ReachLocal Expands International Footprint in South America

Company Opens Office in Sao Paulo, Brazil

WOODLAND HILLS, Calif.--(BUSINESS WIRE)--ReachLocal, Inc. (NASDAQ:RLOC), a leader in local online marketing solutions for small- and medium-sized businesses (SMBs), today announced it opened its first South American office in Sao Paulo, Brazil, marking the eleventh country in which it operates.

“Brazil is known for high levels of entrepreneurship and SME activity, which makes it an ideal location for the company and hub for expansion in the region.”

The company chose Brazil as its first presence in the region because it has the fifth largest online market with nearly 90 million Internet users⁽¹⁾. The country is expected to have rapid online growth due to high rates of mobile and social media use⁽²⁾. In addition, the online advertising spend in Brazil was $804 million in 2011⁽³⁾.

“We are continuing to grow our international footprint and help more local businesses to acquire, manage and retain customers online,” said Nathan Hanks, co-founder and President of ReachLocal. “Brazil is known for high levels of entrepreneurship and SME activity, which makes it an ideal location for the company and hub for expansion in the region.”

With the addition of Brazil, ReachLocal’s global presence now includes North America, Europe, Eastern Europe, Asia Pacific, and South America.

Jose Coscelli is the CEO of ReachLocal Brazil. Prior to joining the company, Mr. Coscelli served as Chief Operating Officer of Globalweb Brazil, a cloud computing company. From 2006 to 2009, Mr. Coscelli was Vice President Sales of Dedalus Prime, an outsourcing provider. From 2001 to 2006, Mr. Coscelli served as Sales Director of Siemens LTDA Brazil.

For more information about ReachLocal, visit http://www.reachlocal.com, follow us at http://www.reachlocal.com/social, or email [e-mail].

About ReachLocal, Inc.

ReachLocal, Inc.'s (Nasdaq:RLOC) mission is to help small- and medium-sized businesses (SMBs) acquire, maintain and retain customers via the Internet. ReachLocal offers a comprehensive suite of online marketing solutions including search engine marketing (ReachSearch™), Web presence (ReachCast™), display retargeting (ReachRetargeting™), display advertising (ReachDisplay™), online marketing analytics (TotalTrack®) and assisted chat service (TotalLiveChat™), each targeted to the SMB market. ReachLocal delivers this suite of services to SMBs through a combination of its proprietary technology platform and its direct, "feet-on-the-street" sales force of Internet Marketing Consultants and select third-party agencies and resellers. ReachLocal is headquartered in Woodland Hills, CA, with offices throughout North America and in Australia, the United Kingdom, Germany, the Netherlands and Japan. Subscribe to ReachLocal's free newsletter to receive news, tips, and other online marketing insights.

⁽¹⁾ http://www.newmediatrendwatch.com/world-overview/34-world-usage-patterns-and-demographics
⁽²⁾ http://www.newmediatrendwatch.com/markets-by-country/11-long-haul/42-brazil
⁽³⁾ https://sites.google.com/site/globalbusinessmap/

Caution Concerning Forward-Looking Statements

This document includes certain forward-looking statements. These statements are based on the current expectations or beliefs of management of ReachLocal and are subject to uncertainty and changes in circumstances. Actual results may vary materially from those expressed or implied by the statements herein due to (1) changes in economic, business, competitive, technological and/or regulatory factors, (2) failure of the AdWords strategic relationship with Google to produce expected results; (3) failure to compete successfully in a highly competitive and rapidly changing marketplace, (4) failure to retain key employees, and (5) other factors affecting the business operation of ReachLocal. More detailed information about these and other factors that may affect current expectations may be found in filings by ReachLocal with the U.S. Securities and Exchange Commission. ReachLocal is under no obligation to, and expressly disclaims any such obligation to, update or alter its forward-looking statements, whether as a result of new information, future events, or otherwise.