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By Jean-François Renaud
jfrenaud

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27 January 2009

Research marketing 1, yellow pages 0

Within the scope of Adviso’s SEO activities, I’ve often been in a position to measure the returns on investments in search marketing in general, either organic or paid. I have also seen just how expensive Yellow Pages advertising can be for customers even though it is very difficult to define the returns on this type of advertising investment.

This became evident while working with one of my clients in a typical proximity service, think plumber, or electrician, in other words, just the type of client for whom a Web vs. Yellow Pages comparison really starts to get interesting.

Since the Web became a mass media, consumers have significantly altered their decision-making process. In particular, they will often use Google for this type of search. Google has actually seen fit to change its algorithm and the manner in which it presents its search results when a user enters the name of a service along with the name of a town (e.g. "plumber montreal").

My client’s precise goal is to be visible on this type of search in order to generate leads (contact with customers via telephone, e-mail or an online form). He is therefore working with us for his search engine needs and also makes a monthly investment in the Yellow Pages site.

  Search Marketing Yellow Pages(Web investment only)
One-time investment (specific job) Organic SEO: approximately $2,000 Purchase of keywords: $250 (account setup) $0
Monthly investment in the purchase of keywords $500 $999
Total for 2008 $8, 250 $11, 988

The investment is therefore considerably higher. And just how many leads were generated by the search marketing compared with the Yellow Pages (all Yellow Pages Web properties combined)?

Here are the figures we obtained via our Web Analytics tools (in yellow are the properties of Yellow Pages Web and in blue, the results of Adviso’s search engine work):




For 2008 Search Engines Yellow pages
Leads - Free Quote 237 34
Cost per lead $34,81 $352,59



Why such a big difference ?

Users that are searching for local services are increasingly turning to Google and other search engines when preparing to make a purchase and selecting potential suppliers.

Also, Yellow Pages has always attempted to control the decision-making process of consumers when presenting its results, not because one result is more relevant according to user’s search, but simply because one customer paid more than another. Would a net surfer be pleased to see a florist located in Montreal amidst his results when his search was "florists brossard"? Yet this is exactly what happens with Yellow Pages. This means a loss of confidence in its results, while Google strives to provide users with the most relevant results possible.

Is your goal to be attentive to your customer’s needs? If so, then you can also generate quality leads at a far better rate than that offered by traditional channels using smart search marketing.

Tags:  Web Analytics   Internet Marketing   Search Engine Optimization   Internet Strategy   PPC   Cost per click   Performance indicators   Organic SEO  

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