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Formula Won Labs

[ Research · 2026 ]

We audited 58,882 local businesses. AI search engines mention them in answers 5% of the time.

Most local SEO advice still treats Google Maps as the finish line. The data from a multi-vertical audit of US local businesses shows the line has moved: ChatGPT, Claude, Gemini, and Perplexity now answer the questions that used to require a click. The businesses cited in those answers win the call. Everyone else is invisible.

Published 2026-06-21 · Formula Won Labs · Free to cite with attribution

[ Methodology ]

Sample: 58,882 US-based local businesses across 30+ verticals (dental, construction, medical, restoration, cleaning, retail, roofing, restaurant, beverage, tech_hardware, and 20+ others).

Collection window: April 2026 to June 2026.

Sources: Google Maps API, Apollo, public web (LinkedIn, Facebook, business websites), Apify scrapers for ad activity, DataForSEO LLM Responses for AI engine citation tracking.

AI engine citation sub-sample: 140 paired prompt-engine queries across ChatGPT, Claude, Gemini, Perplexity, and Bing Copilot during May to June 2026.

Coverage caveats: Star rating data was available for 29% of the sample (17,076 businesses). Ad activity was checked for 49% (28,668). Email and phone findability are ceilings for fully-public sources only, before verified contact-database enrichment. A vertical was classified for 782 businesses (1.3% of the sample). Geographic distribution skews US-wide with no metro filter applied.

Reproducibility: The aggregations powering this page are queryable from the FWON Leads Supabase by request. Reach out via the audit link below for the raw dataset under CC-BY-4.0.

[ Headline finding ]

5%

Average rate at which AI search engines mention a specific named local business in a conversational answer for relevant queries.

3%

ChatGPT (n=39)

5%

Gemini (n=42)

6%

Perplexity (n=31)

7%

Claude (n=28)

Bing Copilot returned zero mentions across 2 logged queries (sample too small to report). Source: 140 paired prompt-engine queries via DataForSEO LLM Responses, May to June 2026.

For 93% to 97% of relevant conversational queries, the AI engine either named a competitor, gave a generic non-business answer, or surfaced no specific provider at all. The business getting cited captures the call. The rest are invisible regardless of Google Maps rank.

Cite this stat (free under CC-BY-4.0)

Plain-text citation

Formula Won Labs (2026). AI search engines mention a specific named local business in just 5% of relevant conversational queries (ChatGPT 3%, Gemini 5%, Perplexity 6%, Claude 7%, n=140 prompt-engine pairs). Local Business AI Visibility Audit. https://www.formulawonlabs.com/research/local-business-audit-2026#ai-mention-rate

HTML embed

<blockquote>AI search engines mention a specific named local business in just 5% of relevant conversational queries (ChatGPT 3%, Gemini 5%, Perplexity 6%, Claude 7%, n=140 prompt-engine pairs). <a href="https://www.formulawonlabs.com/research/local-business-audit-2026#ai-mention-rate">Local Business AI Visibility Audit 2026, Formula Won Labs</a>.</blockquote>

Deep link

https://www.formulawonlabs.com/research/local-business-audit-2026#ai-mention-rate

[ Finding 3 ]

91.8%

of rated businesses already have a 4.0+ star average. Star rating is a baseline, not a differentiator.

82.6%

rated 4.5 stars or higher

95.1%

rated 3.5 stars or higher

What separates the leaders is REVIEW COUNT, not rating. The distribution of review depth shows the real ranking signal.

Review count distribution (17,076 rated businesses)

  • 100+ reviews: 24.3%
  • 50+ reviews: 36.8%
  • 25+ reviews: 50.1%
  • 10+ reviews: 69.2%
  • fewer than 5 reviews: 20.1%

Crossing 100 reviews puts a business in the top quartile. Crossing 50 puts it in the top third. Most local businesses (50%) stall under 25 reviews. That is the gap that gets exploited by automated review-request systems.

Cite this stat (free under CC-BY-4.0)

Plain-text citation

Formula Won Labs (2026). 91.8% of rated local businesses already have a 4.0+ star average, but only 24.3% have 100+ reviews. Review depth is the real differentiator (n=17,076). Local Business AI Visibility Audit. https://www.formulawonlabs.com/research/local-business-audit-2026#review-distribution

HTML embed

<blockquote>91.8% of rated local businesses already have a 4.0+ star average, but only 24.3% have 100+ reviews. Review depth is the real differentiator (n=17,076). <a href="https://www.formulawonlabs.com/research/local-business-audit-2026#review-distribution">Local Business AI Visibility Audit 2026, Formula Won Labs</a>.</blockquote>

Deep link

https://www.formulawonlabs.com/research/local-business-audit-2026#review-distribution

[ Finding 4 ]

64.8%

of local businesses have a findable owner email through public web sources.

82.6%

public phone listed

64.8%

findable owner email

20.1%

owner on LinkedIn

These are the public-source ceilings before any verified contact database. They matter for two distinct audiences: agencies pitching local businesses (the addressable cold-outreach market) and AI engines themselves, since `Person` schema and findable contact data feed entity resolution. A local business that fails the AI engine entity-resolution test is also a business that fails to surface in conversational answers.

Cite this stat (free under CC-BY-4.0)

Plain-text citation

Formula Won Labs (2026). 64.8% of local businesses have a findable owner email via public sources, 82.6% list a public phone, and 20.1% are reachable via LinkedIn (n=58,882). Local Business AI Visibility Audit. https://www.formulawonlabs.com/research/local-business-audit-2026#owner-reachability

HTML embed

<blockquote>64.8% of local businesses have a findable owner email via public sources, 82.6% list a public phone, and 20.1% are reachable via LinkedIn (n=58,882). <a href="https://www.formulawonlabs.com/research/local-business-audit-2026#owner-reachability">Local Business AI Visibility Audit 2026, Formula Won Labs</a>.</blockquote>

Deep link

https://www.formulawonlabs.com/research/local-business-audit-2026#owner-reachability

[ Finding 5 ]

Dental, construction and medical are the three largest groups in our classified sample.

Top verticals by audited count (782 businesses with a classified vertical)

  • dental: 300
  • construction: 130
  • medical: 107
  • restoration: 49
  • cleaning: 30
  • retail: 25
  • roofing: 24
  • beverage: 15
  • tech hardware: 14
  • other classified: 88

Dental practices are 38% of the businesses we could classify (300 of 782). Dental, construction and medical together are 69%. Among the website-design searches we tracked, "dentist website design" cost $63 per click and "chiropractor website design" cost $91.

Cite this stat (free under CC-BY-4.0)

Plain-text citation

Formula Won Labs (2026). Dental practices are 38% of the businesses with a classified vertical in our local-business audit. Dental, construction and medical together are 69% (n=782). Local Business AI Visibility Audit. https://www.formulawonlabs.com/research/local-business-audit-2026#vertical-distribution

HTML embed

<blockquote>Dental practices are 38% of the businesses with a classified vertical in our local-business audit. Dental, construction and medical together are 69% (n=782). <a href="https://www.formulawonlabs.com/research/local-business-audit-2026#vertical-distribution">Local Business AI Visibility Audit 2026, Formula Won Labs</a>.</blockquote>

Deep link

https://www.formulawonlabs.com/research/local-business-audit-2026#vertical-distribution

What this means for any local business

Three operational shifts the data argues for, in priority order:

  1. Treat AI engine citation as a measured metric, not a hope. A 5% baseline mention rate means 95% of relevant conversational queries result in zero citation for any specific local business. The first business in any local market to systematically improve that number captures disproportionate share. Right now nobody is measuring it.
  2. Stop chasing the star rating, start chasing review depth. Crossing 100 reviews puts a business in the top quartile. The bar is depth, not rating, because rating has already collapsed to a 4.0+ baseline industry-wide.
  3. Fix entity findability before adding any new marketing channel. The single highest-ROI infrastructure change is ensuring AI engines can resolve the business as a real entity: clean Google Business Profile, LocalBusiness schema with subtype, NAP consistency, owner Person schema with sameAs. Without entity resolution, every other channel pays for impressions that go nowhere.
  4. Audit your robots.txt against the current AI bot list. A site that blocks AI crawlers cannot be cited even when entity resolution is perfect. See our maintained reference: the AI Bot Allowlist for robots.txt (2026).

See where your business sits in the data

We run a free AI visibility check against your business across ChatGPT, Claude, Gemini, and Perplexity. You see exactly which prompts mention you (and which name your competitors instead).

Get a free AI visibility check

[ Raw dataset ]

All aggregations in this study are also published as a structured JSON file under CC-BY-4.0. Use it for your own analysis, cross-reference against your own data, or feed it into your AI tools as primary-source context.

Download dataset (JSON, 4 KB)

[ Citing this research ]

License: CC-BY-4.0. Free to cite, quote, embed, and reference with attribution. Suggested citation:

Formula Won Labs (2026). Local Business AI Visibility Audit. Retrieved from https://www.formulawonlabs.com/research/local-business-audit-2026

Direct fragment links: #ai-mention-rate, #google-ads-zero, #review-distribution, #owner-reachability, #vertical-distribution, #implications, #methodology.