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InterActiveCorp’s Citysearch has partnered with Marchex to bring its local business listings and reviews to Marchex’s growing network of about 150,000 local websites. Citysearch will provide Marchex with local content, including paid business listings, user-generated reviews and videos. This is a win-win for both companies as Marchex will get more content for its geographic domain names and Citysearch will get click-through visits from Marchex’s sites as well as new advertising clients.

Citysearch has recently made similar deals with AOL and Local.com.

“Our strategy is to have a select group of partners who will bring to our advertisers qualified eyeballs,” said Citysearch CEO Jay Herratti. The arrangement with Marchex is a way for Citysearch to reach a “hyper local” audience for its advertisers, and make Marchex destinations, “more content rich,” he added.

Citysearch’s sales team shall also help Marchex with becoming less dependant on pay-per-click company Yahoo. The PPC market has taken a hit in 2007, with Google’s stock already reflecting the decline in PPC revenue, and left domain portfolio owners with the decision of how to make up for the loss in domain parking revenue. I’m sure Marchex and other holders of large domain portfolios have experienced a decline in click prices, too. Therefore, partnering with other companies for more ways of monetizing its domains’ targeted traffic has been a wise decision:

Peter Christothoulou, Marchex’s chief strategy officer, affirmed that Citysearch’s sales team is part of the appeal for the local publisher. “It’s important… that the people we partner with are the ones who have scale at the local level,” he said. “It’s not just about relevant content; it’s also about having the right advertisements.”

As I’ve said before, local search and content networks will be huge. Especially with the upcoming of mobile web surfing. Marchex has valuable domain assets, good partners and lots of rich content, so the company should be in a good position to grow in the future. So, why is it that Marchex’s stock price has almost continually fallen since January 2006?

(via ClickZ.com)