RedHerring.com ~ The Business of Technology

Zvents, a local search and advertising startup, on Tuesday announced it received a $24 million investment from Nokia, AT&T, and digital map developer Navteq.

The new investment, which bumps three-year-old Zvents’ funding total to $32 million, will be used to continue development of its local events-focused search engine and to enhance its ad network.

San Mateo, California-based Zvents' search engine lists events and attractions--from concerts and sales to meals and games--in local communities.

The company’s search index provides the local events engine under well-known directories such as Yellowpages.com, entertainment-oriented sites such as MTV.com, and newspaper sites, including the Boston Globe.

Zvents generates additional revenue from local merchants or event promoters who add more enhanced listings that include added details such as in-store promotions and discounts.

The company also operates an ad network so local merchants can have ads appear on other sites.

“When Macy’s puts the President’s Day sale in our index, that ad is syndicated and promoted throughout the network of publishers like MSN, MTV, and local publishers,” said Paul O’Brien, vice president of marketing.

The local search market is crowded with the likes of Google, Microsoft's Windows Live Local, and Yahoo Local, along with city guides, events calendars, newspaper, TV, and radio sites.

There is also an emerging group of players including New York City-based Buzzd focused on mobile search.

“We don’t feel like we compete with them because there isn’t anyone on that list we would not work with,” Mr. O’Brien said.

Nokia Stakes Zvents for Local Search