Do Local Businesses Still Need a Website in 2020?

With all the tools and resources Google is providing business owners to help them appear in the search engine results pages it might seem that a website will not be needed in 2019.

Whilst this is tempting to believe especially in view of the time and cost required for online work nothing could be further from the truth for companies wishing to improve sales and profits.

As many high street traders have this last year seen, not optimising online marketing, only resulted in a further loss in profits. This was because consumers turned to competitors who made their services and products easily available online.

Whilst researching for this post I came across an article by Miriam Ellis who writes for MOZ that answers this question in depth. I think any “Local” business owner can get a better understanding of why investing in online marketing is important and how a website plays a pivotal role in digital marketing in 2020.

So here are the most important parts from that article

Why Local Businesses Will Need Websites More than Ever in 2020

64% of 1,411 surveyed local business marketers agree that Google is becoming the new “homepage” for local businesses. Via Moz State of Local SEO Industry Report

…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 2020.” 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 2019, when we rustle through the wrapping paper, the presents we find from Google look cheaper, smaller, and less magnificent.

That said there is a benefit now for anyone in the “3-Pack” as it has become a bit of an exclusive club and so is regarded by many as far more authoratative and trustworthy.

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

“65% of 1,411 surveyed marketers observe strong correlation between organic and local rank.” – Via MozState of Local SEO Industry Report

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
  • Publicity

For our present purpose, let’s take a special look at those last three elements.

On-site optimization and relevant content publication

There was a time when on-site SEO and content development were treated almost independently of one another. And while local businesses will need a make a little extra effort to put their basic contact information in prominent places on their websites (such as the footer and Contact Us page), publication and optimization should be viewed as a single topic. A modern strategy takes all of the following into account:

  • Keyword and real-world research tell a local business what consumers want
  • These consumer desires are then reflected in what the business publishes on its website, including its homepage, location landing pages, about page, blog and other components
  • Full reflection of consumer desires includes ensuring that human language (discovered via keyword and real-world research) is implemented in all elements of each page, including its tags, headings, descriptions, text, and in some cases, markup

What we’re describing here isn’t a set of disconnected efforts. It’s a single effort that’s integral to researching, writing, and publishing the website. Far from stuffing keywords into a tag or a page’s content, focus has shifted to building topical authority in the eyes of search engines like Google by building an authoritative resource for a particular consumer demographic. The more closely a business is able to reflect customers’ needs (including the language of their needs), in every possible component of its website, the more relevant it becomes.

A hypothetical example of this would be a large medical clinic in Dallas. Last year, their phone staff was inundated with basic questions about flu shots, like where and when to get them, what they cost, would they cause side effects, what about side effects on people with pre-existing health conditions, etc. This year, the medical center’s marketing team took a look at Moz Keyword Explorer and saw that there’s an enormous volume of questions surrounding flu shots:

This tiny segment of the findings of the free keyword research tool, Answer the Public, further illustrates how many questions people have about flu shots:

The medical clinic need not compete nationally for these topics, but at a local level, a page on the website can answer nearly every question a nearby patient could have about this subject. The page, created properly, will reflect human language in its tags, headings, descriptions, text, and markup. It will tell all patients where to come and when to come for this procedure. It has the potential to cut down on time-consuming phone calls.

And, finally, it will build topical authority in the eyes of Google to strengthen the clinic’s chances of ranking well organically… which can then translate to improved local rankings.

It’s important to note that keyword research tools typically do not reflect location very accurately, so research is typically done at a national level, and then adjusted to reflect regional or local language differences and geographic terms, after the fact. In other words, a keyword tool may not accurately reflect exactly how many local consumers in Dallas are asking “Where do I get a flu shot?”, but keyword and real-world research signals that this type of question is definitely being asked. The local business website can reflect this question while also adding in the necessary geographic terms.

Local link building must be brought to the fore of publicity efforts

Moz’s industry survey found that more than one-third of respondents had no local link building strategy in place. Meanwhile, link building was listed as one of the top three tasks to which marketers want their clients to devote more resources. There’s clearly a disconnect going on here. Given the fundamental role, links play in building Domain Authority, organic rankings, and subsequent local rankings, building strong websites means bridging this gap.

First, it might help to examine old prejudices that could cause local business marketers and their clients to feel dubious about link building. These most likely stem from link spam which has gotten so out of hand in the general world of SEO that Google has had to penalize it and filter it to the best of their ability.

Not long ago, many digital-only businesses were having a heyday with paid links, link farms, reciprocal links, abusive link anchor text and the like. An online company might accrue thousands of links from completely irrelevant sources, all in hopes of escalating rank. Clearly, these practices aren’t ones an ethical business can feel good about investing in, but they do serve as an interesting object lesson, especially when a local marketer can point out to a client, that best local links are typically going to result from real-world relationship-building.

Local businesses are truly special because they serve a distinct, physical community made up of their own neighbours. The more involved a local business is in its own community, the more naturally link opportunities arise from things like local:

  • Sponsorships
  • Event participation and hosting
  • Online news
  • Blogs
  • Business associations
  • B2B cross-promotions

There are so many ways a local business can build genuine topical and domain authority in a given community by dint of the relationships it develops with neighbours.

An excellent way to get started on this effort is to look at high-ranking local businesses in the same or similar business categories to discover what work they’ve put in to achieve a supportive backlink profile. Moz Link Intersect is an extremely actionable resource for this, enabling a business to input its top competitors to find who is linking to them.

In the following example, a small B&B in Albuquerque looks up two luxurious Tribal resorts in its city:

Link Intersect then lists out a blueprint of opportunities, showing which links one or both competitors have earned. Drilling down, the B&B finds that is linking to both Tribal resorts on an Albuquerque things-to-do page:

The small B&B can then try to earn a spot on that same page because it hosts lavish tea parties as a thing-to-do. Outreach could depend on the B&B owner knowing someone who works at the local Marriott personally. It could include meeting with them in person, or on the phone, or even via email. If this outreach succeeds, an excellent, relevant link will have been earned to boost organic rank, underpinning local rank.

Then, repeat the process. Aristotle might well have been speaking of link building when he said we are what we repeatedly do and that excellence is a habit. Good marketers can teach customers to have excellent habits in recognizing a good link opportunity when they see it.

Taken altogether

Without a website, a local business lacks the brand-controlled publishing and link-earning platform that so strongly influences organic rankings. In the absence of this, the chances of ranking well in competitive local packs will be significantly less. Taken altogether, the case is clear for local businesses investing substantially in their websites.

Acting now is actually a strategy for the future.

You’ve now determined that strong websites are fundamental to local rankings in competitive markets. You’ve absorbed numerous reasons to encourage local businesses you market to prioritize care of their domains. But there’s one more thing you’ll need to be able to convey, and that’s a sense of urgency.

Right now, every single customer you can still earn from a free local pack listing is immensely valuable for the future.

This isn’t a customer you’ve had to pay Google for, as you very well might six months, a year, or five years from now. Yes, you’ve had to invest plenty in developing the strong website that contributed to the high local ranking, but you haven’t paid a penny directly to Google for this particular lead. Soon, you may be having to fork over commissions to Google for a large portion of your new customers, so acting now is like insurance against future spend.

For this to work out properly, local businesses must take the leads Google is sending them right now for free, and convert them into long-term, loyal customers, with an ultimate value of multiple future transactions without Google as the middleman. And if these freely won customers can be inspired to act as word-of-mouth advocates for your brand, you will have done something substantial to develop a stream of non-Google-dependent revenue.

This offer may well expire as time goes by. When it comes to the capricious local SERPs, marketers resemble the Greek philosophers who knew that change is the only constant. The Trojan horse has rolled into every US city, and it’s a gift with a questionable shelf life. We can’t predict if or when free packs might become obsolete, but we share your concerns about the way the wind is blowing.

What we can see clearly right now is that websites will be anything but obsolete in 2019. Rather, they are the building blocks of local rankings, precious free leads, and loyal revenue, regardless of how SERPs may alter in future.

I hope you have found this article by Miriam Ellis as inciteful as I did and that it will help you shape your decisions and plans for your 2019 digital marketing. If you need some help in getting started or just auditing your existing website then feel free to contact me.

Remember that most web designers are either completely unaware of what Google needs today as they cannot keep up with the 400+ changes made every year by Google. Conversely, although I know much of what Google wants I don’t design websites so I work together with web designers – yes you guessed it I don’t have time to learn the latest web design improvements.

For now, it behoves me to again than Miriam and all at MOZ for this excellent post and if you wish you may see the full post and comments JUST CLICK HERE

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    This could be a problem with my web browser because
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      • SEO Specialist
      • September 6, 2020

      Hi Brad,
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      I note that your website scores just 14 for mobile and 64 for desktop in the same Google testing tool. As an SEO may I politely suggest that you consider optimising your website page load speed to prepare for Google’s Web Core Vitals algorithm update next year. Also of course a score of 14 for mobile browsers is not helping people who visit your site on mobile phones.

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      • SEO Specialist
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