LifeinAsia - 3:59 pm on Jun 1, 2010 (gmt 0)

So basically, the guy wants to start with no unique content and not even provide any content until/unless someone "claims" their phone number? With no content, it's doubtful the SEs will give it much juice. With no content, users aren't going to use it.

Did I make a mistake discouraging the client?

Absolutely not! From what you describe, this is even less useful that duplicating what's already out there for real reverse lookup sites.