Yelp Inc. (NYSE:YELP) Q2 2019 Earnings Conference Call - Final Transcript
Aug 08, 2019 • 05:00 pm ET
Yelp Reservations in their way.
Got it. Thanks for the color.
The next question comes from Shweta Khajuria with RBC Capital Markets. Please go ahead.
Okay. Thank you. Lanny, first of all, congratulations and all the best and good luck with your new role. Looking forward to speaking with you in the next capacity. Two questions, please. One on the multi-location national accounts. So the annual revenue retention there with those businesses exceeded 100% in the quarter. Could you talk about, first of all, the sales growth in that segment? Last quarter, it was over, I believe it was 35%. What was it this quarter?
And second, what drove that retention? Is it the sales force efforts? Is it the product improvements? Combination of both? Could you talk to that? And then the second is, can you please update on the size of the three, to the local Self Serve and multi-location and national? I know you've shared that in the past. Could you please update us on that? Thank you.
Sure. Hi, Shweta. This is Jed. I'll take the first one, and then Lanny will take the second one. In terms of the multi-loc growth, in our top segment, which would be kind of the national enterprise segment, we've grown that segment about 30% since the beginning of the year in terms of head count. Obviously there is a ramp to that. It's not longer sales cycles on the enterprise side. But we feel really comfortable in our positioning in terms of that growth.
At an account level we're seeing existing clients who continue to spend more, and we're also bringing in new clients. I would say, it is a combination of both that is driving growth in that segment. And I guess, Lanny on the next one.
Sure. In terms of the revenue composition, one thing we included in the shareholder letter is a breakdown of revenue within the multi-location category. Hopefully, you've seen that, and I'll just send you there to understand exactly what the multi-location category is composed of. Our advertising dollars continue to be roughly 25% from the multi-location side of things, the rest coming from local SMB. And in terms of the grand total, a little -- low-double digit, little bit more than 10% of the revenue from the Self Serve channel though I'd point out that the rep sold local business and the Self Serve are really one segment of customers.
Okay. Thank you, both.
The next question comes from Tom Champion with Cowen & Company. Please go ahead.
Hi. Good afternoon. And Lanny, congratulations and best of luck going forward. It's been great working with you. I'm curious if you could elaborate a little bit on the product improvements, and may be other factors that are improving churn. Any additional detail there would be really helpful? And then just if you could provide any more context on these new products like Verified License and Business Highlights, and I guess portfolio, just any