Thanks for your response. Can you let me know approx when google started inserting the local results at top of page? I would like to drill down and see if there's a correlation to the drop in web searches. These other posts seem to imply that any city-based search is going to be affected. All of the most important search phrases for my business relate to cities...i.e. "new york photos", "Washington DC photos" etc. So these types of searches are most impacted?
As for image search...it's been a long time that image search traffic has outweighed web search traffic on my site. I think it's that people have caught on that it's a more efficient way to look for images. However, more isn't always better. Very few image searchers ever convert to buyers. They are mostly looking to grab free images for whatever purpose without asking or thinking. Thus, copyright infringements are way up. If they are looking to buy it's always at a very low price point which I can't help them with. Since they go straight from the image results page to my contact page they rarely if ever read anything on my site or check the public price lists. I get a lot of junk inquires like "I like this...how much does it cost?". The web searches are much more targetted and since they are looking for a site, not a specific image they tend to be serious buyers. Thanks again