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Increasingly, you don't even need to specify a location. Try a search for 'plumbers'. Do you see local results in there? If so, google has had a guess at your location, based on the rough location of your internet connection (based on your ip address).

The results with the map markers are 'google places' results. As the web becomes more personalised, and search engine results become more relevant and customised to your situation and location, these results will become increasingly important for businesses with a local market.
If you haven't already claimed a listing on google places, now's the time - they'll send a postcard out as verification of your address, which takes a couple of weeks usually, so don't put it off any longer!
First off - check if your business is already listed, a lot of businesses are - imported from various sources to bulk out the listings when google local places was first launched. Just run a search for your business name and location - you should show up on the map if you're already included in the listings.
If you're already in there, that's handy - you can just claim your listing. If not, that's fine too - you'll just need to add a new listing yourself.
If your business is already on there, click the "place page" option as shown below:

That'll take you through to a page where you can click 'Business Owner?' on the top right, as below:

If you don't already have a listing - click here to open the local places page in a new tab or window, and choose Get Started under the "Get your business found on Google" section on the right.
Okay - so whether you were already on there or not, you should now be ready to claim your listing on google places.
You need a google account to do this, so set one up if you haven't already - it's a handy thing to have and gives you access to a load more useful tools to help get your online presence working for your business.
I'm not going to walk you through it - as it's a fairly straightforward procedure - the main thing to remember though, is add as much information as you can. Opening hours, payment methods, photos - if you can fill it out, do so, as the amount of information on there counts towards your listing's 'completion', and the completion percentage is a consideration in the ranking of your listing on google.
So add pictures, add extra things at the bottom where it gives you the opportunity. Make sure your core services are represented in the main area, and choose a representative and truthful coverage area - don't say you cover the whole of Scotland if you don't - it'll just dilute the effectiveness of the tool - this is for potential customers who are searching locally. Your main website can handle the queries from a wider audience, provided it has been optimised properly. (make sure you include the link to your main website too!)
All done - now what?
Right - so you've filled out all the information you possibly can? - after you've done so, you'll need to verify that you are actually where you say you are.
Google uses a number of different methods for this - if you were already listed, you might get the option of an automated phone call where a google robot reads you a code you then use to verify your account. If it's a newly set up listing - you'll probably only get the postcard option though. Make sure the details are correct and ok the option - they'll send you the postcard out fairly quickly, it says up to 6 weeks, but usually arrives within a fortnight. Once it arrives, log back in with your google account again here, and input the code that was on the postcard they sent.
You're listing should now be live.
You'll be able to check some basic analytical stats for your local places listing once it's claimed:

You can tell how many times your listing has been displayed, and how often it has been clicked on over a given time period.
You can also add offers for customers who find you via your local places search - you can add vouchers they can print out, or download to their phone and show to you for redemption.
One of the key factors that seems to drive the ranking of local places results is the number of positive reviews your page has, so as soon as it's live and you have a happy customer, start asking for reviews on your google places page. I normally build in a link to the local places page from the contact page on the sites I build - using text along the lines of "we welcome customer feedback - please click here to add a review". It makes it a bit easier to direct happy customers to the correct place to leave you a glowing review.
That probably sums up the core of getting your business on google places. There are lots of benefits now, and the prominence given to these local search results by google means that you're missing out on a lot of potential business if you're not on there (optimising the listing by adding information vs. the standard bare bones listing will help you rank better, and should increase conversion from search to lead). It'll also become increasingly important in the future too, already, google are testing out geographically targeted offer sites (similar to groupon) in the USA. They're still in the early stages, but it looks very likely that they'll be coming to the UK, and that the information on your local pages listing will be of importance in terms of participation. Aggregation of local offers in a centralised, local portal - should be interesting!
They're also in the process of adding internal 360 degree photography to businesses with local places listings (similar to streetview). It's being tested in London only at the time of writing, but won't be long before it spreads across the UK. Have a look at this page for more info.
Finally - here's a video in which one of the google places team explains some of the factors that go into the ranking of places results:
Anyway - that should be one more step done in optimising your online presence. Give me a shout if you need a hand with any of this stuff, or if you'd like to talk about your business and it's online presence as a whole.
Written by Mark Proctor