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ReachLocal and Google Form Global Strategic Partnership

Google and ReachLocal Sign First-of-its-Kind Global AdWords™ Agreement to Accelerate the Delivery of Google’s AdWords Advertising Program to Small-and Medium-Sized Businesses Around the World

(WOODLAND HILLS, CA) – April 26, 2011 – ReachLocal, Inc. (NASDAQ:RLOC), a leader in local online marketing solutions for small- and medium-sized businesses (SMBs), announced today a first-of-its-kind partnership with Google that designates ReachLocal as a global premier Google AdWords™ partner.

The strategic partnership is intended to accelerate the delivery of Google’s AdWords advertising program to local businesses internationally by combining ReachLocal’s feet-on-the-street sales model and SMB-focused search engine marketing platform with Google’s existing worldwide AdWords™ marketing and partnership support organizations.  The partnership is designed to drive both growth in existing markets and expansion into new international markets over the next three years.  ReachLocal already has a presence in four international markets, including Canada, Australia, United Kingdom and Germany.

"This new partnership builds on a long-standing relationship ReachLocal has had with Google throughout our expansion into 50 local markets over the last seven years," said Zorik Gordon, co-founder and CEO of ReachLocal. "International markets now represent more than 20 percent of ReachLocal’s business, and accelerating our international growth is a strategic priority for us.  We strongly believe that having the support and backing of Google’s global AdWords team and brand, together with financial incentives, will be a significant contributor as we execute against that strategy.”

“Since 2004, ReachLocal and Google have worked together to drive the adoption of Google AdWords to SMBs in both domestic and international markets,” said Todd Rowe, Google’s Head of Global Channel Sales. “We believe this partnership will give SMBs around the world an additional opportunity to use Google AdWords to drive awareness and new business. Our partners are carefully vetted for their ability to effectively serve SMBs. They provide professional, full service AdWords account management, from account setup and activation to ongoing campaign monitoring, optimization, and quality customer support.”

ReachSearch™, ReachLocal’s proprietary search engine marketing solution, allows SMBs to drive customer leads from Google and other search engines to their phone with a scalable, automated and transparent Internet advertising platform.  ReachLocal’s international feet-on-the-street sales force of Internet Marketing Consultants (IMCs) helps educate and support SMBs in their online marketing efforts.

Google AdWords is a cost effective, efficient way for businesses of all sizes to advertise online by delivering relevant ads when users search for specific products and services on Google properties and/or the Google Display Network. With Google AdWords, advertisers can find new customers online and better connect with them at the precise moment they are searching for specific products and services on their desktop or mobile devices. Google Display Network is comprised of hundreds of thousands of high quality websites and allows advertisers to choose how to communicate their marketing message using text, video and image ads.

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About ReachLocal

ReachLocal, Inc.'s (NASDAQ: RLOC) mission is to help small- and medium-sized businesses (SMBs) acquire, maintain and retain customers via the Internet. ReachLocal offers a comprehensive suite of online marketing solutions, including search engine marketing (ReachSearch™), Web presence (ReachCast™), display advertising (ReachDisplay™) and remarketing, online marketing analytics (TotalTrack®), and our out-of-the-box assisted chat service (TotalLiveChat™), each targeted to the SMB market. ReachLocal delivers this suite of services to SMBs through a combination of its proprietary technology platform and its direct, "feet-on-the-street" sales force of Internet Marketing Consultants and select third party agencies and resellers. Bizzy™, a personalized local business recommendation engine, and DealOn™, a deal commerce company, are wholly owned subsidiaries of ReachLocal. ReachLocal is headquartered in Woodland Hills, CA, with offices throughout North America and in Australia, the United Kingdom and Germany.

 

Caution Concerning Forward-Looking Statements

This document includes certain forward-looking statements. These statements are based on the current expectations or beliefs of management of ReachLocal and are subject to uncertainty and changes in circumstances. Actual results may vary materially from those expressed or implied by the statements herein due to (1) changes in economic, business, competitive, technological and/or regulatory factors, (2) failure of the Adwords strategic relationship with Google denoted as a strategic partnership above to produce expected results; (3) failure to compete successfully in a highly competitive and rapidly changing marketplace, (4) failure to retain key employees, and (5) other factors affecting the business operation of ReachLocal. More detailed information about these and other factors that may affect current expectations may be found in filings by ReachLocal with the U.S. Securities and Exchange Commission. ReachLocal is under no obligation to, and expressly disclaims any such obligation to, update or alter its forward-looking statements, whether as a result of new information, future events, or otherwise.

For ReachLocal:

Media Contact:
David Glaubke, 
Director of Corporate Communications
ReachLocal, Inc. 
(818) 936-9908 
dglaubke@reachlocal.com

Investor Relations:
Alex Wellins
The Blueshirt Group
(415) 217-5861
alex@blueshirtgroup.com
Publish Date: 
Tuesday, April 26, 2011

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Media Contact
Amber Seikaly
Vice President Corporate Communications
ReachLocal, Inc.
amberseikaly@gmail.com

Investor Relations
Alex Wellins
The Blueshirt Group
(415) 217 - 5861
alex@blueshirtgroup.com