Why Local Businesses Will Need Websites More than Ever in 2019
News provided by: Moz
64% of 1,411 surveyed local business marketers agree that Google is becoming the new “homepage” for local businesses.
…but please don’t come away with the wrong storyline from this statistic.
As local brands and their marketers watch Google play Trojan horse, shifting from top benefactor to top competitor by replacing former “free” publicity with paid packs, Local Service Ads, zero-click SERPs, and related structures, it’s no surprise to see forum members asking, “Do I even need a website anymore?”
Our answer to this question is, “Yes, you’ve never needed a website more than you will in 2019.” In this post, we’ll examine:
- Why it looks like local businesses don’t need websites
- Statistical proofs of why local businesses need websites now more than ever
- The current status of local business websites and most-needed improvements
How Google stopped bearing so many gifts
Within recent memory, a Google query with local intent brought up a big pack of ten nearby businesses, with each entry taking the user directly to these brands’ websites for all of their next steps. A modest amount of marketing effort was rewarded with a shower of Google gifts in the form of rankings, traffic, and conversions.
Then these generous SERPs shrank to seven spots, and then three, with the mobile sea change thrown into the bargain and consisting of layers and layers of Google-owned interfaces instead of direct-to-website links. In 2018, when we rustle through the wrapping paper, the presents we find from Google look cheaper, smaller, and less magnificent.
Consider these five key developments:
1) Zero-click mobile SERPs
This slide from a recent presentation by Rand Fishkin encapsulates his findings regarding the growth of no-click SERPs between 2016–2018. Mobile users have experienced a 20% increase in delivery of search engine results that don’t require them to go any deeper than Google’s own interface.
2) The encroachment of paid ads into local packs
When Dr. Peter J. Myers surveyed 11,000 SERPs in 2018, he found that 35% of competitive local packs feature ads.
3) Google becoming a lead gen agency
At last count, Google’s Local Service Ads program via which they interposition themselves as the paid lead gen agent between businesses and consumers has taken over 23 business categories in 77 US cities.
4) Even your branded SERPs don’t belong to you
When a user specifically searches for your brand and your Google Knowledge Panel pops up, you can likely cope with the long-standing “People Also Search For” set of competitors at the bottom of it. But that’s not the same as Google allowing Groupon to advertise at the top of your KP, or putting lead gen from Doordash and GrubHub front and center to nickel and dime you on your own customers’ orders.
5) Google is being called the new “homepage” for local businesses
As highlighted at the beginning of this post, 64% of marketers agree that Google is becoming the new “homepage” for local businesses. This concept, coined by Mike Blumenthal, signifies that a user looking at a Google Knowledge Panel can get basic business info, make a phone call, get directions, book something, ask a question, take a virtual tour, read microblog posts, see hours of operation, thumb through photos, see busy times, read and leave reviews. Without ever having to click through to a brand’s domain, the user may be fully satisfied.
“Nothing is enough for the man to whom enough is too little.” – Epicurus
There are many more examples we could gather, but they can all be summed up in one way: None of Google’s most recent local initiatives are about driving customers to brands’ own websites. Local SERPs have shrunk and have been re-engineered to keep users within Google’s platforms to generate maximum revenue for Google and their partners.
You may be as philosophical as Epicurus about this and say that Google has every right to be as profitable as they can with their own product, even if they don’t really need to siphon more revenue off local businesses. But if Google’s recent trajectory causes your brand or agency to conclude that websites have become obsolete in this heavily controlled environment, please keep reading.
Your website is your bedrock
What this means is that businesses which rank highly organically are very likely to have high associated local pack rankings. In the following screenshot, if you take away the directory-type platforms, you will see how the brand websites ranking on page 1 for “deli athens ga” are also the two businesses that have made it into Google’s local pack:
How often do the top 3 Google local pack results also have a 1st page organic rankings?
In a small study, we looked at 15 head keywords across 7 US cities and towns. This yielded 315 possible entries in Google’s local pack. Of that 315, 235 of the businesses ranking in the local packs also had page 1 organic rankings. That’s a 75% correlation between organic website rankings and local pack presence.
*It’s worth noting that where local and organic results did not correlate, it was sometimes due the presence of spam GMB listings, or to mystery SERPs that did not make sense at first glance — perhaps as a result of Google testing, in some cases.
Additionally, many local businesses are not making it to the first page of Google anymore in some categories because the organic SERPs are inundated with best-of lists and directories. Often, local business websites were pushed down to the second page of the organic results. In other words, if spam, “best-ofs,” and mysteries were removed, the local-organic correlation would likely be much higher than 75%.
Further, one recent study found that even when Google’s Local Service Ads are present, 43.9% of clicks went to the organic SERPs. Obviously, if you can make it to the top of the organic SERPs, this puts you in very good CTR shape from a purely organic standpoint.
Your takeaway from this
The local businesses you market may not be able to stave off the onslaught of Google’s zero-click SERPs, paid SERPs, and lead gen features, but where “free” local 3-packs still exist, your very best bet for being included in them is to have the strongest possible website. Moreover, organic SERPs remain a substantial source of clicks.
Far from it being the case that websites have become obsolete, they are the firmest bedrock for maintaining free local SERP visibility amidst an increasing scarcity of opportunities.
This calls for an industry-wide doubling down on organic metrics that matter most.
Bridging the local-organic gap
“We are what we repeatedly do. Excellence, then, is not an act, but a habit.” – Aristotle
A 2017 CNBC survey found that 45% of small businesses have no website, and, while most large enterprises have websites, many local businesses qualify as “small.”
Moreover, a recent audit of 9,392 Google My Business listings found that 27% have no website link.
When asked which one task 1,411 marketers want clients to devote more resources to, it’s no coincidence that 66% listed a website-oriented asset. This includes local content development, on-site optimization, local link building, technical analysis of rankings/traffic/conversions, and website design as shown in the following Moz survey graphic:
In an environment in which websites are table stakes for competitive local pack rankings, virtually all local businesses not only need one, but they need it to be as strong as possible so that it achieves maximum organic rankings.
What makes a website strong?
The Moz Beginner’s Guide to SEO offers incredibly detailed guidelines for creating the best possible website. While we recommend that everyone marketing a local business read through this in-depth guide, we can sum up its contents here by stating that strong websites combine:
- Technical basics
- Excellent usability
- On-site optimization
- Relevant content publication