Pay-Per-Call Ad Spending Projected to Reach $8.1 Billion by 2018

Local Corporation (NASDAQ: LOCM), a leading online local media company, today announced that it has launched a mobile pay-per-call lead generation network.

The new network connects online and on-the-go consumers searching for local businesses and services in specific categories with relevant advertisers who provide those services via pay-per-call ads. Based on the valuable pay-per-call ad model, the network provides advertisers with a new channel to generate quality consumer leads in local markets and convert them to customers via mobile.

The network generates leads for top auto insurance, home security and home service providers. The company plans to expand the network to additional verticals, including education and consumer finance.

A recent forecast commissioned by Local Corporation and conducted by Borrell Associates, estimates that online pay-per-call ad spending will grow from $1.7 billion in 2013 to $8.1 billion by 2018. The forecast also estimates that use of pay-per-call advertising among U.S. businesses that market online is projected to more than double by 2018.

“Advertisers are continually looking for new ways to harness consumer demand for their products and services. The mobile pay-per-call lead generation ad model allows them to reach these consumers and convert them into customers,” said Michael Sawtell, Local Corporation president and COO.

Local Corporation has been issued five patents related to pay-per-call advertising solutions, including U.S. patent number 8,359,049, which is directed to various aspects of mobile, pay-per-call directory assistance and advertising systems and/or methods.

“With industry experts projecting that within five years, 80 percent of local searches will be done on a mobile device1, we believe the pay-per-call mobile lead generation ad model will be a crucial component to monetize these local consumers on mobile devices,” added Sawtell. “Our new mobile pay-per-call lead generation network leverages our valuable intellectual property to take advantage of this rapidly growing segment.”

About Local Corporation

Local Corporation (NASDAQ:LOCM) is a leading online local media company that connects brick-and-mortar businesses with over a million online and mobile consumers each day using a variety of innovative digital marketing products. To advertise, or for more information, visit: http://localcorporation.com.

Forward Looking Statements

This press release contains certain forward-looking statements that are based upon current expectations and involve certain risks and uncertainties within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Words or expressions such as “anticipate,” “plan,” “will,” “intend,” “believe” or “expect” or variations of such words and similar expressions are intended to identify such forward-looking statements. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties, and other factors, some of which are beyond our control and difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements. Key risks are described in the filings we make with the U.S. Securities and Exchange Commission. The forward-looking statements in this release speak only as of the date they are made. We undertake no obligation to revise or update publicly any forward-looking statement for any reason. Unless otherwise stated, all site traffic and usage statistics are from third-party service providers engaged by the company. Traffic and our monetization of that traffic combine to determine our revenues for any given period. Our traffic volume alone for a period should not be viewed as demonstrative of our financial results for such period.

1 Borrell Associates

Investor Relations and Media Relations Contact:Local CorporationCameron Triebwasser, 949-789-5223ctriebwasser@local.com

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