The document summarizes key findings from Borrell Associates' Q4 2012 SMB survey of over 1,750 small and medium businesses. Some highlights include: 1) Most SMBs (54%) plan to spend the same amount on advertising in 2013 as in 2012, while 20% plan to spend more and 16% plan to spend less. 2) SMBs expect to increase spending on online advertising and stabilize spending on newspapers and radio in 2013 compared to 2012. 3) Newspapers and online media are the most popular types of advertising purchased by SMBs, chosen by 64% and 62% of respondents respectively. 4) Facebook is the top choice for SMB online advertising spending in 2013, chosen by

2. About this data
The following slides offer a few highlights from Borrell’s Q4
2012 SMB survey. The full set of results are available in “2013
Local Advertising Outlook: Get Ready for the Rebound,” which
can be downloaded at www.borrellassociates.com.
These slides are copyrighted by Borrell Associates Inc. They
may be used without permission as long as they carry the
following credit in legible type:
© 2013 Borrell Associates Inc; SMB Survey, Wave 10, Q4 2012
© Borrell Associates, Inc. SMB Survey Wave 10, Q4 2012

3. Methodology
Borrell has been polling local advertisers year-round with the same basic questions since 2010. We occasionally
add or delete certain questions to keep the information current and relevant. We have conducted tens of
thousands of surveys using this basic question set over the past three years.
The results described in Chapters 2 and 3 and in Appendix A in this report were extracted from 1,756 interviews
conducted between Dec. 10, 2012, and Jan. 3, 2013.
We conduct our surveys principally through media partners who solicit responses from their advertising clients and
prospective clients. Invitations are sent directly by the media participants on behalf of Borrell Associates. All
interviews are conducted via online survey forms. Media partners participating in this round included local radio
stations, newspapers, magazines, and internet pureplay companies in various U.S. regions.
Respondents are offered the incentive of winning an iPad and receiving a summary of the results. We compile
summaries and award an iPad quarterly.
Response rates for this round were 10% to 20%, with a 57% of respondents completing the full set of 46
questions. A sample of 1,756 respondents has a margin of error of 2.5% at the 95% confidence level.
More information and details available by contacting Greg Harmon at
gharmon@borrellassociates.com or calling 1-757-221-6641.
© Borrell Associates, Inc. SMB Survey Wave 10, Q4 2012

4. Most SMBs plan to spend the same this year
2013 Ad-Spending Expectations
54%
20%
16%
11%
Plan to spend more Plan to spend same Plan to spend less Don't know
Q 5. Compared with what you spent on advertising in 2012, will you spend more money, less money, or about the same in 2013? N = 1,686
© Borrell Associates, Inc. SMB Survey Wave 10, Q4 2012

5. Online grows; newspapers & radio may stabilize
49% 49%
Increase
Same
Decrease
38% 38%
35%
33%
www.borrellassociates.com
28% 28%
26% 26%
25%
23%
21%
18%
14%
12%
11% 10%
8% 8%
7% 6%
6% 6%
5% 5% 4% 4%
3% 2% 2% 3% 3%
Q 7 Thinking of your total advertising budget, as compared with 2012, do you think your spending will increase, stay the
same, 6. or decrease in the following categories in 2013: Max N = 1,191
© Borrell Associates, Inc. SMB Survey Wave 10, Q4 2012

6. SMBs favor newspapers and online media
Media Advertising Purchased
64% 62%
54%
45%
www.borrellassociates.com
36% 34%
29%
24%
19%
17%
13%
5% 3%
Q 6 What do you best estimate the PERCENTAGE of your ad spend will be in 2012 for each media listed?
[Amounts should total to 100%.]Overall N = 1,166
© Borrell Associates, Inc. SMB Survey Wave 10, Q4 2012

7. Facebook is top choice for 2013 online spending
Place ads directly with Facebook 28%
Run-of-Site banner advertising 25%
Sponsorships 16%
Geo-, behavioral, or other targeted display 13%
Streaming video ads 10%
Display ads with audio 9%
Video in online ads 8%
Other online advertising and marketing 5%
No plans to spend on online advertising 42%
Q11. On which types of online advertising do you expect to spend money in 2013?
N = 1,028
Source: © Borrell Associates, Inc. SMB Survey Wave 10, Q3-4 2012

8. Steady growth in use of Social Networks
79%
67%
64%
58%
45%
Percentage of SMBS with a Social Network presence
Summer 2010 Holidays 2010 Q1 2011 Q2 2011 Q4 2012
Q 13 Does your company maintain a Social Network site or page?
2012 N = 968
Source: © Borrell Associates, Inc. SMB Survey Wave 10, Q3-4 2012

9. Mobile is being pitched, but only ¼ are buying
Pitched Mobile Conducted Mobile
Don't
know
10% Don't
know 3%
No 43%
Yes 24%
No 79%
Yes 58%
Q 17. Has your company been pitched by any vendors to conduct mobile-
Q. 20. Have you conducted any advertising or marketing
based advertising or marketing campaigns or campaigns with mobile
campaigns using mobile in the past 12 months? N = 944
elements in the past 12 months? N = 554
9
Source: © Borrell Associates, Inc. SMB Survey Wave 10, Q3-4 2012

10. Once they use mobile, they might be hooked
Likely Use - If Already Used Likely Use - If Not Used
45%
30%
28%
38%
23%
12%
9%
7% 6% 6%
Very likely Somewhat Not very Not at all Don’t
likely likely likely know/Not Very likely Somewhat Not very Not at all Don’t
sure likely likely likely know/Not
sure
Q 19. How likely is it that you will incorporate mobile elements in your
Q 22. How likely is it that you will incorporate mobile elements in your
advertising and marketing efforts to reach potential customers in 2013?
advertising and marketing efforts to reach potential customers in 2013?
Used Mobile N = 245
Not Used Mobile N = 757
10
Source: © Borrell Associates, Inc. SMB Survey Wave 10, Q3-4 2012

11. Details at www.borrellassociates.com