Craigslist Boosts Business Traffic

Online Classifieds Replace Newspaper Ads

Toby Jennings still gets compliments about his bike: a Marin commuter with a lightweight aluminum frame. In stores, the bike runs for $400 to $500. But Jennings didn't buy it in a store. He bought it on Craigslist. And he only had to shell out $125, plus $10 in repairs.

"People still tell me how nice the bike is," Jennings says. "It was a steal."

Online Classifieds Growing

Jennings has only used Craigslist a few times, but after finding an awesome bike, and a decent laptop for a fair price, he's a fan. Jennings uses the site because it whittles away his reliance on big business, letting him buy and barter from people instead. Plus, Craigslist is free.

Craigslist's features-- free access, convenience and links to good deals -- are boosting the Web site's traffic, and causing people to look online for deals, instead of digging through the newspaper. The number of adults who use online classifieds has more than doubled since 2005, according to the PEW Research Center. Nearly half of Web users now say they've used online classifieds at least once, and about 10 percent use online classifieds daily.

Tyler Jenkins, a guitarist and vocalist, uses Craigslist to connect with other musicians. He's put together an indie acoustic rock band by networking on the site.

"I've found all of my band members on Craigslist," Jenkins says. "I think it's a great source for finding band members."

But Craigslist doesn't always produce good results. When Jenkins placed an ad looking for a bassist, he received responses from people who didn't own or couldn't play a guitar. He had to tweak his post and tell readers not to respond unless they had their own equipment, or knew how to play.

"(After I changed it) everyone seemed to have at least some level of talent, and they all had their own gear," Jenkins says. "I think my second ad kind of scared off the wannabes."

Businesses Advertise on Craigslist

Some entrepreneurs, like Mandy Goodman, owner of Lawrence Kids Academy Home Daycare, use Craigslist to advertise. She's been using the site for three years -- and at least half of her clients come from Craigslist.

Goodman credits Craigslist for improving her business, certainly, but she says it also has its flaws.

"Craigslist has its ups and downs," Goodman says. "Some months I'll get a ton of hits from it, other months nothing. Lately I've had a lot of spam from it, but I usually can tell what's spam before I open the e-mail so I either just delete it or send it to my spam folder."

Jared Starkey also uses Craigslist to promote his business, LAMP Development. The site's helped him pull in more costumers.

"My business has advertised on Craigslist and managed to snag a few customers , which is much, much more cost effective than radio or print advertising," Starkey says.

Starkey has also shopped on Craigslist quite a bit. The list of things he's bought runs the gamut: dishes, a condo, computer equipment. By using Craigslist, Starkey bought his condominium for $10,000 less than its value by eliminating the need for a realtor and buying straight from the owner. Starkey also once scored a set of Pfalzgraffe dishes, a $150 to $200 value, for just over $100 because one bowl was missing.

Craigslist is crammed with good deals, Starkey says. You just have to sift through the fake ads and endure the spam. If you can do that, you just might just find a good deal. Jennings did. And he has the wheels to prove it.

"I feel like I stole a bike," Jennings says. "I have no complaints yet."