Speaking Sensis

With the end of the year almost upon us, Sensis’ CEO, Bruce Akhurst, provides his first bi-monthly update.

Hi.

I thought it might be good to end the year by starting something… a regular report that I hope will give you a deeper insight into how Sensis is working to improve the value we offer all Australians.

New ways to help you find, buy and sell
Sensis is committed to helping you find, buy and sell. Our services help you find the suppliers you need right when you need them. In doing this, we help thousands of local businesses find their lifeblood – customers.

Our innovation programs reflect this commitment. How can we make our services simpler and more informative for buyers? And how can we build the value and simplicity of our advertiser services?

On this front, we’ve been particularly busy in the last few weeks. We launched the White Pages® app for iPhone recently. I was very happy to see that it reached the #1 free app in Apple’s App Store very quickly. This caps off an exciting quarter for our mobile sites, with usage growing off the scale. We launched White Pages® Mobile four months ago and it’s already delivering over 400,000 visits a month¹. At about the same time, we also launched the Yellow Pages® iPhone app. Since then, Yellow Pages® Mobile usage has more than doubled to over 650,000 visits a month²… in just a few months!  Clearly, Australians are connecting with these new generation mobile services and that’s great for advertisers. Our network strategy means that Yellow Pages® advertisers – print and online – can be searched through mobile and therefore can benefit from mobile usage growth.

We’ve also recently commenced delivery of the 2009 Yellow Pages®. This year’s book includes a more informative front cover and an expanded information section. Both of these enhancements were specific requests from Australians who participated in research we conducted earlier this year.

In Yellow Pages® Online, we’ve recently launched a new advertiser product – Purely Mobile Business, or PMB. PMB is designed for mobile businesses, like mobile mechanics, looking to reach out to customers in the areas they service.

We also recently launched Category Search, which is a new product that lets advertisers combine Voice, Whereis® and Citysearch® advertising into a single, easy to use product. Response has been strong, with hundreds of customers choosing Category Search in just a few weeks.

The Whereis® team has just released 3D City Maps for GPS to sat nav equipment manufacturers. 3D City Maps bring the Sydney and Melbourne CBD areas to life by providing a real-time 3D city-scape. 3D City Maps should be launched in popular GPS units shortly, and more cities will be ‘3D’d’ in the near future.

Finally, MediaSmart – our online and mobile display advertising business – has released new targeting capabilities. Working closely with Telstra, we’ve developed a segmentation capability that ensures mobile display advertising is more relevant and targeted for both mobile users and advertisers… like helping a major bank deliver specific branch manager contact details to customers mobile phones based on their location. This is a genuinely unique capability and I’m pleased to say the support from marketers has been fantastic.

In the field
Right now, our Yellow Pages® regional and local consultants are out talking to advertisers, as are our White Pages® consultants. We’ve been backing them up with new products, comprehensive training and a much stronger focus on engaging with local communities.

This local focus led to the opening of a new office in Penrith on November 10 (with offices in Ballina and Coffs Harbour also opening soon). We were really pleased to open Penrith by announcing a new community partnership with Great Community Transport. At the same time, we’ve been increasing our support for local businesses by regularly sponsoring and speaking at local events – over 80 in the last few months.

1.5 million calls… and counting
If you ever wanted proof of the value of Yellow Pages®, here it is. As you may know, we’ve been running a metered ad program for two years now. This program helps advertisers track the number of calls they receive from Yellow Pages® print.

In January, we began monitoring the phone calls delivered by Yellow Pages® print to a small cross-section of display ad customers (a sample of less than 1% of our total customer base). By early November, the number of calls delivered to these customers by Yellow Pages® print passed the 1.5 million threshold!

Imagine how many valuable phone calls Yellow Pages® is delivering to all our advertisers. Imagine how many more enquiries there are when you add people who are bypassing the phone and visiting the store or office. And imagine how that number could grow even further if you included all the other Sensis and third party online, mobile and voice services that form the Yellow Pages® network.

Interesting movements in the advertising market
Recently, we’ve seen some interesting movements in the media sector. The September quarter IAB report showed 3.3% growth in the online advertising market compared to the September quarter last year³. While this is a marked slowdown on last year, the results were really buoying for Sensis, as they show we are growing our share of the market.

Another interesting observation comes from our Adstream business. Adstream sits at the centre of the ad industry by helping marketers, agencies and media outlets, like TV, radio and newspaper publishers, manage and distribute their ad content. We’ve seen renewed growth in enquiries to Adstream recently. Could this mean the ad industry’s on its way back?

Our people have spoken
The other day, we received the results of our latest employee opinion survey. This is a global survey undertaken by Towers Perrin and it covers some of Australia’s, and the worlds, largest companies. In the latest survey, Sensis exceeded the Australian norm (the average of all Australian companies) in every category. Our results also benchmarked well among the world’s best employers, with results in a number of categories exceeding global norms. This is fantastic news. We work hard to ensure Sensis is a great place to work for our present and future employees. These results tell us we’re on the right track.

Sensis Sustainability Report
Finally, if you’d like to know more about Sensis’ strategy, operations, performance and impacts, I’d recommend you check out the 2008/9 Sensis Sustainability Report, which has just been launched. You can download it today from our newly upgraded corporate site.

Until next time
So that’s it for now. Have a happy, relaxing and safe Christmas and New Year. I’ll be back to you with a further update in February. In the meantime, thanks for all your support. You can rest assured we’ll be pulling out all stops to keep improving our value to you.

1: Omiture Site Catalyst, November 2009;
2: ibid
3: PriceWaterhouseCoopers, Internet Advertising Bureau Online Advertising Expenditure Report, quarter ended September 2009.

A high-tech, high-powered mapping vehicle will be putting areas surrounding Cunnamulla and St George on the map this week…quite literally.

Little-known Queensland towns in this area will be some of the many new inclusions that Whereis® – Australia’s local mapping expert – will soon be adding to its extensive navigation map database of Australian cities, towns, landmarks and roads.

“The Whereis® four-wheel-drive has a large, round Trimble GPS receiver on the roof. It’s been causing a bit of a stir as it passes through towns in Queensland as people try to work out what’s going on,” Adrian Tout of Whereis® said.

“People get quite excited when they find out we’re mapping most of Queensland’s roads and landmarks so that locals, as well as visitors, have access to the most up-to-date map information on Queensland in their GPS device,” he said.

“While Queensland is one of Australia’s most popular tourist destinations you wouldn’t know how to get to a lot of areas unless you had local knowledge. With Whereis maps in your GPS device, it’s like taking someone who knows the lay-of-the-land with you – with useful details such as the condition of the road.”

“Our team on the road is making a big effort to mark points of interest for travelers – boat ramps, highway rest areas, spectacular look-outs, motels and van parks, public river access points are all detailed for travelers keen to go off the beaten track.”

The Whereis® car has logged more than 245,000 kilometres of mainland Australian roads to date this year, and is on-schedule to log a further 6,500 kilometres in Queensland during the next few months. The Whereis team will then convert the data into digital maps to be used in GPS units, the online mapping site whereis.com, various navigation apps for the iPhone and the Whereis® Navigator application, which is accessible on selected Telstra mobile phones.

Andrew Wood, part of the Whereis mapping team has been assigned to this important mission. He has mapped thousands of kilometers of road for Whereis and has teamed up with a skilled driver to map Queensland. “This is the best job in the world – I get paid to drive around one of Australia’s most beautiful states,” he said.

“Some of the maps people are using to navigate Queensland today are extremely old and many have simply been digitised from older printed maps – and large parts of back roads on maps are also inaccurate. We also taking into account the many changes that have been made over the years with the development of intersection upgrades on main roads and new estates,” Andrew said.

The two-man Whereis team has already mapped more than 30,000km in south-eastern Queensland including Wallangarra, Gatton, Esk, Kingaroy, Chinchilla and Gooniwindi.

Andrew counts seeing two kangaroos going head to head in the middle of the road as one of the most unusual things he’s seen during his travels to date and is looking forward to visiting the Gulf and Cape York to try his hand at Barramundi fishing.

The Whereis car began its Queensland adventure in Stanthorpe, mapping an old road that had been re-opened. Over the next few weeks, the car will be focusing on the areas surrounding Cunnamulla and St George with travelers and locals in mind.

Charles Wright recently wrote in The Age how the benefits of search engine optimisation (SEO) and search engine marketing (SEM) for one small business provided a far better return on investment (ROI) than advertising in the Yellow Pages®.

It’s easy to find one example of a business that’s been successful with any sort of advertising. The challenge is to find lots of them. Yellow Pages® has hundreds of examples of advertisers who get a majority of their business through Yellow Pages®. We even put some in our TV ad earlier this year.

Charles’ article was based on a simple assessment of ROI: cost of SEM outlay and the return in website traffic compared to the cost of advertising with Yellow Pages® Online and the subsequent website.

Where his case fell down is that it left out a number of costs a small business faces when gearing up for effective SEM and SEO activity.

These include the costs of building, hosting and maintaining a decent website, and possibly the cost of an SEO/SEM consultancy (or a significant time cost if you are able to do it yourself).

Sure there are online businesses that can manage all this and find customers. But there are a lot of businesses that can’t. Which is where the Yellow Pages® network can deliver real value.

Through its network, Yellow Pages® provides an effective multi-channel solution. With one Yellow Pages® ad, a business goes in the Yellow Pages® Book, Yellow Pages® Mobile, and the 1234 and Call Connect phone services.

In addition, Yellow Pages® also gives businesses a significant online presence by putting them in yellowpages.com.au, whereis.com and by making Yellow Pages® listings available to be searched on Google Maps and Bing Maps.

In fact, if you add up all these print, online, voice and mobile services, you find that Yellow Pages® advertiser content can be searched for through services used by almost 65% of Australians every month.

And that doesn’t include search engines. Recognising their significant value, we’ve made Yellow Pages® content not only searchable through the major search sites but we’ve optimised the content for search engines as well. That’s why over 2.5 million referrals come from search engines to Yellow Pages® Online every month.

People searching Yellow Pages® are buyers, not browsers. And they are often serious buyers who are ready to make a major purchase such as buying tyres for their car, booking an appointment with a dentist, booking a function at a restaurant or hiring a tradesman for work on their house.

The Yellow Pages® network helps puts businesses in more places customers are looking – including major online sites – with ease and convenience, leaving them to get on with running their business.

Sometimes the numbers just talk for themselves. Take Yellow Pages® Mobile usage data…

As you all become devoted (hopefully) readers of the Crunch! column, you’ll begin to notice that my articles all take on roughly the same formula.

Obviously, there’ll be stats… a no-brainer considering this column is meant to be about stats.

But those stats will be surrounded by witty (hopefully) witticisms and insightful (hopefully) insights as well.

There’s a simple reason for that. To the vast majority of the world (i.e. the majority of people who aren’t bone fide pen-holder-carrying geeks), staring at a bunch of numbers is like watching grass grow.

But, every now and then, you come across a set of stats that just talk for themselves – no frilly additions necessary.

Here’s an example.

1.    In October, the Yellow Pages® Mobile audience hit half a million unique visitors for the first time¹.

2.    All up, it’s taken Yellow Pages® Mobile a touch over 18 months to reach half a million unique visitors¹. By comparison, it took Yellow Pages® Online more than five years to reach that mark².

Still think mobile marketing’s sitting on the runway?

Think again.

1.  Omniture. July to October 2009
2.  RedSheriff 2004/2005 data

Crunch! is a new column looking at the numbers behind advertising and local search. In today’s Crunch!… Defining what a click is. That’s easy. Defining what a click isn’t. That’s harder… but much more important.

In the 12 years I’ve been working in online media, there’s one thing that’s always befuddled me.

It’s the fact that online marketers cite measurement as the biggest barrier to advertising on what is touted as the world’s most measurable medium.

Go figure!

To highlight this, a 2007 McKinsey Quarterly report* found that over 50% of Internet advertisers saw “insufficient metrics to measure impact” as a barrier to using or considering digital advertising.

And there’ve been similar surveys, with similar results, in Australia.

So, what’s going on here? How the hell can measuring such a measurable medium raise so much angst?

I’ve long thought there’s two reasons.

The first is confusion about how we’re measuring – in other words the different public measurement services and their methodologies. For quite a while now, there’s been concern in Australia about the accuracy of online statistics. Naturally, when there’s a lack of faith in the source, there’s going to be a lack of faith in the data as well.

The second is a lack of clarity around what we’re measuring. Just think about the simple issue of online traffic as an example. Over the years, we’ve been stumped by a blinding array of different metrics – hits, page views, sessions, visits, unique users and unique visitors just to start with.

These metrics all mean slightly different things but, despite that, they’re often quoted interchangeably: a recipe for much pulling-of-hair and gnashing-of-teeth if I ever saw one.

This metric malaise is a really big problem, and I wanted to touch on it today with a focus on one particular metric – the humble click.

WHAT’S A CLICK?

The other day, an interesting question was raised at a customer panel session I attended.

On the surface, the question – “what (in advertising terms) is a click?” – would seem pretty straightforward.

Put simply, it’s when a person clicks from a feeder – like a search engine or banner ad – to a particular advertiser’s web site. It’s the action that gives rise to pricing terms like ‘cost per click’ and ‘pay per click’.

Okay, no biggie there.

CLICKS AIN’T LEADS

But the question becomes a lot murkier when you think about what a click isn’t. In particular, whether a click and a lead are the same thing.

Now, this might seem like nit-picking, but it’s a really important question – especially for the numerically-obsessed, like me. It gets to the heart of how you understand, measure and evaluate the contribution of different media to your business.

To start with, let’s think about this in a traditional media context.

Let’s say you send out a DM piece to 1,000 potential customers. As a result, 100 people take a moment to read it and 10 are so enamoured with what you’ve said that they give you a call.

What have you got there? 1,000 leads? 100 leads? 10 leads?

If you’re a media outlet trying to justify your existence, you might say 100. You might even say 1,000 if you’re feeling particularly hairy-chested (and/or deluded).

But if you’re a manager trying to get a handle on your sales pipeline, the answer is unequivocal… 10.

A lead isn’t a passing ship; it’s a real potential customer who has called, emailed, visited or contacted you in some way expressing a real interest.

A lead is a real sales opportunity that – most critically – you have a real chance to close.

Don’t get me wrong. The fact that 100 people read your DM piece (or clicked through to your web site) is great. They now know you and have you in the back of their minds. They’ve interacted with your brand.

But those people don’t qualify as ‘leads’ until they take that next step and get in touch with you.

BRINGING CONVERSION INTO THE MIX

Clearly, you can’t properly equate clicks to leads (which take the form of calls, visits, emails and other forms of enquiry) in the way some try to do these days.

To properly measure the leads generated by online advertising, you need to bring another ratio into play – conversion.

Conversion measures how many people actually took that next step of contacting you.

Most research suggests that online conversion rates are quite low – in the low single digits. That means the actual leads stemming from your online advertising may only be a relatively small fraction of the number of clicks.

THE BOTTOM LINE

So, what’s the bottom line here?

Firstly, comparing clicks with leads ain’t comparing apples with apples. If you want to compare clicks generated by one form of advertising with calls or visits generated by another, you need to think about the conversion as well. How many people actually visited your site and then contacted you?

Secondly, think about how well your web site converts browsers to buyers. Optimising online lead-generation campaigns means not just getting lots of people to your site, but having a site that efficiently converts them to leads as well.

And finally, if someone comes to you offering a mountain of ‘leads’, ask them precisely what they mean by the word ‘leads’.

How many of them will be real leads – enquiries from potential customers that you have a chance to close?

You might just find they’re leading you up the garden path.

* How companies are marketing online: A McKinsey Global Survey. September 2007

In a bid to connect more advertisers with consumers who are looking for products and services online, Sensis announced a helpful new service last week. The launch of ‘category search’ on www.whereis.com and www.citysearch.com.au means Sensis advertisers can now access priority advertising across these two online sites.

So what does this actually mean for you or I? Well it means when the millions of people who use the Whereis.com or Citysearch.com.au sites each month and they search for a business either on a map or while they’re browsing entertainment information at Citysearch, a list of ‘priority advertisers’ relevant to what they are looking for will appear at the top of the search results. Top advertisers in whereis.com will also open up automatically on the map to create a seamless one-click experience for those looking for a business. Advertisers on citysearch.com.au receive richer profile pages and reviews from the public about their product or service.

If you want to check out an example of this on www.whereis.com search for ‘florist’ in ‘Camberwell’.

To view an example of this on www.citysearch.com.au type ‘restaurant’ in the search box on the home page.

Ok, Citysearch® – Australia’s leading entertainment and lifestyle website- wants your opinion! Be it your favourite place for a Sunday Session or the most romantic restaurant in town, Citysearch® is on a mission to uncover and award Australia’s favourite city hot spots via a campaign called the Citysearch® Best in the City Awards. Check it out at Citysearch.com.au/awards.

The Best in the City Awards has Citysearch® turning the tables on city urbanites and asking them what they think are the best places in town. Unlike countless industry awards that have been done to death, these awards are ‘the people’s choice’ awards – local categories, local picks, voted by local people – people who know and love their city.

So it could be the incredible view from the roof-top bar, the barista who is a master of latte art, the talented street performer in your local strip or the waiter who knows exactly how you like your steak. Citysearch® believes successful city entertainment is built on an ability to offer a unique experience and make it a memorable moment in time. So now it’s time to give Australia’s savvy public a voice and a chance to tell us what they love most about their city.

Until 12 September 2009 nominations are open. Monday 21 September 2009 will see the finalists announced and the public will be invited to vote.

Voting closes 23 October and the inaugural Citysearch® Best in the City Award winners will be announced 2 November 2009.

The awards are running in Brisbane, Sydney and Melbourne. The ten award categories represent the best entertainment options in town, from ‘Best Friday night drinks’ to ‘Best vegie fare’ with the winner in each category taking home the prestigious Eye-Con trophy and the kudos that comes with being voted number one.

So tell us what’s hot in your city and nominate your favourite entertainment options for the title of Citysearch® Best in the City, visit www.Citysearch.com.au/awards.

AWARD CATEGORIES

• Best vegie fare
• Best service to make you smile
• Best Sunday session
• Best place for a first date
• Best Bathroom
• Best Friday night drinks
• Best Place to Watch the Game
• Best Cheap and Cheerful
• Best Street Performance
• Best in the kid-friendly stakes

Whereis® is now offering Australians three new ways to find their way around town – Whereis® fuel savings, Whereis® Navigator turn by turn instructions from the 1234 voice service and Whereis® Traffic.

Whereis® fuel savings
When it goes live on 17 August, Whereis® Fuel will take the guesswork out of finding cheap fuel.

The simple, new mobile application uses GPS data to help find the cheapest fuel nearby from Australia’s best source of fuel price information, MotorMouth.com.au. The fuel service adds to the existing suite of rich content already available through Whereis® Navigator which includes weather forecasts, traffic incident alerts and business searches via Yellow Pages®.

Mario Davoli, General Manager, Telstra Mobile Applications, said the Whereis® Navigator functionality means users can then opt to receive turn-by-turn, spoken directions from any location to help find the nearest and cheapest fuel supplier listed.

Sign up for a free, 7-day trial of Whereis® Navigator on compatible handsets* to take advantage of the full suite of GPS functions.

Easy as 1234
Dial 1234 on a Whereis® Navigator enabled handset and you can now receive turn-by turn spoken directions to Yellow™ and White Pages® listings anywhere across Australia.

Whereis® Navigator customers can now enjoy all the benefits of an in-car GPS via the new integrated mobile service.

Whereis® Navigator, Commercial Manager, Fred Curtis regards 1234 integration as a significant step towards seamless mobile navigation technology.

“The fact that it now only takes a quick phone call and single click on an SMS link for a Whereis® Navigator customer to be guided via spoken directions to one of thousands of locations across the country is a really exciting development,” he said

An added ‘send to a friend’ function allows for simple sharing of direction data via SMS.

Whereis® Traffic
Avoiding serious traffic jams and finding your way around major traffic incidents just got easier, with launch of Whereis® Navigator Traffic in Adelaide, Canberra and Perth.

The new feature launched initially in March in Melbourne, Sydney and Brisbane helps drivers choose the best route to their destination by re-directing them around high-impact traffic incidents.

Whereis® Navigator is available on a range of mobile handsets including a selection of Blackberry, iMate, Palm Treo, Samsung, HTC, Nokia and Sony Ericsson devices. For further information, customers can visit their local Telstra shop or dealer, www.telstra.com/navigator or call 13 22 00.

Sensis’ Michelle Sherwood talks to small and medium sized businesses about how to get the most bang for their advertising buck.

Sensis’ General Manager of Marketing, Michelle Sherwood presented to a room of more than 900 small and medium sized businesses at the Small Business BIG Marketing event on Thursday 27 August.

Held at Central Pier in the Docklands, the event was a part of Small Business Victoria’s month long small business festival Energise Enterprise 09, of which Yellow Pages® is a platinum sponsor.

Michelle’s presentation, ‘Making your advertising work for you’ gave the businesses in the room practical insights and advice about effectively marketing and advertising.

Michelle Sherwood on the dais

“With consumer confidence on the increase, it’s more important than ever for your business to be seen by customers when they’re looking to buy.

“Our job at Yellow Pages® is to bring buyers and sellers together, whether that be through print, online or mobile directories, search and mapping websites or telephone information services,” she said.

The Yellow Pages® and White Pages® face to face sales representatives were also out in force, with small business owners flocking to the stands to find out how Yellow Pages and White Pages can help to grow their business.

Luke and Deepak at the Yellow Pages® stand

Visit www.yellowadvertising.com.au or www.whywhitepages.com.au for more information.

This year Sensis is sponsoring a series of lunches for members of the Sydney Chamber of Commerce. After two of these lunches, it’s really pleasing to get feedback from this diverse audience that we’ve shared a few things about consumers, small businesses and advertising that they didn’t already know…and actually wanted to know!

I mean, let’s face it, how many times have you turned up to a seminar or lunch only to walk away thinking, I’ve just been robbed of two precious hours in my life and I should demand a refund! I’m not saying Sensis hasn’t been guilty of this in the past… we’ve had our moments like any large business given the opportunity to put someone on the soapbox. But we’re starting to use opportunities like this to – and don’t gag here – help people.  So we asked the Chamber what their members wanted to know to about digital marketing.

And as the chicken and beef mains made their way around the room, our head of Yellow Pages® Digital, Sandeep Baruah, explained that the future of digital marketing in business will see a range of new applications at the disposal of the marketer. The question is what opportunities do they really present to increase brand equity and a company’s bottom line?

For some business, just knowing where to start is daunting in itself.

Sandeep unlocked some of the mystery around digital marketing tools such as:

• Social networking sites
• Search engine marketing
• Search engine optimisation
• Content syndication
• Mobile internet and
• Mobile codes

And he gave the audience a realistic check-list to help them make decisions about their digital marketing strategies:

• Who are my customers and where are they looking?
• What media are they accessing that influences their buying decisions?
• Which of these channels can I use to engage my customers?
• How can I use new technology to integrate campaigns and content across different media?
• Finally, what return am I actually going to see from this investment and how will I measure it?

Answering these questions will help any business go a long way to ensuring that they’re not simply swallowing the hype around new ways of reaching consumers, or putting all of their eggs in one basket.