Survey Finds Small Businesses Turning to Internet Media

Small businesses still rely mainly on Yellow Pages advertising to generate inbound telephone inquiries, but spending on Internet advertising media is expected to increase significantly, according to survey findings.

Among businesses with 25 or fewer employees, 23% already advertise online and two-thirds have a Web site. About 53% of 1,000 small businesses surveyed by Western Wats on behalf of AT&T said they anticipate buying online video advertising within a few years.

Key findings revealed that 20% of small businesses expect to spend more money on Internet Yellow Pages advertising. Thirty-eight percent anticipate spending more on Internet banner ads.

For search engine marketing lead generation, 43% of the companies surveyed said they spent more this year for Internet keywords to generate online search traffic. Another 34% said they expect to increase spending on keyword search advertising next year.

The survey found that 63% of small businesses currently advertise in Yellow Pages directories and the number reason was to generate phone calls.