Too many local businesses have never seen the urgency to be on the Web. I can’t tell you how many times I’ve had prospective clients tell me that the Web is a waste because their own little world was the size of their neighborhood, or their town. Since any users beyond that area would be a waste, they would rather put their money into the Yellow Pages, or direct mail pieces, or signage.

That objection –- not too smart in the first place –- could soon be made just about ridiculous by the people who made Internet searching a verb –- Google. Just last week, Google launched a location-targeted feature to its AdWords product that could have local businesses rushing to get online.

The local targeting feature works like this: A driving instructor in Hackensack who only takes students in a 30-mile radius would set his Google Adwords purchases to be delivered only to prospects within that area. Google would then deliver his ads to only those users. Advertisers can also create a customized area by identifying the borders of their target market. Google sets its radius targeting parameter at 20 miles and above, but promises to do even more narrow targeting in the future.

One of the more notable aspects of Google's enhancements is that sponsor links will soon appear across the local search results page.

The changes have significant implications for local sponsor links. Previously, Google used the Internet Protocol (IP) address for wide area (DMA) targeting. IP addresses are notoriously unreliable. For instance, they identify all AOL users as living in Vienna, VA.

Combine the new Google service with the fact that young people (ages 18-34) are spending more than 20 hours a week on the Internet (according to ComScore), and the Web could become more important to local businesses than the Yellow Pages.