It is my belief that Super Media’s Search Engine Marketing programs are a scam (or at the least, a waste of money)
because they over promise and under deliver, and the company is motivated by making money, not making YOU money.
We have all heard “If it sounds to good to be true, it probably is.” Why then do we not listen to our guts when some smooth talking salesman from Super Media, or Yellow Pages, or Dex talks us into an appointment, and then delivers a perfect speech, with just the right amount of pressure to get us to sign a long term (12 month) contract for an internet marketing program?
I will preface this list by telling all of you that I am a former employee of Idearc Media, now Super Media. My knowledge is from first hand expierence. Before deciding that I am disgruntled, let me say that I am only upset that Idearc Media made a liar out of me. I wanted to believe in this company, and from day one in training, I saw signs posted all around the training room that spoke of Integrity, and always doing the right thing. The trainers even spoke of NEVER selling a client anything they don’t need, and even implied that you could be terminated for such behavior. Then I got out of training, and stepped into the real world. That is when things went sour. Not because of a boss, or fellow employee, but because when I smell B.S. I ask questions, and that is not perceived very well in the corporate world.
Long story short – I was excited about the “new” SEM packages that Idearc was offering, and I bought in 100%. I hit the streets running, and sold a good amount of these programs, in addition to selling their other products, Yellowpages, and Direct Mail. I was a top 5 sales rep (top 3 for a while and tops on my team for a few months) and made over $70,000 my 1st year. Then the reports for my clients SEM program started rolling in, and let’s just say that the news was not good. There was red flag, after red flag.
Now you reap the rewards of what I learned about Super Media Programs, as well as their competitors. Listed below are the reasons I can think of why you should run from this SEM program, FAST, and don’t look back. These are just he one’s I can think of – there are more.
Reasons Super Media is a Scam.
- Bid Management Software – I am sure that if you have been pitched by a rep from Super Media, you have heard about their wonderful Bid Management Software. Probably heard how this “proprietary” software can save you big bucks by managing your bids for you. They have a slide (that was once one of my favorites) that shows the Bidding Time Zone – and how the bids can fluctuate by the minute, and if you are not watching your bids constantly, you will overpay. This is complete BS!
- I sat in on a meeting once where the presenter was a middle manager out of the Dallas Office, and she worked with the CSS (Client Service Specialists) who allegedly run these PPC programs. She said, in response to a question about the Bid Management Software changing bids by the minute, “Oh that program isn’t designed for that, it is designed to SPEND THE BUDGET WHERE EVER IT CAN BE SPENT.” At the time, I wrote this down because I could not believe she said it, and could not believe it was true. Suddenly the questions I had about why 80% or more of my clients’ budget was being spent on Superpages.com and not Google was answered. (Since Idearc/Super Media owns Superpages.com, every click is pure profit, vs. Google clicks which they claim to not mark up.) Of course, if you caught this (or the client caught it) they would apologize, say that they are not sure what happened and offer to credit some of the clicks back. Problem is, I saw this happen again, and again.
- Long Term Contracts – for internet programs that take a couple of hours to set up, and can be paused or disabled with the click of a button.
- I understand a company needing to be profitable, but when a company loses all integrity, and put’s profits before truly helping the client, there is a problem
- They have 3, and 6 month contracts, however, the sales representatives (yes, sales reps, not Marketing Consultants as these reps do not have any training or education in Marketing!) Are trained to not tell you about the 3 and 6 month terms. The entire sales environment is designed to encourage this behavior, because if they sign you up for a 6 month term, the reps commission is cut in half. A 3 month term gets them paid a mere 25% of what they would get for a full 12 month contract.
- News Flash for Super Media, you can not apply Yellow Page business practices to the internet!!! If you don’t like not offering contracts, get out of the internet marketing arena.
If you truly get clients a return on their investment, you would not need to lock them into contracts. Business owners do not mind spending money to make money.
- Broad Matching of keywords.
- This is an effort to spend your budget every month.
- Generates the most traffic, but usually not the best traffic
- Broad match results in more impressions, lower Click thru Rate, which results in a lower Quality Score, which means you pay more for some clicks.
- Large workloads – for the CSS reps (the reps that are paid to “Manage” your campaigns)
- When the product was 1st rolled out, we were told that each CSS would have only 8 clients they would be responsible for. (If it sounds too good to be true, it probably is)
- 1st Question I had was, if we are not marking up the clicks on Google, how are we making any money? (remember, I was employed there)
- $500 x 8 accounts per rep = $4,000 per month x 12 months = $48,000 per year, per rep in revenue. I am pretty sure these reps were making at least $50,000 per year, so where is the profit? Remember, I have not even added in the cost of having a rep @ $50,000 per year. True COST (When you add in payroll taxes, unemployment insurance, health insurance, building, computer, phone lines etc. etc. etc.) for the company would be around $75,000 per year per rep.
- Then I was told by a CSS rep I got to know (not by my boss, or trainer) that the reps were now responsible for 20 accounts each. (I was still telling potential customers that “each rep only has 8 accounts…this is one way they made a liar out of me) This is still not enough profit for a 3 Billion dollar a year company to justify the burden of running SEM programs.
- Then it went to 40
- Then 80
- Then 120 accounts PER REP!!!!!
- Now we are talking some serious profits. 120 account x $500 per month = $60,000 per month x 12 months = $720,000 per year in revenue per CSS Rep.
- Add in the clicks on Superpages.com – (that the Bid Management Software was generating) and you can hear the money rolling in. (see next point for more info on Superpages.com clicks.)
- Problem is, there is no way a CSS rep can manage this many accounts effectively. Again, I am OK with this – if they told the truth to the client up front. Remember at the beginning of this blog post I said the main problem is OVER PROMISE, UNDER DELIVER?
- Spend most of your budget on Superpages.com, and usually are good at convincing you that these clicks are better clicks than Google. WHAT???? Did you hear that? No way did a salesman just try to convince me that clicks on Superpages.com are better than Google clicks! Of course they need to convince you of this, because:
- They can’t make money on the management fees alone. See previous point if this isn’t making sense yet.
- History of lying -
- Said each CSS would only have 8 accounts
- Said their system changes the bids by the time of day
- Said they optimize your campaigns
- They can’t – because each CSS rep has to many accounts to handle
- I have seen clients’ reports on programs that were running for 6 months or more, and the average cost per click rarely fluctuates.
- No Analytics -They do not share (or even track) any real analytics data, preferring instead to gloss over
- Number of clicks you received
- Click thru ratio
- Average Cost Per Click
- Total cost
The pitch goes something like this (if you get a call from your rep after you signed up) “Mr. Customer, you received 250 clicks this month, if only 10% of those people converted into customers, you acquired 25 new customers this month, and you told me that each customer was worth $500 on average. That means that for your $1,000 investment, I brought you $12,500 in revenue!!” Or they will say you received “50 phone calls this month, if only 10% of those”, Well you get the idea….
There are many things wrong with this.- Clicks DO NOT equal customers!
- 10% conversion ratio for the clicks on your website would be phenomenal! The average is 1-3% click thru ratio, and then if you are lucky 2% of those will result in either a phone call, or a form completion.
- $12,500 of revenue DOES NOT equal $12,500 of profit! If you are like most business, after expenses, you are lucky if you profit 20 points….. I.E. of $12,500 (which is way overestimated) you would be lucky if you profited $2,500….and you probably worked a long time for that $12,500 in revenue.
The reality is – Super Media lies to sales reps, get’s them to believe this product is the best things out there, and these reps are very convincing.
My theory is that Super Media appears to be signing small business owners up, loading every keyword under the sun, Broad matching the keywords (to maximize impressions), putting in a large bid (to get you in the top 3 of the PPC results) and never looking at the program again (until someone calls in to complain that they don’t know what they are getting for their $1,000 per month.) They are being reactive, not proactive as they would have you believe. This is a recipe for disaster, and a guaranteed way to waste a lot of your hard earned money.
Success on the Internet begins with Analytics (understanding what visitors are doing on your site, where they are coming from etc. etc.) NOT Search Engine Marketing (PPC.)
When I think of Analytics I am reminded of a saying – “Knowledge equals power.”
When I think of Super Media’s Search Engine Marketing Pitch, I think “If it sounds too good to be true, it probably is.”To succeed on the internet, you need to: (this is a partial list)
1) Build your website for visitors – not Google.
2) Use Website Analytics.
3) Make monthly updates to your website
4) Optimize your Website (Search Engine Optimization)
5) Run effective Search Engine Marketing (Pay Per Click) Campaigns – that are linked to analytics.
#1 by Denver Painters on October 1st, 2010
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Wow, Wished I had read this couple months ago! Thanks posting~
http://paintingdenver.net/blog/uncategorized/super-media-top-10-scams-and-lies/
#2 by Muskrat37 on October 28th, 2010
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Sorry to hear about your troubles with them. Thank you for taking the time to share.
Good luck in the future.
Regards,
Chad
#3 by Steven Long on February 14th, 2011
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You had me – right up until the point you announced your own company. I will give you some credit, you really didn’t promise me anything, but you sure did under-deliver.
The REAL tragedy with Supermedia is their continued push of their own website that has less than 1% of the total search volume.
#4 by Muskrat37 on February 18th, 2011
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I am sorry you feel that way about me announcing my own company. I provide this blog and information within it for the readers, whether they choose to do business with me or not.
I have taken calls, and answered emails, and provided a lot of free information to people considering purchasing SEM packages from Reach Local, or Super Media – and they have not signed on with me, so I feel no remorse for readers CHOOSING to contact me after reading my posts. I have clearly stated my goals with this blog, and recruiting is not my goal, informing people is.
I hope you found the information useful, and good luck in your internet marketing efforts.
Regards,
Chad
#5 by M. chatwin on February 22nd, 2011
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Dear Chad,
My husband an attorney in Syracuse, NY just finished a phone conference with our supermedia rep and her manager. Every sales call to our office was about pushing the internet, even though we informed them we had our own website that we had access daily to make changes. They pushed the pay per click package.
Well we have advertised with Verizon, Idearc, Supermedia since 1998. We took their rate increases every year. Last year when they told us the rate increase had to do with the cost of living increase and inflation and not that they purely wanted to make more money, we shot back that there was no cost of living increase that year.
Well back to today’s conversation. Our phone has literally stopped ringing in the last seven months. Our business from the phone book literally stopped. Therefore, Supermedia’s solution to the problem was to spend more money. We informed them that we were having problems paying our $1000.00 bill each month due to the decrease of business. We made a counter offer of $500.00 for the same ads minus one of them and thought they would come back with a counter offer. Keep in mind we designed our own ads and had not changed them in the last five years. Therefore, they saved money by doing no design work year after year. They told us good bye. They were willing to walk away from $5000.00 a year.
Yet I have read that Idearc forgave old Verizon advertisinig bills to get those customers back. Here they have a customer for 12 years, paying their bill and never asking for anything, not even the design of their ads and they told us to take a hike. They stated that no one in the company would approve this price and they would loose their jobs if they did. They stated if they gave us this deal then other customers would want the same. Our response was why would we tell our competitors and shoot ourself in the foot. All the time they just kept insisting that we needed to spend more money but they couldn’t guarantee us any business.
There was no bartering, just our way or the highway. We pointed out that a florist or plumber would pay $500.00 for the same ads but because we are a law office we are expected to pay twice the amount and still receive no calls.
We are willing to risk no ads this year and concentrate on our website. Do you think it is worth it to take the issue higher up in the organization?
#6 by dave germain on March 28th, 2011
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I Was told it would be 2 cents per click not 20 What a scam. how can you get out of this nightmare.
#7 by Muskrat37 on March 29th, 2011
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Dave,
Sorry you ran into a dishonest Saleperson – seems to be the case with a lot of these programs – especially since their commission is based on the size of the contract, and the length of the contract. They are pre-paid their commission based on the contract, which is why Super Media defends these contracts so strongly. The local General Sales Manager has the authority to end the contract early – if they want to…and the sales reps commission will be reversed if they do. The problem is that the GSM’s bonuses and quota’s and requirments will also take a hit, if he/she approves it. Your best bet is to start there…if you do not make progress with the GSM, I would recommend asking for their boss (probably a regional VP). The GSM does not want the VP hearing about complaints and shady tactics – so it may be just enough for them to let you out of your contract.
Good Luck, thank you for sharing, and please keep us informed.
Chad
#8 by Mark on June 21st, 2011
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Even if you try to stay away from Supermedia somehow they find your company if it is web based, I suspect through Yellow Pages and they will send out bills saying you owe thousands for their services even though you never signed up for any services… they probably won’t have a valid credit card on file though… just a bunch of crooks.
#9 by Muskrat37 on June 25th, 2011
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Mark,
I do not have knowledge of them actually signing up customers without their knowledge. Do you have any proof you can provide? I am happy to publish images of bills etc…. however – if they can not produced a signed agreement, I would not think it would be hard to get out of paying for something that you did not authorize. This might be some sort of error.
Good Luck – and keep us informed.
Chad
#10 by TruthBehold on October 21st, 2011
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As a former Idearc/Supermedia employee myself, I would say about 80% of what is said in this article is true. Below are some things that I disagree with.
The typical SEM management fee with SM starts at $500. Along with this fee there is a Click Budget which starts at $1000. This entire budget DOES go to the PPC campaign and is there is no money made off of it….UNLESS the clicks are coming from superpages.com. This is why a smart Media Consultant (not Marketing Consultant as stated in the article) would opt out of the Superpages.com network when submitting the paperwork.
As for the Analytics. There was fully transparent reporting, with the exception of detailed call tracking. Everything was available to the client including, Cost per click, Keywords selection and reporting, CTR, Emails, Forms, everything. The only shady thing is that you cant see any relevant information with the call data. The name is left out, leaving people to believe that these are falsified calls or seeming as if an auto dialer would call the number randomly. Although tracking was available, it was very difficult for clients to navigate through.
Even though I am a former Employee, I left on good terms and enjoyed my years working there. Ethics run deep and unfortunately there are a couple of bad apples. I felt, and still feel, that their SEM program was very good if done the right way. As for the advice in the end, its pretty broad/generic. The reason why people hire companies to do their online marketing is because it is time consuming. Its not as easy as this guy tries to make it seem. If it was truly as easy as he tries to make it, then everybody would be doing it themselves.
#11 by Muskrat37 on October 24th, 2011
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TruthBehold.
Thank you for taking the time to comment. I am not sure what you mean by “this entire budget DOES go to the PPC campaign”. That does not make sense. The definition of the “Management Fee” is a fee you pay them to manage your campaign. The “Click budget” is the amount of money that is spent on clicks, the $500 management fee is the companies to keep, regardless of whether or not you spend the entire $1000 of your click budget. A client of Supermedia will ALWAYS be billed the $500 per month, for the duration of the contract, WHETHER THEY SPEND A SINGLE PENNY ON CLICKS OR NOT. That is clearly stated in Supermedias contract all client sign.
Also not sure how you can say the analytics is fully transparent when Supermedia does not show Bounce Rate, Time on Site, Pageviews etc. They do not show real website analytics data to the client, they show them the PPC numbers. there is a huge difference.
My main point is that their program is overpriced and under managed. Most of Supermedias (and Reach Locals) small business clients could very easily manage their own programs. It is not that time consuming AFTER THE PROGRAM IS SETUP AND RUNNING. The hard part is setting it up properly, and making sure it is running correctly. After that, it is cake.
That is why I don’t run SEM programs for my clients. I charge a one time, flat rate, ADWORDS ACCOUNT SETUP fee, then teach the clients what to look for in their analytics reports to keep it going. Totally fair, and the client saves $6,000 per year, over paying Supermedia $500 a month to manage a program for them. This is a large sum of money for most small businesses. This money can then be devoted to another form of advertising, and the client gets a much larger bang for their buck.
Regards,
Chad
#12 by Anti-SuperClicks on November 9th, 2011
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I am currently an employee at Supermedia, and I agree 100% with Chad. The entire superclicks program is a scam, and I have uncovered some very serious fundamental issues with this program through confidential reports. Some of the selling points are as follows:
1) You can only be clicked on by one unique IP address in a 24 hour period. That is false according to my reports.
2) You will only get clicked in your desired geographic region. That is also false.
3) We will pick your categories and set a market bid rate for only the categories you want. This is where I have the biggest issue. The “optimization department” associates so many random, off the wall key words in order to use up your entire click budget it should be a crime. Ex: a hair transplant business has “Poodle hair styles” as a key word!
I could go on into further detail, but you get my point. If any business owner is reading this, buyer beware!
I am disgusted by the fact that I believed in this product and am in the top five for selling it. We as media consultants were lied to, and I am ashamed that I work for such a deceptive corporation, and will be seeking a new employer very soon!
#13 by Muskrat37 on November 9th, 2011
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I would be interested in talking to you about these reports – possible posting any evidence of what you have uncovered. Of course I will hide any information that can be linked back to you. Please contact me via my website – and we can talk offline.
One of the first big red flags with any PPC program is if your entire budget is spent every single month.
Good Luck to you in finding something better. These lying corporations can’t keep getting away with this.
Chad