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Local Search Ads: $1 Billion In 2006

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The paltry $420 million spent in 2005 on local search advertising was the calm before the nine-digit storm begins this year. Local advertisers are not just dipping a toe in the paid search waters. They are splashing around like dolphins, and it's just a matter of time before they turn search engine advertising into their personal Sea World. And traditional media will have to buy tickets to see them in action. Borrell cited that greater experimentation by comparing local search ads now to those of eighteen months past. Back then, those local ads were "5.6 percent of sponsored links on the major search engines; today it's more than one-third." Some categories like real estate have percentages approaching 50 percent of sponsored links. In the future, the report claimed some alterations could take place, with yellow pages becoming Web directories. The major search engines have been moving this way already, as have the yellow page companies. Borrell speculated a locally focused search engine could eventually emerge to grab the majority of that market too. Tag: | document.write("Email Murdok here.") Drag this to your Bookmarks. Add to document.write("Del.icio.us") | Yahoo! My Web David Utter is a staff writer for Murdok covering technology and business.

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