To provide some additional color, let me walk down the P&L starting with the revenue mix. As a quick reminder we break revenue into three categories. One local, which includes enhanced profile pages and performance and impression based advertising. Two, brand, which includes display advertising. And three, other, which includes Yelp Deals and other commerce related revenue.
For the second quarter, local revenue was $25.3 million up 89% year-over-year. Brand revenue was $5.7 million up 27% year-over-year. Other revenues flat year-over-year at $1.7 million, given our transition from email deals to deals on the site. That said, we now have around 35,000 deals on the site, most of which are self-serve where merchants are signing up on their own.
Our customer repeat rate defined in the percentage of current customers who advertise with us in the past 12 months was 70% this past quarter consistent with the first quarter 2012 and second quarter of last year.
Gross margin was consistent at 92% as same as last year’s 2Q. Sales and marketing was 62% of revenue compared with 63% last year. Sales and marketing is both a primary point of investment for growth as well as the greatest point of operating leverage as we move towards our target model. We’ve grown sales and marketing head count above 50% over the last year reflecting our continued investment in opening new markets with our Community Manager program and adding new sales associates.We invested approximately $2 million in the quarter in overseas market compared with $1.2 million in the same quarter last year, and $2.4 million in the first quarter. As a reminder, virtually no revenue has come from overseas market. In fact, we are only generating revenue in 3 out of our 17 countries that we operate in, which we see as an opportunity.Read the rest of this transcript for free on seekingalpha.com
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