To achieve a high-level of online visibility and internet marketing success, local businesses need to consider multiple factors…  

Real estate has been one of the worst-hit advertising categories over the past five years. Yet it might just be the poster child for the advertising industry’s morphosis from analog to digital media. Despite another abysmal year for home sales last year and a drop in overall ad expenditures, real estate professionals increased their online marketing budgets 27 percent. They whittled that money from their newspaper, magazine, direct mail, yellow pages and radio budgets in order to meet an audience of buyers and renters who have moved overwhelmingly to researching their housing options on small screens.

The result: The real estate sector spent $20.2 billion on advertising last year, devoting $8.9 billion of it for online media. That made it the second-largest online advertising category - behind general merchandise stores and just ahead of automotive. Overall, real estate professionals (which include apartment operators, mortgage providers and homebuilders) spent 44 percent of their ad budgets on online media. But the big driver of all that spending – real estate agents - spend an eye-popping 64 percent of their total ad budgets on online media. No other individual advertising group spends more.

NOTE: this is not me.

I’ve been in the “local search” business since the earliest days. From selling IYP on BigYellow.com, the Yahoo! Yellow Pages and InfoSpace in the 90′s, to SEM, SEO and more recently Social Media, video and Reputation Management services – and all I can say is “I’ve heard it all”!

Lately however, there seems to be a higher proliferation of questionable sales pitches and practices – and it’s not just coming from the local independent guys or fly-by-night start up’s. Increasingly, these unrealistic promises and aggressive lyrics are being used by larger, more “legitimate” firms in the SMB space. Some discussion on this being a sales “training issue” recently took place over on Screenwerk, but I think there is more to it than that…

The reality is this; the marketplace continues to become more competitive. Local search represents the fastest growing segment of online marketing – and some companies/individuals will say just about anything to get their piece of the pie. Additionally, the continued fragmentation and complexities of the “splinternet” is generating more confusion for business owners. Although most local business now realize they need to be visible wherever and whenever potential customers are searching, I think their judgement can become easily impaired under some of these strong sales and closing tactics.

I’ve personally taken a great amount of pride in setting realistic expectations with clients. As a seasoned sales professional I’ve learned that as much as one wants to exceed quota or win the current sales contest; it’s a consistent honest, realistic and passionate approach that wins the game and builds long-lasting, mutually beneficial relationships. Strong Clients relationships are a journey – not a destination.

So as a public service, here are the latest and most frequently heard unrealistic and questionable sales tactics to look out for…

• Performance guarantees! Any time the word “guarantee” is used within the world of marketing, watch out! This is especially true in the areas of SEM & SEO. There are never any guarantee: not with PPC positioning, not within organic rank, not within local listings and certainly not regarding your advertising ROI. This is one of the most popular tactics being used; “Mr. Business, I guarantee first position in 30 days, for $199/month”! Run for the hills…
• Something for nothing? Online, local businesses really can get something for nothing! Inclusion within Google Place Pages, Yahoo! Local and Bing Maps is FREE, and it’s a good place to start building an online presence. As a matter of fact – most businesses already have some level of inclusion – but “claiming” that listing and optimizing it for better rank is the next natural step. This can usually be done with minimal time and expertise (although true website SEO is a critical ranking component – with this you’ll need some assistance). I’ve personally received calls (as have my clients) from Marketing Representatives that offer Google listings for a flat fee of $49, $99, or even several hundreds of dollars per-month! Now, having the marketing experience and knowledge to optimize a Place Page does have some value, but positioning the service a recurring $99/month charge into perpetuity is where I have a problem…
• Optimization of ___ (fill in the blank). I recently worked with a Client that got swindled into a long-term contract for optimization services, and thanks to that ineffective effort – this business now falls into a growing group of “SEO doubters”. “Optimization” is quickly becoming the most mis-used term in our industry. Everyone it seems wants to “optimize” something, but few of these SEO services I’m hearing within the local-space really address all the critical SEO factors (on-page factors, inbound links, social, listings, ratings/reviews, etc.). High organic rank and visibility is a product of multiple efforts and hard work – don’t’ get fooled by anything less. Ask for references!
• Cheap SEO/or cheaper PPC. Generally speaking, you get what you pay for. In the world of PPC, I’m continually surprised at the number of business owners that fall victim to claims of cheaper pay-per-click advertising. PPC is a commodity, and outside of set-up or monthly service fees the market/competition is what dictates the budget (“supply and demand”). The best PPC agencies don’t sell on price, they propose budgets that would maximize advertising R.O.I. SEO on the other hand is more of a “service” that consists of significant man-hours and expertise. Some components of SEO may be more competitive if fulfilled off-shore, but generally speaking – a full-blown, inclusive and effective SEO project cannot be completed for less than several thousand dollars. Watch out for the one-size fits-all “cookie cutter” strategy!

Feel free to “comment” and let us know what you’ve heard out there as well…

Also, the ultimate goal is to engage clients/customers, and increase business, right? Too many forget about this and never offer that all-important “call to action” – a coupon, discount, or special deal.

Here’s a moving company on Facebook, not a bad example:

Increasingly, I’m finding local businesses active on Twitter as well; at least in the major metros and categories.  Here are a few screenshots of NY, CT and MA bases businesses:

One of the best examples of creative Social Media marketing I’ve seen to date is from Intel (not a typical local business example, but well worth your time). It’s very well done: http://www.intel.com/museumofme/r/index.htm

Several months ago I wrote about those businesses that could take advantage of the increasing holiday searches, now it’s time to look at those upcoming warmer weather opportunities…

Thanks to predictive search tools like Google Insights and historical search data, local businesses can now position themselves “ahead of the curve” to capture the upcoming surge of new potential customers and clients. As it can take up to 30 days to effectively launch a PPC program, and 60-90+ days to benefit from an SEO project, now is the time start!

Businesses that can benefit from increasing search volume (new customers) March – May:

• Landscapers / Lawn Care
• Fence Repair
• Roof / Gutter Contractors (major winter damage this season!)
• Accountants / Tax Prep.
• Bicycle Shops
• Anything related to Weddings (caterers, tent rentals, tux shops, florists, etc)
• Summer Camps (yes, they are booked by June 1!)
• Boat Dealers
• Auto Dealers
• Vacation planning / travel agents
• Home Improvements / Contractors
• Auto Body Repair
• Golf shops / courses

Any others you can come up with?

• SLEIGH BELLS AND CASH REGISTERS RING – Looks like our darkest days are behind us. In November, consumer spending increased, orders for durable goods gained and architecture billings rebounded.
• HELLO 2011 – Calculated Risk asks 10 economic questions for next year. Mashable’s Erica Swallow lists five small-business predictions.
• GOING MOBILE – A new report says that small businesses are going mobile in a big way.
• HO, HO … OH, NO – Now that Christmas is over, we’re warned to keep an eye out for returns fraud.

Read the entire article here.

David Mihm’s illustration representing the “local search” relationships makes a great point: this business of local search marketing is complicated! 

In my experience, the typical local business owner doesn’t have the time or expertise to effectively manage online advertising investments - as illustrated in the recent Search Engine Land article ”Local Search Complexity = SMB Frustration“. 

Not only do you have numerous, complex supplier/directory relationships – but the continued fragmentation which is taking place keeps everyone on their toes! Search Engines,  social networking, blogs, directories and Internet Yellow Pages, mobile, vertical and hyper-local sites, etc., etc., etc.  Additionally, there are website design issues, analytics to keep up with, billing reconciliation, A/B testing, optimization and many other time-consuming elements.  Oh, and by the way – let’s not forget about the day job! It can be challenging, to say the least.

This is the primary reason so many third-party providers have jumped-into the game over the past several years – there is a void to fill; an overwelming demand to hand off this business of Internet marketing to a trusted advisor. Problem is: exactly who can you trust? The local SEO expert? Your website design guy? An out-of-work executive or moonlighting sales rep? The phone company, the local newspaper publisher, your tax software company?  All these characters are now in the game!

A word to the wise: be careful with whom you choose to work with! Here are a few quick tips:

• Stick with a well-known firm. Check their history; how long have they been in the Internet marketing business? Is it one of their core competencies? 
• Was the term “guarantee” used in their pitch? If so, run for the hills!  
• Are they charging you for free services like Google Maps, or worse yet – taking “credit” for those leads/clicks? 
• Is there a monthly recurring management fee? And if so, is it based on a percent of your overall budget? Hmmmm - could be a conflict of interest…
• Are they willing to provide full transparency and reporting?
• Are testimonials, references or case-studies from happy clients available?