Rogers Now Reseller for Yodle in Canada

Yodle announced this morning that it had entered into an exclusive deal with Rogers in Canada. Rogers will sell Yodle’s marketing products/services to Canadian SMBs. That sets up direct competition with Canada’s largest seller of advertising to SMBs, YPG/Yellow Media, as well as ReachLocal, which already operates in Canada.

Rogers is a telco and ISP. It’s not clear to me how Yodle’s services will be positioned and sold by the company. There’s a question in my mind about how effective Rogers will be. It’s somewhat analogous to Verizon (the carrier and ISP not the former YP publisher) selling marketing services.

Comcast, another analogous company in the US, has a large sales force focused on the SMB market. But the company, to my knowledge, has had only modest success broadening its offering beyond its core media asset: spot cable. Similarly TimeWarner Cable has seen only limited success with interactive and SMBs.

Yodle says in the press release that it has “nearly” 28,000 SMB customers in the US. This is Yodle’s first international move.

It’s not clear against whom Yodle was competing for the Rodgers deal but I would imagine there was a competitive process.

Update: I spoke with Court Cunningham about the deal. He said there was a “bake off” but didn’t know the other competitors. He also said that Rogers is building a digital-only inside sales team of 100 to sell these products. However the broadband and radio groups will be involved in sales.

Cunningham said that Yodle is focused on a few large resellers with scale and not going after anybody and everybody. Another big reseller for Yodle is The Berry Company. Resellers represent approximately 10% of Yodle’s business; the other 90% is what Cunningham calls “platform” (SaaS/hosted) and media (ad buying on behalf of SMBs).

Leave a Reply