According to BIA/Kelsey, advertising dollars spent at the local level in 2015 by these larger businesses represent $90 billion or roughly 60% of the local advertising market. Today, we have reached a level of scale where national and multi-location businesses represent a big opportunity for Yelp. Revenue in that market continues to grow, up more than 30% year-over-year in the first quarter of 2016.Īs we've grown communities, content and consumer awareness on a city-by-city basis, we have also successfully built a national presence. In the Los Angeles metro area, where we've been selling for nine years, about 4% of businesses advertise with us. So we believe we still have plenty of room to grow. Revenue in that market grew to approximately $6 million in 2015, yet only about 2% of local businesses in the Philadelphia metro area advertise with us. To illustrate that point, consider our progress within the Philadelphia metro area, where we began selling in 2010. Our local advertising business is our top priority, given the significant opportunity to drive higher penetration in our existing markets. This year, we're prioritizing building our core local advertising business, growing transactions, and increasing consumer awareness, and we continue to see tremendous long-term growth potential in these three areas. We had a great start to the year with local revenue growth accelerating to 40% year-over-year, driven by the continued strength of our recurring revenue base, as well as better than expected ad budget fulfillment and strong sales team results. In our press release issued this afternoon and our filings with the SEC, each of which is posted on our website, you'll find additional disclosures regarding these non-GAAP financial measures and a reconciliation of historical net income to adjusted EBITDA and non-GAAP net income and GAAP EPS to the non-GAAP EPS.Īnd with that, I will turn the call over to Jeremy. Please refer to our SEC filings, as well as our financial results press release for a more detailed description of the risk factors that may affect our results.ĭuring our call today, we will discuss adjusted EBITDA, non-GAAP net income and non-GAAP EPS, which are non-GAAP financial measures. In addition, we are subject to a number of risks that may significantly impact our business and financial results. Please note that these forward-looking statements reflect our opinions only as of the date of this call and we undertake no obligation to revise or publicly release the results of any revision to these forward-looking statements in light of new information or future events. We'll make certain statements today that are forward-looking and involve a number of risks and uncertainties that could cause actual results to differ materially. Joining me on the call today are CEO, Jeremy Stoppelman and CFO, Rob Krolik and COO, Geoff Donaker, will join us for Q&A.īefore we begin, I'll read our Safe Harbor statement. Good afternoon, everyone, and thank you for joining us on Yelp's first quarter 2016 earnings conference call. I'll now turn the call over to Wendy Lim. Please note that this conference is being recorded. Later, we will conduct a question-and-answer session. At this time, all participants are in a listen-only mode.
My name is Stephanie, and I'll be your operator for today's call. Welcome to the First Quarter 2016 Yelp Earnings Conference Call. Jason Helfstein - Oppenheimer & Co., Inc. John Egbert - Stifel, Nicolaus & Co., Inc.
Youssef Squali - Cantor Fitzgerald Securities Thornton - SunTrust Robinson Humphrey, Inc. Lloyd Walmsley - Deutsche Bank Securities, Inc.
Jeremy Stoppelman - Co-founder and Chief Executive Officer ( NYSE: YELP) Q1 2016 Earnings Call 4:30 PM ET
0 kommentar(er)
