Local Content & Monetisation – A View from Europe The local media landscape in Europe is unique in many ways and in particular is different to the US market. However, Google still dominates on the search side (both in terms of advertising and traffic volumes) in many European markets and is particularly strong in the UK. Yet Google is also a great source of traffic and revenue for many local publishers. In this panel we examine what makes local media different in Europe. We will explore how media owners are attracting users and growing traffic. Will look at innovative partnerships and business models. In addition we will discuss what strategies are working for attracting local advertising revenue and look at where growth is coming from 2010 and beyond. Moderator: Ben Barney, Akesios Panel: * Simon Greenman, MD – Online, European Directories * James Thornett, Development Manager Location Services, Mapping, BBC Local * Joachim Helfer, Müller Medien * Roland Bryan, Associated Northcliffe Digital

1. Local Social Summit 2009 Local Content & Monetisation The View from Europe Ben Barney ben@akesios.com #lss09

3. Publishers response is to resell AdWords or build their own competing pay per click platforms*The Sunday Times, Hitwise

4. Social – Big Opportunity *Estimate – based on 0.8% Qype share in UK, and qype.co.uk received 80k uniques per month

7. Tapping into usage Local social activity still focused on major conurbations No critical mass outside of these areas to create a useful service Source: Qype Blog 12/10/09

9. No critical mass outside of these areas to create a useful serviceSource: Yelp Metrics as of June 2009

10. Effectiveness 10% conversion rate from visits originating from Facebook Ads (StoreQuest Self Storage) Over 12 months we generated nearly $40,000 in revenue directly from a $600 advertising investment on Facebook. (CM Photographics) Average campaigns result in CTR of 8 - 12%. Facebook Ads resulted in a 25% CTR. (All Nippon Airways)

11. Akesios Platform The Akesios Platform – Making Implementing New Products Easy for Publishers

12. Summarizing the Opportunity Google loves Social! Factors to improve organic ranking for a local merchant Citations from major data providers eg. Yelp & Twitter etc Ratings & Reviews; Google and 3rd Party Video & Photos Enabling local merchants for social advertising Opportunities for publishers to sell more 3rd party products to tap into sites who are engaging with the local audience in innovative ways Publisher and social network content partnerships Utilise their sales forces to increase content for each merchant.

13. Panelists Roland Bryan, Associated Northcliffe Digital Simon Greenman, European Directories Joachim Helfer, MüllerMedien James Thornett, BBC Local

14. Local Summit2 November 2009 Roland Bryan Managing Director, Localpeople Tel: 020 7 752 8466 Email: roland.bryan@and.co.uk T: www.twitter.com/rolyb77

16. Users as the primary content creators

18. … allowing local people to debate / discuss issues that matter locally

19. Poorly served by news media todayMy county 9% My region 14% Q: How many people do you think of as living in this local community? 34% Less than 5,000 5,000 and 20,000 33% 20,000 and 30,000 10% 7% 30,000 and 50,000 9% 50,000 and 100,000 Over 100,000 7% Q: Is there a single website that you feel provides you with all the local news & information you require? Less than 5,000 5,000 and 20,000 No 20,000 and 30,000 Yes 30,000 and 50,000 50,000 and 100,000 Over 100,000

21. Average spend of £2k per year – giving a market opportunity of £5.2bn

22. Only 7% of spend currently online -- want to be online but do not know where or how

23. Most of these businesses want local advertising opportunities with low wastage

24. Few happy with range of local marketing opportunities available today

27. Door-drop

28. Local sponsorship

29. Brand Awareness

30. Competitive Differentiation

31. Search / Find

34. Google

35. 2.0 Directories

36. Mobile??Tactical High Low

37. s Contact Details Roland Bryan Managing Director, Localpeople Tel: 020 7 752 8466 Email: roland.bryan@and.co.uk T: www.twitter.com/rolyb77

38. Moving into New Business Models Simon Greenman, MD Online European Directories +44 208 987 8137 s.greenman @ europeandirectories . com

39. Introduction Simon Greenman – MD Online, European Directories European Directories: 2008 €800M local search and lead generation company Operations in eight countries – Finland, Sweden, Denmark, Netherlands, Austria, Czech, Slovakia and Poland Have over 700,000 SMB customers serviced by over 2,500 sales representatives Majority owned by Macquarie. 20 Commercial in Confidence

40. Changing Search Behaviour Consumers Internet and mobile usage are growing (location based) Google is main entry to the web Physical products: looking for a company Vs. looking for a product or service Services: looking for a solution Vs. looking for a company Search via verticals and social networks Content needs to be rich, complete, and comparative Strategy: generate local commercial search usage from multiple products and in multiple media to sell leads to our advertising customers: yellow pages, white pages, verticals, IYP, search, SEM, social local… are the products and print, online, mobile, satnav… are the media – not the business.

41. Skype – European Directories Strategic Partnership Announced October 6th partnership with Skype Objective is to help turn online search for businesses into calls to businesses The new offering for Skype users: Skype has 480 million users globally Those users can now call from Skype directly to participating European Directories advertisers Using existing Skype Phone Number Recognition (PNR), Skype can recognise specific advertiser numbers on any web page and turn them into free business click-to-call buttons Users do not need to have “Skype Out” credit to call For advertisers: Get access to a huge Skype user base, without changing their telephone numbers Have an opportunity to differentiate themselves from their competitors to generate greater call volumes. 22 Commercial in Confidence

42. Skype – European Directories Strategic Partnership 23 Commercial in Confidence

44. Number one in Netherlands

45. App 4000 subscribers pay monthly fee

46. Free for consumers

47. 30,000 consumer projects in 2008

48. Revenue growth - over 100% in 2009

49. 25% EBITDA margin already in growth stage

51. Launched in Austria and Netherlands with over 200,000 monthly unique visitors

52. Will rollout out to other operating countries in Q4

54. 27 Local Social Summit – Museum of Contemporary Arts, London, November 3rd Local Content & Monetisation – A View from a directory publisher Joachim Helfer – Business Development Online – Müller Medien

55. 28 Strategic decision of the directory publishers in Germany The local aspect in the growing search business is getting more and more important This market is dominated by performance-based business models Global players such as Google, Yahoo and Microsoft rule the market In the local area they are a threat to media companies, newspaper and directory publishersas well as TV and radio stations Through a pure integration of 3rd party ad feeds we loose the direct customer connection Therefore the directory publishers decided to invest in the future: Own entity Own local search engine Own search technology and index Own PPC-based ad-platform Own network of local websites Own new performance-based products and teams

56. 29 The three pillars of success SALES TECH NETWORKS

57. 30 Local sales people with regular customer contact Integration into traditional sales cycles, infrastructure Backup by special sales force Product Concepts Click packages like flat fee models Budget based campaigns as the next level Online Presence with Profile pages Combined with online directory offerings Tracking & Reporting Training the sales force to Think online, Live online, Work and sell online Customer Retention with online marketing seminars Success Factor Sales

58. 31 Success Factor: Networks Nucleus is high quality local search index + map Combined content and monetization distribution Online directories, local search, classifieds, etc. Sub-networks of local publishers Additional network of profile pages Network reach currently 40 MM searches Customer Base approx. 6,000+

59. 32 Success Factor Technology Controlling of own auction-based ad platforms License of Fast AdMomentum/ Microsoft Development of specific widgets Blending of ad feeds Configuration wizard Geo-coding for mobile navigation Market place for exchange Status as „Beta customer“ Co-Founder of local search group Exchange and support of new developments Official X10partnership for AdMomentum in the D-A-CH region

60. 33 Examples of our social marketing platforms

61. 34 TrustYou.com

62. 35 123people

63. 36 Dealhamster.com

64. 37 Billiger.de

65. 38 Thank you for your attention! mailto: Joachim.helfer@mueller-medien.com Local Social Summit – Museum of Contemporary Arts, London, November 3rd

66. James Thornett Executive Product Manager, Local & Location Services BBC Future Media & Technology

70. Engaging local audiences

71. “Please enter your postcode”

72. Q&A

73. 2010 Predictions Roland Bryan, Associated Northcliffe Digital Simon Greenman, European Directories Joachim Helfer, MüllerMedien James Thornett, BBC Local

74. Thank You