Almost half of national advertisers are currently turning to local online advertising, and more than 40 percent are pouring at least a quarter of their online marketing into local targeting, according to a new study by Sterling Market Intelligence, commissioned by Marchex.
The study found that the utilization of local online advertising is hindered by confusion about the best tactics and traffic sources to use, and how to effectively measure the results and return on investment.
"The data shows that national advertisers clearly understand the Internet drives in-store sales and they've begun to integrate local into their marketing mix," said Greg Sterling, Principal of Sterling Market Intelligence.
"However, they're all over the map in terms of traffic sources and success metrics; there's a general absence of consistent tactics and understanding of best practices for local."
Close to half of the survey respondents said at least 25 percent of their in-store sales were driven by online marketing and over half reported using different messaging strategies for different geographic or local markets.
National advertisers are clearly trying to leverage local online advertising to increase local leads and drive sales, but this study shows they're having a tough time figuring out what's working," said Ed O'Keefe, VP of Performance Marketplaces at Marchex.
"The good news is that there are techniques and products available, such as business profile pages and call-tracking, to help advertisers drive local leads online and track effectiveness of their local online advertising efforts."
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