The Company
Guinness Telli*Phone Corporation, a public company trading under the stock symbol TELI, was incorporated in the state of Nevada in 1992 for the purpose of developing Internet software systems to establish the first network of "locally owned and operated" online search directories focused on community business, entertainment and events that provide advertisers with a greater return on their advertising investments.
After years of research and development and thoroughly testing our products, services and marketing strategies, we now plan to exploit the recent enormous growth in local Internet advertising by duplicating our success in Marin County and establishing search engines in communities throughout North America.
Management
Lawrence Guinness, founder and developer of Telli systems, has 40 years experience in managing various successful media ventures. Patrick Guinness, President of Guinness Telli*Phone Corporation, has developed and continues to develop all Telli software systems.
They are supported by a management team consisting of a community newspaper publisher, an award-winning advertising director, a management executive with a background in franchising operations and a CFO experienced in administering the financial operations of small and medium-sized businesses.
The Telli Directory
Telli Directory software is packaged in simple-to-operate systems on Telli servers. Initial business listings and monthly updates are downloaded from software provided to us by the local telephone companies. Movie listings and schedules are provided directly though a data feed. People who operate businesses not listed in the local phone directory can post their own listings in Telli Directories at no charge and update them at any time.
Unlike global search engines that offer only lists of website links, a local Telli Directory provides extensive categories with pertinent details on all businesses and organizations in a community. People have the opportunity to post additional listings, event information and classifieds for free.
The Telli Directory is powered by both a search engine and simple menu-driven search software so people can instantly target everyday products and services in their community without spending time surfing through large amounts of irrelevant global information.
Telli Directories offer local organizations the opportunity to highlight themselves by subscribing to an inexpensive, high-profile, community advertising platform and using simple "do-it-yourself" web design tools to create colorful business ad TelliPages, coupons and instantly updateable advertising programs.
The first Telli Directory, Telli Marin, is accessible at www.telli.com and covers Marin County, CA (Population: 250,000), a suburban area next to San Francisco.
Telli Marin contains 3,600 categories and 22,000 Marin listings with an annual growth rate in users and revenues of 40%. Presently, people view over 10,000 Telli Marin listings every day.
The Marketplace
Local advertising represents a $100 billion "offline" market in the U.S. that includes yellow pages, direct mail, newspapers, local television and radio, all of which is addressable by the Internet.
It has been reported that 80 percent of a retailer’s sales is from customers who reside within 2.5 miles of their locations. The Kelsey Group reports that local search is growing faster than general web search with 43 percent of search engine users seeking a local merchant to buy something offline.
Although just 5.6 percent of sponsored links on the major search engines were bought by local advertisers two years ago, today they're purchasing 36 percent of all such ads.
Internet advertising revenue grew by 35 percent in 2007 to $16.9 billion. Revenue from local Internet search advertising reached $5.7 billion in 2006 and is expected to jump to $22.1 billion in 2011 (The Kelsey Group).
In the United States alone, there are an estimated 23 million small businesses in an endless array of categories. Telli plans to "lock-up" this marketplace through local representation and build a solid customer base through community relationships.
Presently the major search engines like Google scan Telli Marin over 300,000 times every month to acquire new Telli links for their sites, which in turn provides additional Internet exposure for Telli advertisers.
A 2006 Local Search Advertising report from research firm Borrell Associates reported that a local search company established like a large TV network with multiple local affiliates could more readily establish a strong foothold in individual communities than nationwide players.
"Google doesn't have that" commented Borrell. "Local media and search firms that work from a truly local level would relegate everybody else to mere content providers."
Local Directory Operations
Through the Telli Administrative Software, local management and sales teams can manage local Telli Directories focused on their communities from a personal computer connected to the Internet; Guinness provides the technology and automated billing and Telli Licensees and Franchisees provide the marketing and promotional support.
They will establish themselves as local online-marketing and advertising professionals within their communities and build a base of Telli advertisers by assisting clients in preparing TelliPages and search advertising programs.
Marketing Telli Directory Local Advertising & Search
Targeting local marketplaces makes it possible for Telli to build a critical mass of users in each area with minimal effort and expense, and managing many Telli Directories under common guidelines reduces the cost of promoting each directory.
Choosing management with local media and advertising experience provides Telli with sales teams familiar with the territory and design personnel to assist customers in creating and maintaining TelliPages.
Telli Directory Advertising Customers
Existing local advertising and listing services do not offer the simplicity and do-it-yourself opportunity for instant target-marketing and communications provided by Telli.
Most Internet search engines only provide links to websites, and placing advertising on them is expensive and time consuming. Therefore, significant information on the Internet is available only from those organizations that can afford the large investment required to establish and maintain websites and promote them.
Our current and potential customers are businesses providing local retail goods and professional or household services, including local clubs, leagues and associations.
Telli provides a free listing service and inexpensive advertising platform for organizations that have no need to advertise outside their area on the Web and don’t wish to pay the high web-design and advertising fees associated with the global Internet marketplace. However, Telli also offers organizations with websites a directory that increases the number of local visitors to their websites.
Telli Directories offer schools, clubs, groups, and associations a platform their internal staff and parent volunteers can use to keep parents and their members continually informed of changing schedules and last minute events through TelliPages created using their own computers and Telli’s simple web-design tools.
Organizations with websites can also display links to TelliPages on their websites and keep them up-to-date by updating their TelliPages themselves without paying maintenance fees to web designers (See "Daily Updates" at www.cagehockey.com).
The Competition
Search engine giants such as Google, Yahoo and Microsoft are investing heavily in ways to make it easier for small businesses to appear online by adding more consumer information about nearby businesses to their local services.
By enhancing the local marketplace, these companies hope to build hubs of consumer activity that, in turn, will be magnets for advertisers, including the millions of small businesses at the heart of the $100 billion-plus local advertising market.
Telli Internet Franchising
Telli has contracted Francorp to assist with the development, regulatory filing and marketing of Telli's franchising operations. Francorp's legal department is completing the appropriate documentation and filing applications for franchise registration with the FTC and for those states requiring such registration.
Patents, Trademarks, Licenses, Franchises & Concessions
Our success and ability to compete in the marketplace is dependent in part upon our proprietary technology. Principally, we are a publisher of information and therefore rely on trade secret and copyright laws of the United States and other countries to protect our content, authoring systems and programming technology. To distribute our works we lease existing Internet servers from computer hardware developers and manufacturers.
The Telli logo is patented with the U.S. Patent and Trademark Office, and all our software is protected by copyright law. We do not feel that any patents or trademarks, except for the above, that we may hold or may apply for in the future will affect materially our ability to create information or distribute that information to the marketplace.
We feel that the success of our business is dependent on the kind of information we distribute and not on the technology used to distribute it. We believe that factors such as the technological and creative skills of our personnel, new product developments, frequent product enhancements, name recognition and reliable product maintenance are more essential to establishing and maintaining a technology-leadership position.
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