WHY YOU SHOULD BUY CALLS ON A

PERFORMANCE BASIS IN MOBILE

John Busby, VP Marchex Institute

June 26th, 2012

www.marchex.com2

Don’t Forget it’s a Phone

49% of businesses view calls as the #1 desired outcome of mobile campaigns**

65% of local searches result in CALLS to a business*

* Google, 2011** Forrester, 2011

Consumers conduct a mobile or voice search for a local business

Search results appear alongside a click-to-call button

Consumers click the icon and instantly make a live

connection with a business

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BIA/Kesley forecasts 70 billion phone calls from mobile in 2016

2010 2011 212e 2013e 20143 2014e 205e 206e0

10000

20000

30000

40000

50000

60000

70000 Calls generated from paid search

Calls generated from organic search

Calls from mobile search

Internet Call Volumes by Channel (millions)

Source: BIA/Kelsey (2012)

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You Should Be A Call Advertiser If:

You take appointments or reservations

You address urgent needs

You have a physical location

You sell something expensive

You sell a complex product

Your product has multiple choices

On the desktop, your prospective customers fill out forms

Your customers want to know your hours or if products are in stock.

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The Call Tracking Number is Your Tracking Pixel

1-800-GRT-DATA

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A Customer Phone Call is a Major Data Marketing Opportunity

* Google** Forrester

Time of day

Caller ID

Area code

Frequency

IVR success

Call duration

Ad proximity

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Not All Calls Are Created Equal

SOURCE: Calls generated from Google Click-to-Call campaigns across multiple campaigns.

Data Corruption: All these show up as performing calls without deeper inspection.

Deeper Targeting: A small percentage of these will actually convert. How do advertisers reach the right ones?

Negative ROI: Spam and misdials generate costs, call center costs.

High quality calls that are answered and have the potential to convert.

CALLS

22%Potential new

customer

53%Existing

customers

25%Spam & misdials

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Not Every Call is Created Equal…Far From It!

Media Budget Calls Received Cost Per Call

Mobile Search $276,498 24,179 $11.45

Mobile Affiliates $40,410 2,640 $15.30

Many click-to-call campaigns treat all calls as having equal value or potential to convert.

* Marchex advertiser, May 2012

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Not Every Call is Created Equal…Far From It!

Tracking and measuring calls individually allows a truer measure of cost per QUALIFIED call and provides opportunity for improving ad spends.

Media BudgetCalls

ReceivedRepeat Calls

Service Calls

SPAM/ accidental

Calls

Short Calls

Quality Calls

CostQUALIFIED Call

Mobile Search

$276,498 24,179 1,046 5,948 2,151 7,333 7,693 = $36/qualified call

Mobile Affiliates

$40,410 2,640 113 218 187 829 1,347 = $30/qualified call

Bad calls / low conversion

Many of the keywords or publishers that drive the best CPC will have some of the worst CPQC, and cause you to move your budget in exactly the wrong way.

* Marchex advertiser, May 2012

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Marchex Digital Call Marketplace

Phone Calls Ending In A Purchase or

Appointment

Conversion

Clients pay one price for quality calls

connected across media

PerformancePricing

Total Connected Calls monthly

Reach - Calls Connected

Mobile Calls from our Voice Search network

Mobile Callers

Lower quality calls that are blocked or not

billed to advertisers

LeadingTechnology

100MILLION

70%

of voice search calls mobile

50%

of all calls

25% PFCPay For Call

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Marchex Institute

The Marchex Institute is an analytics and research groupthat delivers custom analysis and reports to our key accounts.

Provides deep understanding into digital call advertising campaigns, customer insights and recommendations for campaign optimization.

The Marchex Institute has analyzed tens of thousands and mined hundreds of thousands of phone calls.

*Call Mining is a proprietary tool that transcribes call recordings and identifies key words and phrases that indicate purchases, complaints, features and other call metrics.

Increase Mobile Search Intelligence

Call analytics and mining* efforts to understand which calls generated from advertising best convert to sales

Improve targeting of campaigns, competitive insight and Sales performance

Custom reports include:– Demographic breakdown– Top competitors mentioned– Top features mentioned– Top objections– Recommendations of optimizing the call experience

Study for financial services provider helped reduce the cost per new customer acquisition by 50%

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Call Scoring and Call Mining

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Call Experience is Critically Important to Conversion

* Data is hold time (seconds) as measured by “time to first word” by caller** Category data is based on average of hold times in 2011 for select Marchex advertisers.

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Understand the Call Experience

Company AIVR

Company BIVR

0:24 6:00

0:52 4:30

2 Steps

8 Steps

60% Conversion

50%Conversion

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Getting Started with Mobile Call Advertising

Pay Per Qualified Calls with Marchex

Only pay for calls you want – not for short calls, spam calls, repeat calls or customer service calls.

Access to all mobile advertising channels – search, SMS, directories, apps.

Clean Call technology to block unwanted SPAM calls before they hit your business

Full-service reporting and account management.

Full-service call tracking and analytics.

www.marchex.com

THANK YOU

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John Busbyjohnb@marchex.com@JohnMBusby