies website or manage online advertising beyond the web property that they own and drive traffic to local businesses from.
I am looking forward to this coming week. First, I can’t wait for my follow-up meeting with the folks at CorePlus to discuss this enterprise level centralized virtual desktop ( I must say, big long fancy names like this one might help them sell a few seats! ) idea. Secondly, go Cowboys… let’s hope you can finally knock off a win against the Houston Texans, I am sure it will be a Civil War of sorts.
Cheers,
Mike















