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The Kelsey Report® Advisory

Outlook for 2006: Will Growth Plans Bear Fruit or Die on the Vine?
Charles Laughlin , 1/4/2006

SUMMARY: The coming year in global Yellow Pages will largely be about watching how trends that have been well-established over the past several years resolve themselves. Many initiatives launched in response to these trends (flat usage, declining customer volume, negative core print sales growth, etc.) will either bear fruit or die on the vine. In recent years, publishers have been focused in large measure on shoring up their digital products, combating intra-media competitors, and stemming customer losses by revamping their core products and trying to improve satisfaction. In 2006, we will have an opportunity to see how well some of these initiatives have worked. The Kelsey Report offers five predictions for the coming year: At least one major North American telecom will follow Verizons lead and offer its Yellow Pages unit for sale; a digital media player will dive into the directory business; publishers will put their own interests first, dooming industry-level initiatives; European publishers will link arms against the likes of Google; and the fledgling movement to make directories more user-friendly by reducing cover ads and other clutter will gain momentum.

Copyright � 2005 The Kelsey Group. All Rights Reserved.
This published material is for internal client use only. It may not be duplicated or distributed in any manner not permitted by contract. Any unauthorized distribution could result in termination of the client relationship, fines and other civil or criminal penalties under Federal law. The Kelsey Group disclaims all warranties regarding the accuracy of the information herein and similarly disclaims any liability for direct, indirect or consequential damages that may result from the use or interpretation of this information.

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