Infoserve boosted by Google and Yahoo!
INFOSERVE, the online local search business, has increased turnover by 25% and slightly reduced its losses but is still searching for profitability.
The Leeds-based group’s search engines link consumers to local businesses – a growing area as people search for more services via the internet rather than paper-based directories like the Yellow Pages.
It has built a database of around 3.5m businesses across the UK that can be searched by area and category.
Today Infoserve, which is based near Leeds Bradford Airport at Yeadon, said it had increased turnover to £4.65m in the 12 months to March 31 while operating losses narrowed to £2.7m from £3m previously.
Chief executive Steve Barnes, said: “The challenge remains for all involved with local search to move to profitability. I remain convinced that local searching online will continue to grow and become integral to everyday lifestyles.”
Earlier this year Infoserve signed a deal with internet search giant Google, making it only the second company in Europe to be appointed an “Authorised Google AdWords Reseller”.
Under the agreement, Infoserve, founded by a team of ex-Pace Micro Technology executives, will assist its SME (small and medium-sized enterprises) customers in managing advertising accounts on the Google search engine and content network.
Infoserve will guide companies through the whole process of ‘cost per click’ marketing on Google, from advice on the selection and bidding on relevant keywords, through to ensuring consumers arrive at the right place within the advertiser’s website when they click on an ad.
Last year the group became the official Yahoo! Local advertising sales partner for the UK, which gave it exclusive rights to sell up to four featured listings to
SMEs on each page of Yahoo! Local.
Last year paid for search was worth £1.4bn in the UK, accounting for 57.1% of the total amount of money spent on online advertising.
And Google searches reached 1.7bn a month – an average of 23 searchs a month for every single person in the UK.
Chairman James Newman said: “‘The new contract with Yahoo! gave the business a new impetus during the year and the recently signed contract with Google puts
the Group in, what we believe to be, a unique position to exploit the ever growing local search market through its close ties with both companies, who represent over 90% over the world’s search and online advertising market.”
Mr Barnes added: “I look forward to an exciting future as the local search market grows in general, and the group’s market share of available revenues grows also.”
Last year it signed a deal with the Football League to provide a local business finder on the websites of the league’s 78 football clubs.
Other Infoserve customers include The Daily Telegraph and BSkyB.
Pace founder David Hood is a significant shareholder in Infoserve.
