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Why Nextdoor Is the Next Big Local Marketing Opportunity

Nextdoor is a neighbourhood app that connects neighbours to one other and to everything else nearby. That includes businesses, services, news, recommendations and items for sale or being given away for free. Nextdoor’s core value is trust. Members must verify their address, which allows people to be confident that they’re talking to their actual neighbours.  

Nextdoor is  available in 11 countries, with more than 265,000 neighbourhoods on the platform and over 50 million local business recommendations on the site. In the UK, 1 in 7 households use Nextdoor and 1 in 5 in London. 

What makes Nextdoor different from its rivals, such as Google, Facebook or Yelp, is that business owners are part of the neighbourhood – literally. Because of member verification, there are no fake listings or anonymous customer recommendations. And this is a major differentiator.

 Local Marketing on Nextdoor

After years building its membership base, Nextdoor introduced ads and sponsored content. National-local advertisers can reach Nextdoor members through sponsored posts. Small business (SMB) marketers have a range of free and paid marketing tools available on the platform.

 

Business owner dashboard

 

On the back end, there’s a simple dashboard that enables the business owner to create content or deals, see neighbour comments, recommendations, and view basic data about the site.. A strong reputation (recommendations from neighbours) is ultimately critical to visibility and success on the site.


Local Deals and Sponsorships 

Business owners who’ve claimed their Pages are given two free Business Posts every month, which appear in the neighbourhood news feed. Business Posts were introduced by Nextdoor in June. 

Beyond Business Posts and organic visibility, owners can pay for additional exposure on Nextdoor by posting Local Deals, which enable businesses to share discounts or promotions with their neighbours. Deals range in cost but can be as little as £1. Businesses choose the neighbourhoods where their Local Deals will be visible. And they appear in up to six places on the site, including the Daily Digest email.

Daily recommendation Conversations

Another major differentiator for Nextdoor is the fact that, on a daily basis, members ask their neighbours for local business recommendations (“Can anybody recommend a good electrician?”). This is one of the site’s main use cases. Nextdoor uses these recommendations to help populate its recommended businesses directory and also as an input into its organic search rankings. 

Users can visit Business Pages and recommend a business with a single click. In other words, business owners can direct people to their Nextdoor Business Pages to be recommended. 

One of the reasons that members are constantly asking for recommendations is because of the high-trust factor already discussed — they know they are talking to their real neighbours. And this has the potential to make Nextdoor highly disruptive over time.

Currently, 70% of consumers look at multiple review sites before choosing a business, but online review fraud is a massive but little understood problem. As consumers come to recognise this, they may increasingly turn to Nextdoor as a first choice for recommendations, rather than go through the time-consuming process of looking at multiple sites to assess review validity. 

Nearly 80% Influenced by a Neighbour Recommendation

Members asking for local business recommendations are typically “ready to buy”, making these very valuable leads. Indeed, Nextdoor’s engagement and conversion statistics tell a compelling story:    

  • 70% of Nextdoor members trust word-of-mouth recommendations from other neighbours above anything else 
  • 67% of Nextdoor members share business recommendations on the site
  • 76% of members were influenced by a neighbour local business recommendation 

Finally, there are also SEO benefits to creating a Business Page on Nextdoor. Profile claiming and optimisation are recommended for sites like Yelp, TripAdvisor and a small number of other key directories that rank well in Google results. It’s still somewhat early but that’s starting to happen for Nextdoor, too. 

Most agencies and technology companies that serve SMBs know Nextdoor but haven’t invested in the site as a local marketing channel. Now is a good time to start and build experience, visibility and recommendations — before the neighbourhood gets any more crowded. 

Posted by Uberall