Local.com Aims To Raise $15.5 Million In Public Offering

techcrunch.com

This is a secondary offering. Local.com is already a publicly traded company. Not a good sign.

I was about to write: what's wrong with them, when Facebook and Groupon get 30 times as much in hard cold cash? Now I know.

I'm no expert in this, but if the estimates I am seeing for their ad budget are correct, then their customer acquisition cost has to be gigantic.

They ARE hiring (even in the SLC (Salt Lake City, UT) market), which probably equates somewhat to Groupon's high operating costs: the Sales team. B2B, cold calling, etc. That was at least the advertisement that played for months around here for Local.com and affiliates. Hard sell, cold-calling, feet to the pavement walk-in's. Entry level as well (crap salary) which could indicate a poor sales strategy as a whole (vs hiring experienced Sales / Bus Dev folks who know the local market).

Edit for SLC:

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