THE VIRGINIAN-PILOT
Copyright (c) 1996, Landmark Communications, Inc.
DATE: Monday, September 2, 1996 TAG: 9608300699
SECTION: BUSINESS WEEKLY PAGE: 10 EDITION: FINAL
TYPE: Cover Story
SOURCE: BY DEBBIE MESSINA, STAFF WRITER
LENGTH: 175 lines
Lawyer Reginald B. Frazier's meager advertisement in Bell Atlantic's Yellow Pages was dwarfed by 50 pages of larger, splashier ads for rich law firms.
So he took his more modest advertising budget to The Shepherd's Guide, a slim Christian telephone directory serving Hampton Roads. He purchased a full page ad among eight pages of listings for lawyers.
That advertisement in the limited audience publication has attracted more clients than Frazier's small ad in the telephone company's ubiquitous yellow pages.
``My budget goes further and I reach the people I'm aiming at,'' said Frazier, who has the passage ``Serving, in His name, who came to serve.'' printed under his picture.
``I reach people who are particularly looking for a lawyer that espouses a certain set of moral values, business values,'' he said. ``But it doesn't mean I'll be any cheaper or more efficient or more qualified.''
It's stories like Frazier's that are propelling a boom in the niche market phone book business.
While consumers' fingers are walking through the yellow pages, the publishers of specialized directories are sprinting to the forefront of the $10.25 billion yellow page industry.
``Niche directories seem to be the current vogue,'' said Harvey Winn, spokesman for the Michigan-based Yellow Pages Publishers Association, which represents 98 percent of all yellow page publishers. ``And they really work.''
Winn said the number of independent yellow page publishers have jumped 50 to 70 percent in the last 10 years.
You name it, there's probably a phone book for it. Women. Blacks. Ethnic minorities. Senior Citizens. Christians. Gays. Golf. Skiing. NASCAR.
Locally, the telephone directory market is growing too.
There are now two editions of the Black Pages, catering to African Americans. There are at least two publishers of yellow pages targeting the military community. The Community PhoneBooks are getting almost as thick as Bell Atlantic's directories. A local businesswoman is working on her second edition of the Women's Pages. The Shepherd's Guide just printed its 12th edition.
``They're a win-win-win situation for the publisher, the advertiser and the consumer,'' Winn said.
Publishers are making money. Advertisers get affordable rates and a captive audience. Consumers don't have to flip through huge volumes and can be more choosey about where they spend their money.
``That's why we're seeing a sudden influx of niche directories. Many are started by independents. But the larger publishers see an opportunity to make some money as well.''
So what does this mean to the titans of all yellow pages, Bell Atlantic and the other six regional Bell companies?
``We are still the book,'' said Stephanie Hobbs, spokeswoman for Bell Atlantic Directory Services in Bethesda, Md. ``Nine out of 10 still use our book.''
Hobbs said the telephone company yellow pages continue to be the primary buy for advertisers. And instead of splitting their advertising dollars, many businesses are budgeting more for advertising so they can buy in the speciality books too.
``There's plenty of room in the market for good competition,'' Hobbs said.
Putting a directory on the streets, however, by no means ensures profits.
Locally, a few directories - including Silver Service for senior citizens and the Pink Pages for women - have folded.
But several others are thriving. The key to their success is matching like-minded businesses and consumers.
``The bottom line is we are Christians dealing with Christians,'' said Martin Levinson, publisher of The Shepherd's Guide. ``We're keeping the money within the kingdom.
``There is a trustworthiness among Christians. They feel more comfortable dealing with one another.''
Gerry McCants, president of the Black Pages USA, which publishes in 11 Southern metropolitan areas including Hampton Roads, said, ``It's almost like direct deposit.
``People want to re-invest in their own businesses and their own community,'' he said.
That strategy is working. McCants has enjoyed a 20 to 25 percent growth in revenue each year of the last two years he's published a Hampton Roads edition.
The Hampton Roads region has the 30th best climate for black businesses in the country, according to Thomas-McCants Media Inc. It has 14 black-owned businesses for every 100,000 people. The area boasts 5,556 black businesses with $239 million in receipts and a black population of almost 400,000.
McCants is competing for their advertising dollars with the Black Pages of America, which is his former employer and has been publishing here since 1989.
``There's a lot of business here,'' he said. ``But I don't know if there's enough to support two phone books. We'll have to see what happens over the next few years.''
Likewise, the response to the first edition of the Women's Yellow Pages Business and Resource Directory has been overwhelming. Only halfway into the selling period for the second edition, publisher Rhonda Burton has doubled the number of advertisers.
``Women are starved to see other women,'' said Burton, who sprinkles pictures of businesswomen throughout her directory along with biographical information.
``We really hit on a nerve here. We're giving visibility and recognition to women who own businesses.''
Burton stumbled on the idea when she was searching for an advertising vehicle to reach women for her carpet cleaning and pest control businesses. There was nothing.
``Nine out of 10 women who called us were women,'' Burton said. ``I needed to advertise where women were and I knew I wasn't alone.''
Studies show that women influence or make 70 to 80 percent of all purchases. Women own about a third of the businesses in Virginia. The U.S. Small Business Administration projects that by 2000, about half of America's small businesses will be owned by women.
``Women have so many special needs,'' Burton said. ``This is a way for women to connect with each other.''
The Community PhoneBooks target consumers by geography as opposed to race, gender or interests.
DataNational, headquartered in Chantilly, Va., publishes individual directories for Norfolk, Virginia Beach, Chesapeake, Hampton and Newport News.
The company's strategy is to develop a community identity because studies show consumers don't like to travel more than 5 to 15 miles from their home or business to shop.
``People need more of a niche product, to provide identity, to make them feel good that this is their phone book,'' said Robert Sawicki, district sales manager for DataNational's Virginia Beach office.
``Our product looks like, feels like, smells like a phone book,'' Sawicki said, ``But it serves as a buyers guide for local residents. We have more flexibility to tie products to what the shopping patterns are in a community.''
Each of these directories, however, do more than just spit out lists of phone numbers.
For example, the Navy directories include maps of local bases and articles introducing newcomers to the area.
Both the women's and black pages feature profiles of noteworthy business people and listings of resources.
The women's directory also highlights a local female artist and poet each year, and provides free full-page advertising to selected charities. The black pages includes helpful tips on finances and investing.
The Community PhoneBooks offer coupons and information on local attractions.
Tanya L. Monroe, president of Monroe Mortgage Inc. in Virginia Beach, advertises in both the Black Pages and the Women's Yellow Pages.
It's been so successful, she plans on buying bigger ads in the next editions. She even credits the publications in part for growing her business enough to open a second office on the Peninsula.
``Typically, if you don't fit a certain box, you don't get a loan,'' Monroe said. ``They (the phone books) have provided us avenues to reach some of these people and help them achieve their loans.'' ILLUSTRATION: Color portraits by Martin Smith-Rodden
BLACK PAGES USA
It's almost like direct deposit. People want to re-invest in their
own businesses and their own community,''
- Gerry McCants, president of the Black Pages USA, which publishes
in 11 Southern metropolitan areas including Hampton Roads.
WOMEN'S YELLOW PAGES
Women are starved to see other women. We really hit on a nerve here.
We're giving visibility and recognition to women who own
businesses.''
- Rhonda Burton, publisher of Women's Yellow Pages Business and
Resource Directory, now into the selling period for its second
edition.
THE SHEPHERD'S GUIDE
``The bottom line is we are Christians dealing with Christians.
We're keeping the money within the kingdom.
``There is a trustworthiness among Christians. They feel more
comfortable dealing with one another.''
- Martin Levinson, publisher of The Shepherd's Guide, which just
printed its 12th edition.
Color photos by Jim Walker\The Virginian-Pilot
[cover photo]
Who ya gonna call?
Color photos
Telephone Books by CNB