Yelp (YELP) Q2 2016 Earnings Call

Yelp (YELP) CEO Jeremy Stoppelman said they’re spending some of their marketing budget on old school TV advertising

“To drive broader awareness of Yelp, we’re investing in TV and online video advertising, as well as direct marketing. As we typically do with sizable investments, we’re rigorously testing and measuring the effectiveness of these campaigns and our tests in the second quarter show lifts in over a dozen different metrics. While we’re still analyzing results from numerous tests, we’re encouraged by what we’ve seen so far.”

Regal Theaters uses Yelp and finds it to be their highest ROI marketing channel

“A great example of how we’re delivering results for advertisers is our work for Regal Entertainment Group, one of the largest cinema operators in the U.S. Regal began advertising on Yelp last year and experienced dramatic increases in website traffic and high converting leads. In fact, it seems that consumers who find Regal Theaters on Yelp spend more time on their site and buy tickets at a much higher rate than through any of their other online advertising channels. To drive even more value our national account team is working directly with Regal to identify new opportunities, such as complementing their program with targeted local advertising around new releases.”

Yelp (YELP) CFO Charles Baker said they still haveĀ a lot of head room to grow

“There are 20 million some businesses in the Yelp index, there are 3 million plus that have claimed their presence on Yelp. There are 128,000 that are active advertisers, and now there are 100,000 businesses that are connected for a transaction capability. And I think that you should think of our market opportunity, kind of along those lines in terms of the total addressable market, our ability to market ourselves into a presence and a relationship with businesses and then to bring them into our suite of services, we can help them find, acquire and transact with their customers.”