I'm developing an application at the moment which shows local content based on location.Since the site is intended for local users, there won't be much need to change domain.For example: someone from London visiting london.mysite.com will receive only London-related content and would not necessarily be interested in anything on edinburgh.mysite.com.The whole subdomain vs. sub-directory thing has been haunting me though and I'm not sure if this approach is best or if we'd be better with mysite.com/edinburgh.Can any SEO gurus out there lend some advice?
Should I choose sub-directories over sub-domains in this case?
seo;subdomain;subdirectory
@Gavin Morrice: From a hosting and development point of view, sub-directories are so much easier and quicker to maintain (especially if you're not on a dedicated server). While trying to find the latest information on which method is the preferred or best one, the general sense I get is that (as far as Google is concerned), it really doesn't matter anymore. If you build it, they will come. It's about content; it has always been about content. If you can sort out relevance and structure, whether your articles about London are on london.mysite.com or mysite.com/london/, doesn't make much of a difference and tales of sub-domains diluting Google's PageRank from the main site remain tales and certainly don't seem to be true anymore. 