The pandemic put companies under a tremendous amount of stress. It revealed who is ready for the many changes the near future will bring — and who is not. In times of crisis, this type readiness doubles as a source of resilience. It reflects how companies can adapt, the robustness of their internal capabilities, and how capable of finding new sources of growth they really are. And the more uncertain the world seems to be, the more important for companies to become future ready.
Consider how fashion brands and retailers have navigated the past two years. Executives have been talking for more than a decade now about how retail is moving toward direct-to-consumer, omnichannel, and personalized offerings. Then the pandemic hit. The winners have been the ones who have scaled such capabilities ahead of their competition. Stock prices at Hermes, Nike, and Target have hit all-time highs as they have pivoted to e-commerce, in stark contrast to the parade of bankruptcies among some of retail’s most iconic names: Brooks Brothers, J. Crew, and JC Penny.
The automotive industry offers another example of the importance of becoming future ready — specifically, in cultivating mastery of software and electronics. While major carmakers have made strides to pivot to electric vehicles, the ongoing semiconductor shortage has forced companies like VW and GM to halt their production lines. Tesla, on the other hand, was able to “substitute alternative chips, and then write the firmware in a matter of weeks,” explained Elon Musk. This process required quickly rewriting the car’s software, which was possible because of Tesla’s in-house mastery, and helped Tesla deliver 308,600 vehicles in the fourth quarter — up from 180,667 the previous year — achieving a “trophy-case” performance.
Becoming future ready means scaling up capabilities relevant to future competition. In previous research, we found that a company must make regular shifts in its know-how in order to stay ahead of competitors over the long run. If a company’s know-how stagnates, it will face competition from copycats, fall behind in advancements, and eventually fail.
Who’s the Most Future Ready and How They Do It
At IMD, we’ve compiled a future-readiness indicator, which measures a company’s preparedness. We ranked the top players in each industry based on seven equally weighted factors. We evaluated the financial fundamentals of a company’s ongoing business, as investing in the future requires a healthy cash flow; we also looked at cash and debts. We measured a company’s growth prospects, looking at investors’ expectations and the intensity of a company’s investment in startups or new ventures. Because executive teams need to see beyond their day-to-day operations, we also looked for diversity in the management board, taking note of gender and nationality as well as the industry backgrounds of a company’s top leadership. When possible, we gauge a company’s productivity by measures such as operating revenue per employee. Finally, we monitor the trajectory of new product rollouts — openness to new ideas and the early results of innovation.
The resulting industry rankings are based on hard data. They include financial reporting, investors’ calls, LinkedIn profiles of the management team, CrunchBase, Factiva, and other publicly available reporting, all of which we used to produce a balanced composite score. Our measures are selected based on prior management literature. Using more than a decade of data (2010 to 2021), we also compared the choices and outlooks between the top- and bottom-ranking companies to highlight how top-ranking companies behave.
The rankings analyze 86 top companies (as measured by revenue) across four industries. What we found is that, while each industry has its own playbook, there are universal managerial behaviors and cognitive outlooks that are common across top-performing companies. For each, we’ve identified an industry-specific insight and a universal behavior that can help guide other companies to become more future ready.
Industry Insight 1: Don’t Play the Zero-Sum Game with Disruptors
Two thousand twenty-one was a year for fintech innovation. Electronic payments took off as people shopped online. Many managed their finances online rather than going to bank branches. These have permanently shifted consumer behavior. While fintech disruptors PayPal and Block (formerly Square) were near the head of the pack, the leading incumbents are the legacy infrastructure builders: Mastercard and Visa.
How did these companies prosper when Apple Pay and Google Wallet seemed poised to make plastic cards obsolete? Instead of trying to outrun fintech disruptors and tech giants, Mastercard and Visa partnered with their rivals, to the benefit of all involved. Specifically, they invested heavily in a wide range of application programming interfaces (APIs). An API is a set of official rules and guidelines that lets software exchange information with one another. This allows third parties to tap into Visa and Mastercard’s infrastructure in a way that is both secure and easily accessible.
This strategy helped protect Mastercard and Visa from disruption. Not only do Apple and Google work with the two credit card companies; so do PayPal, Block, Samsung Pay, Facebook Credits, Stripe, and even Coinbase, a cryptocurrency exchange.
The major insight here, then, is that a product’s best feature may not be invented in-house. Visa and Mastercard realized that killer apps were being invented by third parties, who are closer to their customers. Sometimes you compete, sometimes you cooperate, but it’s never a zero-sum game. That’s the new playbook.
The success of Mastercard and Visa wasn’t predetermined. A decade ago, American Express was the largest payment company (now ranked 20th) and had several major advantages: It issues credit and processes its own transactions, earns both interests and transaction fees, and has a closed-loop operation. Unlike Mastercard and Visa, it doesn’t need the backing of JP Morgan Chase or HSBC to underwrite cards. What happened to produce such a reversal for these companies?
By our analysis, American Express’s digital operation had improved over the last decade. But, when compared with its main rivals, Amex’s relative position fell behind. Where Visa and Mastercard surpassed American Express was in exploring new areas while exploiting existing opportunities; American Express, on the other hand, focused largely on short-term exploitation. As a result, it got trapped in its legacy business model, trying to get customers to spend more and stay loyal.
In the pursuit of a new business model, the opportunity to learn is fleeting. Once your competitors explore enough, they will pivot to exploit that new knowledge base to their advantage. So, at all times, you must maintain a healthy portion of activities dedicated to exploring the new, even when early evidence remains unclear, and commit yourself to difficult choices and tough tradeoffs guided by a vision about the future when evidence becomes compelling.
Industry Insight 2: When Everyone Digitalizes, Going “Deep” Differentiates
For a consumer brand, digitalization is not merely about the front-end, online experience — there are a lot of make-or-break technologies to master behind the scenes. Consumers today want to personalize their goods online and have them shipped in days. To make this happen, and to do it profitably at scale, a company must digitalize its entire supply chain. It must automate all the tracking and coordination with external partners. All these facets require new learning.
To keep up with fickle consumer demands, Nike, for instance, leverages advanced data analytics to gather insights around the clock. A cross-channel prediction at the local level allows the company to make markdown and promotion decisions instantly and to move inventories across the country. That’s how consumers can find what they’re most interested in wherever they are.
Meanwhile, Nike’s retail stores increasingly resemble an immersive gallery. Shoes are displayed like art pieces. But far beyond a mere luxury boutique, customers can use the Nike App in the store to gain access to limited release items, fun facts, and reward schemes. This is a prime example of a future-ready brand in sportswear. It employs a digital, direct-to-consumer, and data-driven approach, which annihilates the boundary between the online and physical world.
Universal Behavior 2: Learn Aggressively with a Strong Viewpoint
Companies like Nike, Lululemon, and Hermes rely on a strong viewpoint about the future to guide their learning, exhibiting a high degree of certainty. This set of behaviors — high learning and high certainty — may sound paradoxical, but that’s how visionary leaders update their mental model when new data emerge. These are strong opinions loosely held. We find such outlook associates with a high level of shareholders’ return over the last ten years. These are companies open to experimentation. If pivoting is required, they pivot. And, based on evidence, they commit at scale.
As for Lululemon, its robust digital channel is built upon innovation beyond apparel design. The company holds patents in well-being metrics, a biometric sensor belt, and a three-dimensional texture for the surface of a yoga mat. Then there’s the acquisition of Mirror in 2020: Lululemon bought the startup that sells a $1,500 tech-enabled mirror with a camera and speakers so people can tune into live yoga and fitness classes at home. All the direct-to-consumer relationships helps the company better discern consumer taste and detect new behaviors.
These are big bets that are difficult to commit to — unless, of course, you have a high learning attitude and a top management team aligned with a shared viewpoint about the future.
Industry Insight 3: In a High-Speed Sector, Branch Out Even Faster
It’s an understatement that technology companies are the “fruit flies” of the modern economy. The tech sector operates at a rapid velocity, and executives must pivot quickly to avoid being left behind. Top-ranking technology companies don’t only invest in new technologies; they are biased toward action in branching out to new offerings or entering new verticals. They are willing to acquire new capabilities and wade into the unknown. The subsector of semiconductors in technology illustrates this.
Intel doesn’t rank well at 16th. It has got stuck making microprocessors for PCs, laptops, and servers while its competitors, most notably Nvidia, have capitalized on the surging demands in chipsets for applications in machine learning, autonomous driving, natural language processing, and other A.I. applications.
Intel’s conservatism is understandable; it is the only player in the semiconductor sector that has an enormous footprint of factories, but with that comes the baggage of risk avoidance. It can’t branch out into new businesses without the worry that its factories might stand idle if new products aren’t blockbusters.
Asset-heavy companies are always more conservative, and, paradoxically, when others are asset-light and you are not, you end up being disadvantaged.
Meanwhile, Nvidia has evolved beyond deploying graphic processors only in the gaming sector. AMD, which used to be an underdog on the brink of bankruptcy in 2014, now provides the industry with some of the most powerful processors. Nvidia and AMD both rely heavily on Taiwan’s TSMC to manufacture their leading-edge products. And, because they don’t have factories or fabs, they don’t inherit any sunk cost. They are asset-light compared with Intel and can therefore afford to be agile.
Universal Behavior 3: To Move Quickly, Be Clear with Your Decision Type
Knowing how to make decisions quickly is essential to surviving in a fast-paced industry. But, to do so, you need to identify which decisions are reversible. Amazon’s Jeff Bezos calls such decisions “two-way doors.” You can back out later if you don’t like what you see, so you can go fast on them. The trouble is, as an organization grows bigger, managers tend to uniformly use a heavy-handed approach to scrutinize every decision and slow down the company.
Having a clear distinction in which kind of decision you’re making is the key when change is constant. This distinction is what separates the successful turnaround of Microsoft from the less successful one at IBM when both companies were pursuing cloud computing and A.I. on their enterprise client base.
Microsoft won the day because it harbored a healthy bias for action but remained unfailingly realistic. Its executives focused on preventing catastrophe while they were scaling new businesses, such as cloud computing, augmented reality, and its own line of tablets. A healthy paranoia of what could go wrong guided its decision making, and yet it didn’t stop the company from trying new things. It kept learning in the face of uncertainty. Conversely, IBM was less able to make fast decisions among managers across all levels than Microsoft. That meant that well-intentioned initiatives got prematurely scaled, resulting in offerings ahead of the market or before the underlying technology became robust enough.
Industry Insight 4: Ask How Vertical Integration Can Help You Stand Out
At the Palo Alto headquarters, visitors at Tesla can marvel the dramatic use of vertical integration. Tesla has used integration in places where the automotive ecosystem has underperformed. In the battery technologies, for example, Tesla designed and produced battery suitable for super-charging vehicles with coolant running throughout the entire pack.
More critically, Tesla uses the software muscle to take over more functionalities that used to be located in purpose-built hardware. Elon Musk seeks to work directly with TSMC and Samsung instead of outsourcing electronic components to the conventional Tier 1 suppliers. It tackles technical problems that the existing ecosystem cannot resolve fast enough. It goes beyond the conventional role of an automaker to integrate the hardest problem that needs to get solved.
Universal Behavior 4: Worry Less About Keeping Up and More About Finding a New Viewpoint
Little wonder why automotive possesses the least optimism as a sector. It’s an industry unaccustomed to exploration and experimentation, a conservative sector filled with managers with similar backgrounds. That’s how companies become fixated with keeping pace with the competitor next to them and lose sight of what’s on the horizon.
A good number of automakers still possess a healthy balance sheet to fund new investment. But to move away from mechanical engineering as the dominant know-how and to replace it with knowledge in software and electronics requires a shared viewpoint at the highest level. It also requires experts coming from very different backgrounds. Nike has succeeded in doing this, and so have Visa and Mastercard.
The fear of losing in the near term is very real. But the threat of losing relevance looms even larger. That’s why becoming future ready is straightforward. But it takes courage to drive it.
But equity rounds aren’t the only way for a company to raise money — alternative and other non-dilutive financing options are often overlooked. Taking on debt might be the right solution when you’re focused on growth and can see clear ROI from the capital you deploy.
Not all capital providers are equal, so seeking financing isn’t just about securing capital. It’s a matter of finding the right source of funding that matches both your business and your roadmap.
Here are four things you should consider:
Does this match my needs?
It’s easy to take for granted, but securing financing begins with a business plan. Don’t seek funding until you have a clear plan for how you’ll use it. For example, do you need capital to fund growth or for your day-to-day operations? The answer should influence not only the amount of capital you seek, but the type of funding partner you look for as well.
Start with a concrete plan and make sure it aligns with the structure of your financing:
Match repayment terms to your expected use of the debt.
Balance working capital needs with growth capital needs.
It’s understandable to hope for a one-and-done financing process that sets the next round far down the line, but that may be costlier than you realize in the long run.
Your term of repayment must be long enough so you can deploy the capital and see the returns. If it’s not, you may end up making loan payments with the principal.
Say, for example, you secure funding to enter a new market. You plan to expand your sales team to support the move and develop the cash flow necessary to pay back the loan. The problem here is, the new hire will take months to ramp up.
If there’s not enough delta between when you start ramping up and when you begin repayments, you’ll be paying back the loan before your new salesperson can bring in revenue to allow you to see ROI on the amount you borrowed.
Another issue to keep in mind: If you’re financing operations instead of growth, working capital requirements may reduce the amount you can deploy.
Let’s say you finance your ad spending and plan to deploy $200,000 over the next four months. But payments on the MCA loan you secured to fund that spending will eat into your revenue, and the loan will be further limited by a minimum cash covenant of $100,000. The result? You secured $200,000 in financing but can only deploy half of it.
With $100,000 of your financing kept in a cash account, only half the loan will be used to drive operations, which means you’re not likely to meet your growth target. What’s worse, as you’re only able to deploy half of the loan, your cost of capital is effectively double what you’d planned for.
Is this the right amount for me at this time?
The second consideration is balancing how much capital you need to act on your near-term goals against what you can reasonably expect to secure. If the funding amount you can get is not enough to move the needle, it might not be worth the effort required.
Elon Musk said Sunday he “somewhat agonized” over the font designs for his companies Tesla and SpaceX.
The billionaire businessman added he “loves fonts” and has tweaked the logos over the years.
He revealed the SpaceX logo also holds a hidden meaning, representing a rocket’s arc to orbit.
Get a daily selection of our top stories based on your reading preferences.
In a series of Sunday tweets, Elon Musk said he “somewhat agonized” over his choice of fonts for his businesses and revealed a hidden meaning behind the SpaceX logo.
Responding to a tweet about serif and sans-serif fonts, the billionaire businessman took a break from posting cryptic memes and discussing politics to say he loves fonts and put significant consideration into how his companies are presented to consumers.
“I somewhat agonized over the Tesla & SpaceX font design (love fonts tbh),” Musk tweeted. “There are some similarities, particularly use of negative space. We’ve made many little tweaks over the years.”
The Tesla logo — a T-shaped design with a custom, sans-serif font spelling out the brand name — is meant to resemble a cross-section of an electric motor. The SpaceX logo, written in a similar font with an extended X, references the reusable rockets made by the company.
“The swoop of the X is meant to represent the rocket’s arc to orbit,” Musk tweeted.
Other business logos have also held hidden messages: Baskin Robbins, a chain that sells 31 flavors of ice cream, has a secret ’31’ hidden in the letters of its logo. Likewise, Amazon’s arrow logo is meant to represent a smile, while the circular ‘B’ logo for Beats by Dre represents a person wearing the popular headphones.
Sign up for notifications from Insider! Stay up to date with what you want to know.
The internet has revolutionized the business world and changed how we conduct business. Any business that aims to increase its visibility and boost profit needs to pay much attention to top ranking factors, including local SEO — which introduces the topic of the local search algorithm.
Local SEO is one of the top practices that help boost a business’s visibility and generates more sales.
However, achieving better local SEO rankings is not a walk in the park, especially due to increased competition. To appear higher on local results, businesses and marketers need to understand how the local search algorithm works.
Knowing this helps guide the steps for improving rankings in the local pack.
The competition gets stiffer as more businesses open and optimize for local searching. Besides, Google is updating its algorithm consistently, meaning only businesses that can keep up with these updates can appear at the top of local search results.
Luckily, you have come to this post as this article looks at everything you need to know about Google’s local search algorithm and what you can do to get that top spot in the local pack.
Understanding the local search algorithm
Google aims to provide the best results that match a specific local search query. It constantly updates the local search algorithm to determine which business to rank on top of local search results.
Ideally, Google wants to provide local content that is relevant and valuable to users. As with search engine optimization, keyword stuffing cannot give you that top spot in local search results.
SEO specialists and marketers should consider Google’s local search algorithm updates and make the necessary changes to rank higher. Failure to consider these updates means losing your local search presence, resulting in fewer leads and conversions.
Local algorithms check the Google My Business (GMB) listings to determine where to rank a business in local search rankings.
Ideally, Google’s local algorithm ranks businesses with information that matches a searcher’s query. And the higher a business ranks in local search results, the more chances a potential customer will click on it.
This post looks at the three major pillars that determine local search results to better understand the local search algorithm: proximity, prominence and relevance.
Of course, other factors make up Google’s local search algorithm, but since we cannot identify all of them, we’ll focus on the most crucial ones in this post.
By understanding these pillars, marketers can better position themselves for local search success.
Proximity is one of the major ranking factors when it comes to local search. That means the distance between a business and a searcher is a ranking factor in local search.
When a searcher searches for something, Google considers how far the searcher is from the location of the term they use in the search. When a searcher doesn’t specify the location, Google calculates the distance based on the information they have regarding their location.
Ideally, Google aims to provide the most relevant results to a search query. For instance, why would Google provide a list of coffee shops in Los Angeles if the searcher is searching from Colombia?
That would be irrelevant local search results that won’t benefit the searcher.
Unfortunately, while proximity is a major local search pillar, it’s one of the factors that businesses have little control over. After all, you cannot change where your business is located, right?
You can only ensure your business location is as clear as possible, so that it appears for related nearby queries. Here are steps you can take to achieve this:
Claim and verify the Google My Business listing
Ensure local listings are accurate and optimized for local products or services
Get the Google Maps API Key and optimize for your location and routes
Set up your profile correctly (for Service Area Businesses) to avoid violating Google’s guidelines
Users can perform several types of local searches, including:
Users will perform geo-modified searches when they are planning to visit somewhere. For instance, a searcher in Los Angeles planning to visit Toronto, Canada, may search for a “coffee shop in Oakville.” The results will differ from if they searched for “coffee” while physically in Oakville.
To be specific, geo-modified searches are mainly based on relevance and prominence as opposed to proximity when a user searches for something when outside the city included in the search.
Searchers perform this type of search when looking for something around them. For instance, a user in Los Angeles performing a local search for “coffee.”
Ideally, the user only needs to search for something and is shown results based on proximity. They will get the results that are closest to them.
“Near me” searches
“Near me” searches have been so popular in recent years. Although their popularity has significantly declined, users still perform this type of search when looking for something locally.
For instance, some users could add “near me” when searching for a coffee shop, hoping to get the most relevant results near them. As we’ve stated, this trend has lost popularity because when you perform a local search, you are searching for something near you.
It is not necessary to add “near me” to what you’re searching.
Prominence refers to how important Google thinks your business is, which gets factored into the local search algorithm.
In other words, it refers to how well a business stands from the rest in various aspects, including directories, links, reviews, mentions, among other things.
If search engines view your business as trustworthy and credible, they will likely show it on top of related search query results.
The local search algorithm views businesses/brands with a stronger online prominence as credible and trustworthy. Some of the factors that determine prominence include:
A local citation is the mention of a business’s information online. The mention can include the partial or complete name, address, and phone number (NAP) of a local business.
Citations are an excellent way for people to learn about local businesses and impact local search results.
A business with high-quality citations can rank better in local search results, although businesses must continually manage citations to ensure data accuracy.
Backlinks play a crucial role in local business prominence. Gaining relevant backlinks from high-quality sites is an excellent way to build a business’ online reputation.
If you’re trying to outrank your competitors without much success, your backlink profile could be the reason.
In that case, you should check your competitor’s backlinks and compare them with yours. When doing this, pay attention to the number and quality of their backlinks.
As a rule of thumb, aim to have high-quality local backlinks pointing to your site to improve your page’s authority.
Next, you need to pay much attention to reviews to improve local prominence. Many customers look at a business’s online reviews before deciding whether to engage more with the business or not. Besides, many positive online reviews can increase a business’ ranking factors.
Consider this scenario. A potential customer is looking for a pub around Oakville. When they perform a search, they are presented with two results: one with over 100 reviews and another with less than 10 reviews.
Which business do you think the searcher would trust? The one with 100 reviews, obviously.
As with search engines, customers need to trust a business before they decide to do business with it. Similarly, search engines can view online reviews and analyze them to determine a business’s online prominence.
That said, here are strategies you can use to boost your online review signals:
Have a strategy
You won’t have a strong online prominence if your products or services are not of a high standard. So, the first step to having many great reviews is to develop great products and services.
After that, develop a strategy to encourage your happy customers to leave honest but valuable reviews of their experience doing business with you to help boost your online reputation.
Monitor and manage the reviews
Having many reviews is one thing; you need to develop a plan to engage with your customers for better results. Responding to reviews shows people that you care and are genuine about your products and services.
People will avoid businesses that don’t respond to customer reviews (whether positive or negative).
Search engines, too, can tell whether you engage with customer reviews or not and will use the information to determine where to rank on local search results.
When responding to online reviews, pay special attention to negative reviews and how you respond to them. While no business likes getting negative reviews, how you respond to them can positively impact your business — respond positively to turn the negative reviews around.
As earlier stated, Google wants to provide the most relevant results to a local search query. This key ranking factor will determine a business’s position in local search results — how well does a local business match a search query?
Even if your business ticks the above pillars (prominence and proximity), if the content on your page isn’t well structured and doesn’t cover the topics that a searcher is looking for, you won’t appear on top of local search results.
Here are factors that businesses should consider to create a relevant listing:
Local page signals
Local listing categories and attributes
Social posts and responses to online reviews
Local listing signals and categories
A business GMB listing and category can impact its relevance score for local searches. As such, complete your business profile carefully and continually add quality content to the web page to ensure it is relevant for proximity searches.
More specifically, ensure that all information on all listing pages, including Yelp, Bing, and Google, is complete and accurate. Aside from these factors, here are two crucial features you should pay attention to:
Selecting the right categories for your local business listing is among the crucial factors for ranking locally. With over 4000 GMB categories, you want to choose categories that best describe your business — ensure they are relevant and specific.
Here are guidelines to follow when selecting a category:
Describe your business as opposed to your services
Be specific to minimize competition
Reduce the number of GMB categories to describe your business better
Without a proper description, users won’t know what your business is about. This section is about adding an introduction to your business so that customers and search engines can know more about your business.
However, don’t use this section for marketing your business. Just give users and search engines descriptive info that can help determine whether your business matches their needs.
Local page signals
Another way a business can improve its standing in the local search algorithm is by optimizing web pages for specific keywords. For multi-location businesses, it’s essential to have separate, localized pages for each location, with relevant information and contact details for customers to reach you.
Performing competitor research is advisable to determine what terms or keywords to use for a specific query. Here are top on-page signals to consider when trying to gain relevance for a given topic:
Keyword research — Before creating local content, you need to find keywords that matter to your business. Perform keyword research to determine highly relevant keywords with high intent. When finding relevant terms to use in your content, base your research on the customer perspective; think about what they search for and the type of content they are looking for.
Create local content — After finding the right keywords, it’s time to create your content. Google values the quality of content more than the length of the content, so keep this in mind when creating content. Another crucial thing to pay attention to is localizing the content. For example, you can create content on local news and events or use your city’s name within your content.
The goal is to create a connection between what’s happening in your local area and your business. Also, use pictures with your specific geolocation to increase your content relevance.
Creating quality and relevant content is only the start. You need to optimize your content for on-page signals so local search algorithms can discover and rank them better. Here’s how you can optimize your local content for on-page signals:
Meta descriptions — Include keywords in your meta descriptions to encourage searchers to click through and increase visibility
Title tags — Title tags are some of the factors that search engines use to determine where to rank content. Incorporating keywords naturally in your title tags can help boost local rankings
Image tags — Another way to improve local rankings is by including relevant keywords in your image tags. Including geotags also comes with an added advantage
Headings — Users and Google value pages with clear structures. Consider creating headings within your content to capture readers’ attention and encourage them to read on. However, ensure your heading tags describe the content that comes after them well. Also, include keywords in your heading tags to help search engines understand them and their importance.
Off-page local signals
Gaining high-quality backlinks is a great way to boost credibility and trust. Backlinks refer to external links from another website to your site. Aim to have more high-quality backlinks to boost your website authority.
Ideally, having many quality backlinks shows search engines that your website or page is credible and trustworthy, which boosts the chances of ranking it higher in search engine results.
Guest posting is one of the best examples of link-building strategies you can use. Finding great guest posting opportunities provides an excellent opportunity to share your content to a new but relevant audience, which helps boost your website authority.
Another strategy you can use is to create longer and better content than what is already available on the web. When your content is high quality and relevant, it will be easier to get high-quality backlinks.
Review and social signals
Online reviews can also help boost relevance for your local business. Aim to get as many positive reviews from your happy customers as possible.
Remember, when customers perform a local search, they get not only the relevant businesses but also reviews related to the search. The more positive reviews a business has, the higher chances a potential customer will do business with them.
Closing thoughts on the local search algorithm
Ranking on top of local search results can seem daunting, but it shouldn’t when you know the vital things to focus on. As you have seen above, the local algorithm is based on three pillars: relevance, proximity, and prominence.
Of course, other factors determine local search rankings depending on your industry and competition.