On 27th October, Google has Integrated Google Local Results in SERPS. Google is not replacing organic results with local results but they are merging the Local and Organic results.
20% of all search queries are local in nature and Google’s merger of organic and local search is a significant shift in the way the leading search engine displays information. Place Search is underway and it will be available globally in more than 40 languages.
According to Google:
One of the great things about our approach is that it makes it easier to find a comprehensive view of each place. In our new layout you’ll find many more relevant links on a single results page—often 30 or 40.
Please review the below mentioned snapshot to have better understanding about the integrated local result:
You must have observed that “Map and Balloons” has moved to the right, pushing down the Google Adwords ads. Phone numbers are displayed prominently to the right of each listing.There can be up to 40 results on one page and reviews/citations and on-page optimization of web site will be having good impact in local results.