IRVINE, Calif.--(BUSINESS WIRE)--Local Corporation (NASDAQ: LOCM), a leading online local media company, today announced the launch of the first in a series of industry-specific, content driven websites designed to further extend its reach and engagement with local consumers and businesses.
“We already provide small businesses with leads as part of our ‘Launch by Local’ digital media suite for small businesses, so it’s natural for us to expand further into this performance ad segment”
The company, which connects businesses with over a million consumers each day and was recently ranked #8 on Website Magazine’s “Top 50 Digital Advertising Networks,” plans to leverage these new industry-specific sites to further expand its reach into and monetization of local markets.
The first site, www.insurancelow.net, offers a car insurance guide that provides important decision criteria when choosing an insurance carrier, as well as the ability to compare quotes, and a directory for car insurance agents. Auto insurance is a $161 billion industry that, according to J.D. Power and Associates, spent about $5.3 billion on advertising in 2011.
Each site is expected to include educational articles and other content about specific topics, the ability to request and receive a quote from licensed industry professionals by completing a brief form, and a directory that enables consumers to search for and locate service providers in their local area, including contact information and, where available, user ratings and reviews.
Local Corporation expects to focus monetization of its new portfolio of industry-specific sites primarily via lead generation, but will also monetize through a variety of digital ad formats, including pay-per-click, pay-per-call, display and subscription ad units. The company plans to launch additional vertical sites in other key consumer service categories in the future.
“We already provide small businesses with leads as part of our ‘Launch by Local’ digital media suite for small businesses, so it’s natural for us to expand further into this performance ad segment,” said Heath Clarke, Local Corporation, chairman and chief executive officer. “These sites expand our ecosystem and lead generation is expected to help us to optimize overall monetization by harvesting leads from the 30 million consumers we reach each month, who are searching for goods and services locally.”
According to BIA/Kelsey, in 2011 30 percent of all online searches were local searches, and were valued at $5.7 billion. The value of local searches is expected to grow by a CAGR of 12 percent to $10.2 billion and represent 35 percent of all online searches in 2016. Billions of new dollars flow into digital media from traditional and online advertisers in order to reach local consumers online and the company expects these new vertical sites will assist the company in claiming a larger portion of this transitioning media spend.
About Local Corporation
Local Corporation (NASDAQ:LOCM) is a leading online local media company that connects brick-and-mortar businesses with over a million online and mobile consumers each day using a variety of innovative digital marketing products. To advertise, or for more information, visit: http://www.localcorporation.com.
Forward Looking Statements
This press release contains certain forward-looking statements that are based upon current expectations and involve certain risks and uncertainties within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Words or expressions such as "anticipate," "plan," "will," "intend," "believe" or "expect" or variations of such words and similar expressions are intended to identify such forward-looking statements. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties, and other factors, some of which are beyond our control and difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements. Key risks are described in the filings we make with the U.S. Securities and Exchange Commission. The forward-looking statements in this release speak only as of the date they are made. We undertake no obligation to revise or update publicly any forward-looking statement for any reason. Unless otherwise stated, all site traffic and usage statistics are from third-party service providers engaged by the company. Traffic and our monetization of that traffic combine to determine our revenues for any given period. Our traffic volume alone for a period should not be viewed as demonstrative of our financial results for such period.