News Limited agrees to sell TrueLocal to Sensis
News Limited has continued its divestment of its non-core businesses, agreeing to sell its directory business TrueLocal to Telstra’s Sensis.
Last year News Limited sold its stake in digital investor Netus, which has since been picked up by Fairfax.
The deal was announced by Sensis MD John Allan, who left News Limited in July last year after a short period running The Australian.
Allan said: “TrueLocal has built a strong reputation in connecting consumers with businesses across the country, through its high quality local business listings. TrueLocal also has an extensive library of ratings and reviews which enables consumers to make more informed decisions when they search for a local business.
“Consumers’ reliance on this type of content underlines why it’s important to make it accessible – which drives more traffic to the Yellow Pages network and generates better leads for our customers.”
The deal is subject to ACCC approval.
News Limited’s chief financial officer Stephen Rue said in a statement: “TrueLocal is a terrific business. But the reality is it is no longer a priority for us as we have recently made substantial investments in Foxtel and Fox Sports and Business Spectator and Eureka Report.
“So, while we are sorry to see TrueLocal go, we recognise that Sensis is now the best home for it. John Allan knows the business better than anyone and we wish him and everyone at TrueLocal all the very best.”
TrueLocal GM Simon Carson and his management team will continue to lead the business.
Tim Burrowes founded Mumbrella in 2008. He worked on Mumbrella until 2021. At various points he was editor, content director and editor-at-large.
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Price?
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So John left TrueLocal in a not so healthy state, and then bought it again?
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John Allan was a former Chief executive of True Local BTW
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True who?
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True Local wasn’t hurting YP’s revenues, Google was, plus all the other businesses that thrive off the back of Google, oh and of course Social.
Why would Sensis buy True Local? It is going to slowly fade away, like the Yellow Pages..?
UNLESS. Does anyone know if there was a k1ck a4se 500pound secret Gorilla technology in true Local that doesn’t exist in YP? Reviews..? Anything?
Price would be great to know too.
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Telstra needs to think creatively rather than waste money on silly defensive purchases like this. If it was worth anything Rupert would have kept it. But it’s bloody obvious that directory businesses are caput.
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@Nat
It does seems like that doesn’t it.
I am not going to knock Sensis, there are some smart people there. It would be great if a member of the acquisition team could pipe in and give us a little more info about their strategy. I am truly intrigued:
Price paid?
Why the purchase?
Future plans for growth?
Will TL be integrated into YP?
Why will I use your platform (I do not use either currently) v using Google?
If I were a shareholder at Telstra, I would want to know for sure.
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Google already has agreements in place with Sensis for business and map data – you can see the copyright notices all over Google Maps. I don’t exactly love Sensis either, but there is a certain amount of wisdom to getting a YP listing because of the priority it affords you on Google Maps.
I expect that we’ll see TrueLocal reviews being promoted over other web reviews (e.g. WoMo, Eatability) on Maps listings.
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@KS, I am hearing you. Although why have a YP listing, when you can set up your own G+ listing? Oh and for free….
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@Nosense? Yes that’s very true, but a free listing doesn’t give you a hardcoded marker on the map, you have to go through additional verification steps to be treated as a “real” listing, plus you have Buckley’s of ending up as a featured result where your map location appears in a regular web search. All it takes to move you down is a competitor with a YP listing who has bothered to claim and update their Maps listing.
Of course, all of this depends on how much competition you have, which is why Google still rakes in the cash on these agreements as well as AdWords. On the same note, you have to pay TrueLocal to feature positive reviews of your business and bury the negative ones… nothing’s ever really free, is it?
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Divest = Fire-sale?
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@KS “like”
@AdGrunt Looks that way doesn’t it.
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