What advantages do local search engines offer over standard web search engines?

One cannot compare these with each other, as local and global search engines follow two different approaches. In “the Business” the term Local Search is taken to mean the search function for a website. I assume that you mean the search engines which focus on specific regions. Advertising becomes interesting for local undertakings, especially when their target public is found in the same catchment area as the companies themselves are located. A web search engine combs through the Internet. As there Web consists of more than ten billion websites, companies can have an enormous reach. However, this also means that the competition with other providers is greater as well.

In what way does SEM (Search Engine Marketing) become rewarding for local small and medium-sized companies?

SEM is one of the most successful instruments in the online-marketing toolkit, achieving the higest ROI (return on investment) and presents the most limited risk. Through this, medium-sized concerns are able to wield marketing “weapons” on an equivalent basis compared to the big guns. Contrary to classic TV or print advertising, online advertisements are affordable for small and medium concerns and require no minimum turnover volume. Using the reporting functions of Google or Yahoo!, you can see at a glance how successful your campaigns are/were and how much they cost. The great advantage here is that in comparison to traditional methods, campaigns can be rapidly implemented . A further important aspect is that the advertisers can choose the regions where the ad-spots are to appear.

Web 2.0 continues to be an important trend, also in the local landscape. Are social-web local services and networks also of interest to small and medium business, as regards online marketing?

Advertising on social networks is a hot topic at the moment and relevant for undertakings of all sizes. Such communities consist of members sharing special interests, and thus are more receptive to the advertising message of the undertakings. Loss through spreading too thin is thus reduced there, as one can assume a certain predilection, and that the community will speak openly about their needs and interests.

Which trends do you anticipate that the coming year will bring to local search engine marketing, such as the mobile sector? What importance will online advertising gain over the next five years?

Mobile-search combined with localized search is one of the hot trends that will occupy the online marketing branch in the coming years. Local search per mobile phone will come to the forefront when the search requires quick results, such as “where am I and where is the nearest café?” For search results that need/allow more time and research, one expects rather the use of home PC or laptop. Geo-tagging is not yet far enough advanced for accurate and personalized target group implementation. Further development is required so as to limit the diffusion loss, and to specifically target the user. This will lead to the Internet becoming a direct marketing instrument. In the future, the user will only receive advertisements that fit their personal pereferences, search habits and actual geolocation. Thus “below the line marketing” will be able to use their trump card, over that of classic marketing.