Yelp#Origins (2004–2009)
{{short description|Directory service and online review forum}}
{{Good article}}
{{Use mdy dates|date=January 2025}}
{{Use American English|date=August 2024}}
{{About|the Internet company}}
{{Infobox website
| traded_as = {{ubl|{{NYSE|YELP}}|S&P 600 component}}
| name = Yelp Inc.
| logo = Yelp Logo.svg
| logo_size =
| screenshot = Yelp Screenshot.jpg
| caption = Yelp.com homepage
| collapsible = yes
| collapsetext = Screenshot
| company_type = Public
| foundation = {{Start date and age|2004|10}}
| owner = Jeremy Stoppelman (6.3%)
| founder = {{Unbulleted list|Jeremy Stoppelman|Russel Simmons}}
| location = 350 Mission Street
| location_city = {{nowrap|San Francisco, California}}
| location_country = U.S.
| key_people = {{Plain list|
- Jeremy Stoppelman (CEO)
- Jed Nachman (COO)
- David Schwarzbach (CFO)
}}
| industry = Local search, business ratings and reviews, online food delivery, local homeowner services
| products = Online advertising
| revenue = {{Increase}} {{US$|1.34 billion|link=yes}} (2023)
| operating_income = {{Increase}} US$79 million (2023)
| net_income = {{Increase}} US$99 million (2023)
| assets = {{Decrease}} US$1.01 billion (2023)
| equity = {{Increase}} US$750 million (2023)
| num_employees = 4,872 (2023)
| homepage = {{URL|https://yelp.com/}}
| native_clients = iOS, Android, Windows
| footnotes = References:{{cite web | url=https://www.sec.gov/ix?doc=/Archives/edgar/data/1345016/000134501624000009/yelp-20231231.htm | title=Yelp, Inc. 2023 Form 10-K Annual Report | publisher=U.S. Securities and Exchange Commission |date=February 27, 2024}}{{cite web | url=https://www.sec.gov/Archives/edgar/data/1345016/000134501622000034/a2022def14aproxystatement.htm#ideb506c1819f44679a73cc42b0cb3031_181 | title=Yelp, Inc. SCHEDULE 14A INFORMATION | publisher=U.S. Securities and Exchange Commission | date=April 22, 2022 | access-date=June 25, 2022 | archive-date=June 25, 2022 | archive-url=https://web.archive.org/web/20220625080646/https://www.sec.gov/Archives/edgar/data/1345016/000134501622000034/a2022def14aproxystatement.htm#ideb506c1819f44679a73cc42b0cb3031_181 | url-status=live }}
}}
Yelp Inc. is an American company that develops the Yelp.com website and the Yelp mobile app, which publishes crowd-sourced reviews about businesses. It also operates Yelp Guest Manager, a table reservation service. It is headquartered in San Francisco.
Yelp was founded in 2004 by former PayPal employees Russel Simmons and Jeremy Stoppelman. It has since become one of the leading sources of user-generated reviews and ratings for businesses.
Yelp grew in usage and raised several rounds of funding in the following years. By 2010, it had $30 million in revenue, and the website had published about 4.5 million crowd-sourced reviews. From 2009 to 2012, Yelp expanded throughout Europe and Asia. In 2009, it entered unsuccessful negotiations to be acquired by Google. Yelp became a public company via an initial public offering in March 2012 and became profitable for the first time two years later.{{cite web |url=http://edgar.secdatabase.com/1861/119312512093131/filing-main.htm |title=Yelp, Form 424B4, Filing Date Mar 2, 2012 |publisher=secdatabase.com |access-date=May 1, 2018 |archive-date=May 2, 2018 |archive-url=https://web.archive.org/web/20180502140050/http://edgar.secdatabase.com/1861/119312512093131/filing-main.htm |url-status=live }}{{cite web |url=http://edgar.secdatabase.com/2445/114420414045812/filing-main.htm |title=Yelp, Form 8-K, Current Report, Filing Date Jul 30, 2014 |publisher=secdatabase.com |access-date=May 1, 2018 |archive-date=May 2, 2018 |archive-url=https://web.archive.org/web/20180502140159/http://edgar.secdatabase.com/2445/114420414045812/filing-main.htm |url-status=live }}
As of December 31, 2023, approximately 287 million reviews have been contributed to Yelp. In 2023, the company had over 36 million desktop unique visitors and over 60 million mobile web unique visitors. Yelp estimates that over 55% of its audience has an annual household income of more than $100,000.{{citation |author=Yelp, Inc. |title=Yelp, Inc., 2023 Form 10-K Annual Report |date=February 27, 2024 |pages=1,43,50 |url=https://d18rn0p25nwr6d.cloudfront.net/CIK-0001345016/eea8ade7-1139-4df8-ad3a-398d3f7c41d2.pdf |publisher=U.S. Securities and Exchange Commission}}
The company has been accused of using unfair practices to raise revenue from the businesses that are reviewed on its site{{snd}} e.g., by presenting more negative review information for companies that do not purchase its advertising services or by prominently featuring advertisements of the competitors of such non-paying companies or conversely by excluding negative reviews from companies' overall rating on the basis that the reviews "are not currently recommended".{{cite web |title=Yelp Rating System |url=https://www.yelp-support.com/article/Why-would-a-review-not-be-recommended?l=en_US |website=Yelp |access-date=14 February 2020 |archive-date=September 7, 2014 |archive-url=https://web.archive.org/web/20140907113451/https://www.yelp-support.com/article/Why-would-a-review-not-be-recommended?l=en_US |url-status=live }} There have also been complaints of aggressive and misleading tactics by some of its advertising sales representatives. The company's review system's reliability has also been affected by the submission of fake reviews by external users, such as false positive reviews submitted by a company to promote its own business or false negative reviews submitted about competing businesses{{snd}}a practice sometimes known as "astroturfing"{{snd}}which the company has tried to combat in various ways.
Company history (2004–present)
=Origins (2004–2009)=
File:Jeremy Stoppelman LeWeb conference.jpg
Two former PayPal employees, Jeremy Stoppelman and Russel Simmons, founded Yelp at a business incubator, MRL Ventures, in 2004. Stoppelman and Simmons conceived the initial idea for Yelp as an email-based referral network, after Stoppelman caught the flu{{cite news |title=Search for Doctor Leads to Yelp | work=The Wall Street Journal | url=https://www.wsj.com/articles/SB10001424127887324595904578117512589717352 | first=Angus |last=Loten |date=November 14, 2012 | url-access=subscription | url-status=live |archive-url=https://web.archive.org/web/20150115105623/http://www.wsj.com/articles/SB10001424127887324595904578117512589717352 |archive-date=January 15, 2015 | df=mdy-all}} and had a difficult time finding an online recommendation for a local doctor.{{cite news | url=https://www.usatoday.com/money/industries/technology/2007-06-12-yelp_N.htm | title='Yelpers' review local businesses | first=Jefferson | last=Graham | work=USA Today | date=June 12, 2007 | url-status=live | archive-url=https://web.archive.org/web/20090622044014/http://www.usatoday.com/money/industries/technology/2007-06-12-yelp_N.htm | archive-date=June 22, 2009 | df=mdy-all}}{{cite AV media | url=https://www.youtube.com/watch?v=YpDR3iii8HM |publisher=Newsweek | title=My Big Break: Yelp's 'Aha' moment | date=October 21, 2009 | via=YouTube | url-status=live | archive-url=https://web.archive.org/web/20130725104641/http://www.youtube.com/watch?v=YpDR3iii8HM | archive-date=July 25, 2013 | df=mdy-all}} Max Levchin, the co-founders' former colleague as founding chief technology officer of PayPal and founder of MRL Ventures, provided $1 million in Angel financing.{{cite web | url=https://www.bvp.com/memos/yelp | title=Yelp | work=Bessemer Venture Partners | date=October 3, 2005 | access-date=May 8, 2021 | archive-date=May 8, 2021 | archive-url=https://web.archive.org/web/20210508173713/https://www.bvp.com/memos/yelp | url-status=live }}{{cite news | title=Yelp's Ambitious Plan to Take Over the Local Ad Market |url=https://money.cnn.com/magazines/fortune/fortune_archive/2007/07/23/100134489/index.htm | first=Jeffrey M. | last=O'Brien | work=Fortune | date=July 10, 2007 | url-status=live | archive-url=https://web.archive.org/web/20140817232337/http://archive.fortune.com/magazines/fortune/fortune_archive/2007/07/23/100134489/index.htm | archive-date=August 17, 2014 | df=mdy-all}} MRL co-founder David Galbraith, who instigated the local services project based on user reviews, came up with the name "Yelp".{{cite news | title=What do Yelp and Twitter have in common? | url=https://om.co/gigaom/what-do-yelp-and-twitter-have-in-common/ | first=Om | last=Malik | author-link=Om Malik}} Stoppelman explained that they decided on "Yelp" for the company's name because "it was short, memorable, easy to spell, and was familiar with 'the help' and 'yellow pages{{'-}}".{{cite AV media | title=Inside Yelp: How The Company Got Its Name | url=https://www.youtube.com/watch?v=Lnw3hqsGsMM |archive-url=https://ghostarchive.org/varchive/youtube/20211219/Lnw3hqsGsMM |archive-date=2021-12-19 |url-status=live| publisher=Yelp | date=February 22, 2013 | via=YouTube}}{{cbignore}}{{Cite news | url=https://go.forrester.com/blogs/b2b-social-review-sites-to-consider/ | title=B2B Social Review Sites Are Becoming Mainstream: Here's What to Consider | first=Ian | last=Bruce | work=Forrester Research | date=August 26, 2019 | access-date=May 8, 2021 | archive-date=May 8, 2021 | archive-url=https://web.archive.org/web/20210508173711/https://go.forrester.com/blogs/b2b-social-review-sites-to-consider/ | url-status=live }}
According to Fortune, Yelp's initial email-based system was "convoluted". The idea was rejected by investors and did not attract users beyond the cofounders' friends and family. Usage data showed that users were not answering requests for referrals, but were using the "Real Reviews" feature, which allowed them to write reviews unsolicited. According to The San Francisco Chronicle, "the site's popularity soared" after it was re-designed in late 2005 with the distinctive Burst logo.{{cite news |url=https://www.sfgate.com/living/article/CASTING-THE-NET-Yelp-is-on-the-way-2494549.php | work=San Francisco Chronicle | title=Casting the Net: Yelp is on the way | first=Heather | last=Maddan | date=June 18, 2006 |url-status=live | archive-url=https://web.archive.org/web/20100226134234/http://www.sfgate.com/cgi-bin/article.cgi?file=%2Fc%2Fa%2F2006%2F06%2F18%2FLVGO9JDMDV1.DTL&type=printable | archive-date=February 26, 2010 | df=mdy-all}}{{Cite web |title=Yelp Brand Identity |url=https://read.cv/beingernst/bvEcvOLDYwh9YZE3n0iw |access-date=2023-07-17 |website=read.cv |archive-date=July 17, 2023 |archive-url=https://web.archive.org/web/20230717221138/https://read.cv/beingernst/bvEcvOLDYwh9YZE3n0iw |url-status=live }} Yelp raised $5 million in funding in 2005 from Bessemer Venture Partners and $10 million in November 2006 from Benchmark Capital. The number of reviewers on the site grew from 12,000 in 2005, to 100,000 in 2006.{{cite news | url=https://www.inc.com/magazine/20100201/youve-been-yelped.html | title=You've Been Yelped | first=Max | last=Chafkin | work=Inc. | date=February 1, 2010 | access-date=May 8, 2021 | archive-date=May 8, 2021 | archive-url=https://web.archive.org/web/20210508173711/https://www.inc.com/magazine/20100201/youve-been-yelped.html | url-status=live }} By the summer of 2006, the site had one million monthly visitors. It raised $15 million in funding from DAG Ventures in February 2008.{{cite news | url=https://www.cnet.com/news/yelp-yanks-another-15-million/ | first=Caroline | last=McCarthy | title=Yelp yanks another $15 million | website=CNET | date=February 27, 2008 | access-date=May 8, 2021 | archive-date=May 9, 2021 | archive-url=https://web.archive.org/web/20210509062104/https://www.cnet.com/news/yelp-yanks-another-15-million/ | url-status=live }}{{cite magazine | url=https://www.wired.com/2008/02/a-mighty-yelp-r/ | title=A Mighty Yelp! Review Site Gets $15M | last=McCarthy | first=Megan | magazine=Wired | date=February 2, 2008 | url-status=live |archive-url=https://web.archive.org/web/20080924173609/http://blog.wired.com/business/2008/02/a-mighty-yelp-r.html | archive-date=September 24, 2008 | df=mdy-all}} In 2010, Elevation Partners invested $100 million; $75 million was spent on purchasing equity from employees and investors, while $25 million was invested in sales staff and expansion.{{cite news |url=https://www.bloomberg.com/news/articles/2010-01-27/yelp-gets-up-to-100-million-from-elevation-partners | title=Yelp Gets Up to $100 Million From Elevation Partners | first1=Douglas | last1=MacMilan | last2=Burrows| first2=Peter | work=Bloomberg News | date=January 27, 2010 | url-access=subscription | url-status=live | archive-url=https://web.archive.org/web/20130107075807/http://www.businessweek.com/technology/content/jan2010/tc20100127_525405.htm | archive-date=January 7, 2013 | df=mdy-all}} Yelp grew from 6 million monthly visitors in 2007 to 16.5 million in 2008 and from 12 to 24 cities during the same time period. By 2009, the site had 4.5 million reviews. By 2010, Yelp's revenues were estimated to be $30 million and it employed 300 people.
=Private company (2009–2012)=
Yelp introduced a site for the United Kingdom in January 2009{{cite news|url=https://www.theguardian.com/media/pda/2009/jan/07/startups-digitalmedia|first=Jemima|last=Kiss|title=Reviews site Yelp is coming to the UK – and bringing the parties|newspaper=The Guardian|date=January 7, 2009|access-date=January 6, 2013|url-status=live|archive-url=https://web.archive.org/web/20130930232342/http://www.theguardian.com/media/pda/2009/jan/07/startups-digitalmedia|archive-date=September 30, 2013|df=mdy-all}} and one for Canada that August.{{cite news | title=Yelp Jumps the Pond | first=Claire Cain | last=Miller |url=https://bits.blogs.nytimes.com/2009/01/08/yelp-jumps-the-pond/ | work=The New York Times |date=January 8, 2009 | url-access=limited | url-status=live | archive-url=https://web.archive.org/web/20140715004957/http://bits.blogs.nytimes.com/2009/01/08/yelp-jumps-the-pond/ | archive-date=July 15, 2014 | df=mdy-all}} The first non-English Yelp site was introduced in France in 2010; users had the option to read and write content in French or English.{{cite news |title=Bon Appétit! Yelp Goes to France | url=https://bits.blogs.nytimes.com/2010/05/05/bon-appetit-yelp-goes-to-france/ | first=Claire Cain | last=Miller | work=The New York Times | date=May 5, 2010 | url-access=limited | url-status=live | archive-url=https://web.archive.org/web/20130117041924/http://bits.blogs.nytimes.com/2010/05/05/bon-appetit-yelp-goes-to-france/ | archive-date=January 17, 2013|df=mdy-all}} From 2010 to 2011, Yelp launched several more sites, in Austria, Germany, Spain, and the Netherlands. International website traffic doubled during the same time period.{{cite news |url=https://techcrunch.com/2011/05/11/yelp-spain/ | title=Yelp Moves To Spain As International Traffic Doubles | last=Schonfeld | first=Erick |work=TechCrunch | date=May 21, 2011 | url-status=live | archive-url=https://web.archive.org/web/20130225111412/http://techcrunch.com/2011/05/11/yelp-spain/ | archive-date=February 25, 2013 | df=mdy-all}} An Australian website went live in November 2011.{{cite news |url=https://www.inc.com/news/articles/201111/yelp-goes-live-in-australia-as-it-prepares-for-ipo.html |title=Yelp Goes Live in Australia as It Prepares for IPO |first=Courtney |last=Rubin |work=Inc. |date=November 30, 2011 |access-date=May 8, 2021 |archive-date=April 18, 2021 |archive-url=https://web.archive.org/web/20210418190107/https://www.inc.com/news/articles/201111/yelp-goes-live-in-australia-as-it-prepares-for-ipo.html |url-status=live }} It was supported through a partnership with Telstra, which provided one million initial business listings,{{cite news |title=Review site Yelp goes live in Australia |url=https://www.theaustralian.com.au/business/technology/review-site-yelp-goes-live-in-australia/news-story/71de38e2cc2466841af701e438d88a42 |last=Griffith |first=Chris | work=The Australian | date=November 30, 2011 | url-access=subscription | url-status=live |archive-url=https://web.archive.org/web/20111206094618/http://www.theaustralian.com.au/australian-it/review-site-yelp-goes-live-in-australia/story-e6frgakx-1226209758508 |archive-date=December 6, 2011 |df=mdy-all}} and was initially glitchy.{{cite web|title=Yelp lands in Aus with some help from Telstra|website=The Register|first=Natalie|last=Apostolou|date=November 30, 2011|access-date=January 6, 2013|url=https://www.theregister.co.uk/2011/11/30/yelp_launches_downunder/|url-status=live|archive-url=https://web.archive.org/web/20121231083024/http://www.theregister.co.uk/2011/11/30/yelp_launches_downunder/|archive-date=December 31, 2012|df=mdy-all}} By the end of 2012, Yelp was publishing reviews for establishments in 20 countries, including Turkey{{cite web | url=http://news.cnet.com/8301-1023_3-57558878-93/yelp-takes-its-reviews-to-turey/ | title=Yelp takes its reviews to Turkey | website=CNET | date=December 12, 2012 | access-date=November 13, 2013 | author=Musli, Steve | archive-date=July 14, 2014 | archive-url=https://web.archive.org/web/20140714140043/http://news.cnet.com/8301-1023_3-57558878-93/yelp-takes-its-reviews-to-turey/ | url-status=unfit }} and Denmark.{{cite web | url=http://www.nysemagazine.com/statics/NYSE_Fall_2012.pdf | title=Word On the Street | magazine=NYSE magazine | date=Fall 2012 | access-date=September 15, 2013 | author=McNichol, Tom | url-status=dead | archive-url=https://web.archive.org/web/20130921054354/http://www.nysemagazine.com/statics/NYSE_Fall_2012.pdf | archive-date=September 21, 2013 | df=mdy-all }} Yelp's first site in Asia was introduced in September 2012 in Singapore, which was followed by Japan in 2014.{{cite news|title=Yelp goes live in Japan, its second country launch in Asia|publisher=The Next Web|url=https://thenextweb.com/asia/2014/04/09/yelp-goes-live-in-japan-its-second-country-launch-in-asia/|date=April 9, 2014|access-date=September 8, 2015|url-status=live|archive-url=https://web.archive.org/web/20150629001655/http://thenextweb.com/asia/2014/04/09/yelp-goes-live-in-japan-its-second-country-launch-in-asia/|archive-date=June 29, 2015|df=mdy-all}}
In December 2009, Google entered into negotiations with Yelp to acquire the company,{{cite news| title=Google Bids for Yelp's Online Local Ad Communities |first=Douglas |last=MacMillan | work=Bloomberg News | date=December 18, 2009 | url-access=subscription | url=https://www.bloomberg.com/news/articles/2009-12-18/google-bids-for-yelps-online-local-ad-communities |url-status=live|archive-url=https://web.archive.org/web/20110831153424/http://www.businessweek.com/technology/content/dec2009/tc20091218_024906.htm| archive-date=August 31, 2011 |df=mdy-all}}{{cite news |title=Google Said to Be Near a Yelp Deal |first=Claire|last=Miller | work=The New York Times|date=December 18, 2009 | url-access=limited |url=https://www.nytimes.com/2009/12/19/technology/companies/19yelp.html |url-status=live |archive-url=https://web.archive.org/web/20130521204733/http://www.nytimes.com/2009/12/19/technology/companies/19yelp.html?_r=1&ref=technology |archive-date=May 21, 2013 |df=mdy-all}} but the two parties failed to reach an agreement.{{cite news | url=http://bits.blogs.nytimes.com/2009/12/21/yelp-turns-down-google-for-now/ | title=Yelp Turns Down Google, for Now | last=Miller | first=Claire Cain | work=The New York Times | date=December 21, 2009 | url-access=limited | url-status=live | archive-url=https://web.archive.org/web/20130407050606/http://bits.blogs.nytimes.com/2009/12/21/yelp-turns-down-google-for-now/ | archive-date=April 7, 2013 | df=mdy-all }}{{cite news |date=December 21, 2009 |title=Yelp bails on Google deal? |last=McCarthy |first=Caroline | url=https://www.cnet.com/news/yelp-bails-on-google-deal/ | website=CNET | url-status=live |archive-url=https://web.archive.org/web/20131001211728/http://news.cnet.com/8301-17939_109-10419547-2.html |archive-date=October 1, 2013 |df=mdy-all}} According to The New York Times, Google offered about $500 million, but the deal fell through after Yahoo offered $1 billion.{{cite news | url=https://www.bloomberg.com/news/2012-03-02/stoppelman-standing-up-to-investors-leads-to-yelp-ipo.html | title=Yelp's Stoppelman Leads IPO by Snubbing Google, Yahoo Offers | last=Kucera | first=Danielle | work=Bloomberg News | date=March 2, 2012 | url-access=subscription | url-status=live | archive-url=https://web.archive.org/web/20130921230845/http://www.bloomberg.com/news/2012-03-02/stoppelman-standing-up-to-investors-leads-to-yelp-ipo.html | archive-date=September 21, 2013 | df=mdy-all }} TechCrunch reported that Google refused to match Yahoo's offer. Both offers were later abandoned following a disagreement between Yelp's management and board of directors about the offers.{{cite news | title=The Ugliest Girl at the Dance: How Yahoo Destroyed Yelp's Google Acquisition |url=https://techcrunch.com/2010/10/01/the-ugliest-girl-at-the-dance-how-yahoo-destroyed-yelps-google-acquisition/ |first=Michael| last=Arrington| author-link=Michael Arrington|work=TechCrunch |date=October 1, 2010 |url-status=live |archive-url=https://web.archive.org/web/20130101005446/http://techcrunch.com/2010/10/01/the-ugliest-girl-at-the-dance-how-yahoo-destroyed-yelps-google-acquisition/ |archive-date=January 1, 2013 |df=mdy-all}} In June 2015, Yelp published a study alleging Google was altering search results to benefit its own online services.{{Cite news | url=https://www.vox.com/2015/6/29/11563936/yelp-teams-with-legal-star-tim-wu-to-trounce-google-in-new-study | title=Google Manipulates Search Results, According to Study From Yelp and Legal Star Tim Wu | first=Mark | last=Bergen | work=Vox Media | date=June 29, 2015 | url-status=live | archive-url=https://web.archive.org/web/20150702000257/http://recode.net/2015/06/29/yelp-teams-with-legal-star-tim-wu-to-trounce-google-in-new-study/ | archive-date=July 2, 2015 | df=mdy-all }}{{cite news | url=https://www.wsj.com/articles/SB11064341213388534269604581077241146083956
| last=Fairless | first=Tom | title=Study Suggests Google Harms Consumers by Skewing Search Results | website=The Wall Street Journal | date=June 29, 2015 | url-access=subscription | url-status=live | archive-url=https://web.archive.org/web/20150702035829/http://www.wsj.com/articles/SB11064341213388534269604581077241146083956 | archive-date=July 2, 2015 | df=mdy-all }}
Yelp began a service called Yelp Deals in April 2011,{{cite news | url=https://techcrunch.com/2011/06/29/yelp-deals-mobile-groupon/ |title=Yelp Brings Local Deals to Mobile and Gives Groupon Now a Run for its Money | first=Erick |last=Schonfeld |work=TechCrunch |date=June 29, 2011 | url-status=live |archive-url=https://web.archive.org/web/20130404085356/http://techcrunch.com/2011/06/29/yelp-deals-mobile-groupon/ |archive-date=April 4, 2013 |df=mdy-all}} but by August it cut back on Deals due to increased competition and market saturation.{{cite news |url=https://www.bloomberg.com/news/2011-08-29/yelp-scales-back-deal-service-as-competition-rises-for-internet-coupons.html |first=Douglas |last=MacMillan | work=Bloomberg News |date=August 30, 2011 | url-access=subscription |title=Yelp Follows Facebook in Scaling Back Daily-Deal Service |url-status=live |archive-url=https://web.archive.org/web/20131104182920/http://www.bloomberg.com/news/2011-08-29/yelp-scales-back-deal-service-as-competition-rises-for-internet-coupons.html |archive-date=November 4, 2013 |df=mdy-all}} That September, the Federal Trade Commission investigated Yelp's allegations that Google was using Yelp web content without authorization and that Google's search algorithms favored Google Places over similar services provided by Yelp.{{cite news | url=https://venturebeat.com/2011/09/21/yelp-joins-antitrust-lawsuit-against-google/ |title=Yelp cooperating with FTC on antitrust lawsuit against Google | first=Tom |last=Cheredar |work=VentureBeat |date=September 21, 2011 |url-status=live |archive-url=https://web.archive.org/web/20130208093359/http://venturebeat.com/2011/09/21/yelp-joins-antitrust-lawsuit-against-google/ |archive-date=February 8, 2013|df=mdy-all}}{{cite news | url=https://www.searchenginejournal.com/google-antitrust-hearing-today/33777/ | title=Yelp Hopes to Serve Grilled Google: Antitrust Hearing Today | first=David | last=Angotti | work=Search Engine Journal | date=September 21, 2011 |url-status=live |archive-url=https://web.archive.org/web/20111228144915/http://www.searchenginejournal.com/google-antitrust-hearing-today/33777/ |archive-date=December 28, 2011 |df=mdy-all}} In order to avoid an FTC anti-trust lawsuit, in January 2014, Google agreed to allow services like Yelp the ability to opt out of having their data scraped and used on Google's websites.{{cite news |url=https://www.pcworld.com/article/2023719/googles-ftc-antitrust-deal-top-takeaways-and-challenges.html |title=Google's FTC antitrust deal: Top takeaways and challenges | work=PC World | date=January 4, 2013 |first=Ian |last=Paul |url-status=live |archive-url=https://web.archive.org/web/20140714235122/http://www.pcworld.com/article/2023719/googles-ftc-antitrust-deal-top-takeaways-and-challenges.html |archive-date=July 14, 2014 |df=mdy-all}}
=Public entity (2012–present)=
File:PacBell Building, northeast corner.jpg building in San Francisco, Yelp's former headquarters]]
Having filed for an initial public offering (IPO) with the Securities Exchange Commission in November 2011,{{cite web |url=http://pdf.secdatabase.com/1033/0001193125-11-315562.pdf |title=Yelp! Inc, Form S-1, Filing Date Nov 17, 2011 |publisher=secdatabase.com |access-date=May 1, 2018 |archive-date=May 2, 2018 |archive-url=https://web.archive.org/web/20180502140730/http://pdf.secdatabase.com/1033/0001193125-11-315562.pdf |url-status=live }}{{cite news |title=Yelp Files for I.P.O.|first=Evelyn |last=Rusli |url=https://dealbook.nytimes.com/2011/11/17/yelp-files-for-i-p-o/ |date=November 17, 2011 | work=The New York Times | url-access=limited | url-status=live |archive-url=https://web.archive.org/web/20130111163357/http://dealbook.nytimes.com/2011/11/17/yelp-files-for-i-p-o/ |archive-date=January 11, 2013 |df=mdy-all}}{{cite news |title=Yelp Files to Raise $100 Million in Initial Public Offering |url=https://www.bloomberg.com/news/articles/2011-11-17/yelp-files-to-raise-100m-in-ipo | work=Bloomberg News |first=Douglas |last=MacMillan |date=November 17, 2011 | url-access=subscription |url-status=live |archive-url=https://web.archive.org/web/20130105185229/http://www.businessweek.com/technology/yelp-files-to-raise-100-million-in-initial-public-offering-11172011.html |archive-date=January 5, 2013 |df=mdy-all}} Yelp's stock began public trading on the New York Stock Exchange on March 2, 2012.{{cite press release | url=https://www.prnewswire.com/news-releases/yelp-prices-initial-public-offering-141125413.html | title=Yelp Prices Initial Public Offering | publisher=PR Newswire | date=March 1, 2012 | access-date=May 8, 2021 | archive-date=May 8, 2021 | archive-url=https://web.archive.org/web/20210508173710/https://www.prnewswire.com/news-releases/yelp-prices-initial-public-offering-141125413.html | url-status=live }}{{Cite news | url=https://www.marketwatch.com/story/yelp-prices-ipo-at-15share-above-expected-range-2012-03-01 | title=Yelp prices IPO at $15/share, above expected range | first=Dan | last=Gallagher | work=MarketWatch | date=March 1, 2012 | url-access=limited | access-date=May 8, 2021 | archive-date=May 8, 2021 | archive-url=https://web.archive.org/web/20210508173711/https://www.marketwatch.com/story/yelp-prices-ipo-at-15share-above-expected-range-2012-03-01 | url-status=live }}{{cite web |url=http://pdf.secdatabase.com/1861/0001193125-12-093131.pdf |title=Yelp! Inc, Form 424B4, Filing Date Mar 2, 2012 |publisher=secdatabase.com |access-date=May 1, 2018 |archive-date=May 2, 2018 |archive-url=https://web.archive.org/web/20180502140823/http://pdf.secdatabase.com/1861/0001193125-12-093131.pdf |url-status=live }}{{cite news |title=Yelp Prices Its Offering at $15 a Share |url=https://dealbook.nytimes.com/2012/03/01/yelp-prices-its-offering-at-15-a-share/ |first=Evelyn |last=Rusli |date=March 1, 2012 | work=The New York Times | url-access=subscription |url-status=live |archive-url=https://web.archive.org/web/20121226062225/http://dealbook.nytimes.com/2012/03/01/yelp-prices-its-offering-at-15-a-share/ |archive-date=December 26, 2012|df=mdy-all}}{{cite news |url=https://money.cnn.com/2012/03/02/technology/yelp_ipo/ | title=Yelp shares soar more than 60% in IPO | first=Julianne | last=Pepitone |date=March 2, 2012 |work=CNN | url-status=live |archive-url=https://web.archive.org/web/20120505204823/http://money.cnn.com/2012/03/02/technology/yelp_ipo/ |archive-date=May 5, 2012 | df=mdy-all}} In 2012, Yelp acquired its largest European rival, Qype, for $50 million.{{cite web |url=http://edgar.secdatabase.com/2279/119312512432436/filing-main.htm |title=Yelp! Inc, Form 8-K, Current Report, Filing Date Oct 24, 2012 |publisher=secdatabase.com |access-date=May 1, 2018 |archive-date=May 2, 2018 |archive-url=https://web.archive.org/web/20180502140506/http://edgar.secdatabase.com/2279/119312512432436/filing-main.htm |url-status=live }} The following year, CEO Jeremy Stoppelman reduced his salary to $1.{{cite web |url=http://edgar.secdatabase.com/1291/119312513046243/filing-main.htm |title=Yelp! Inc, Form 8-K, Current Report, Filing Date Feb 8, 2013 |publisher=secdatabase.com |access-date=May 1, 2018 |archive-date=May 2, 2018 |archive-url=https://web.archive.org/web/20180502140942/http://edgar.secdatabase.com/1291/119312513046243/filing-main.htm |url-status=live }}{{cite web|first=Jennifer|last=Grove|url=http://news.cnet.com/8301-1023_3-57568512-93/yelp-ceo-takes-$1-salary/|title=Yelp CEO takes $1 Salary|date=February 8, 2013|access-date=February 14, 2013|website=CNET|url-status=live|archive-url=https://web.archive.org/web/20130921054423/http://news.cnet.com/8301-1023_3-57568512-93/yelp-ceo-takes-$1-salary/|archive-date=September 21, 2013|df=mdy-all}} Yelp acquired start-up online reservation company SeatMe for $12.7 million in cash and stock in 2013.{{cite web |url=http://edgar.secdatabase.com/856/119312513300723/filing-main.htm |title=Yelp! Inc, Form 8-K, Current Report, Filing Date Jul 24, 2013 |publisher=secdatabase.com |access-date=May 1, 2018 |archive-date=May 2, 2018 |archive-url=https://web.archive.org/web/20180502140711/http://edgar.secdatabase.com/856/119312513300723/filing-main.htm |url-status=live }}{{cite magazine | url=https://www.pcmag.com/article2/0,2817,2422049,00.asp | title=Yelp Buys Online Reservation Service SeatMe | last=Milot | first=Stephanie | magazine=PC Magazine | date=July 19, 2013 | url-status=live | archive-url=https://web.archive.org/web/20130925120242/http://www.pcmag.com/article2/0,2817,2422049,00.asp | archive-date=September 25, 2013 | df=mdy-all }}{{cite news | title=Yelp to acquire restaurant reservation service SeatMe to take on OpenTable |url=https://www.theverge.com/2013/7/18/4536038/yelp-purchasing-seatme-restaurant-reservation | last=Kastrenakes| first=Jacob |work=The Verge |publisher=Vox Media |date= July 18, 2013 |url-status=live |archive-url=https://web.archive.org/web/20170202040600/http://www.theverge.com/2013/7/18/4536038/yelp-purchasing-seatme-restaurant-reservation | archive-date=February 2, 2017 | df=mdy-all}}{{cite news | title=Yelp To Acquire Online Reservation Service SeatMe For Up To $12.7M |url=https://techcrunch.com/2013/07/18/yelp-acquires-online-reservation-service-seatme/ | last=Kumparak | first=Greg | work=TechCrunch | date=July 13, 2013 | url-status=live | archive-url=https://web.archive.org/web/20170202041047/https://techcrunch.com/2013/07/18/yelp-acquires-online-reservation-service-seatme/ |archive-date=February 2, 2017 | df=mdy-all}} Yelp's second quarter 2013 revenue of $55 million "exceeded expectations", but the company was not yet profitable.{{cite web |url=http://edgar.secdatabase.com/2050/120677413002644/filing-main.htm |title=Yelp! Inc, Form 10-Q, Quarterly Report, Filing Date Aug 2, 2013 |publisher=secdatabase.com |access-date=May 1, 2018 |archive-date=May 2, 2018 |archive-url=https://web.archive.org/web/20180502140910/http://edgar.secdatabase.com/2050/120677413002644/filing-main.htm |url-status=live }}{{cite web | url=http://fortune.com/2013/09/19/yelps-jeremy-stoppelman-will-do-it-his-way/ | title=Yelp CEO Jeremy Stoppelman ignored advice from Peter Thiel and Elon Musk and succeeded anyway | publisher=CNN | date=September 19, 2013 | access-date=September 25, 2013 | last=Roberts | first=Daniel | url-status=live | archive-url=https://web.archive.org/web/20140819082024/http://fortune.com/2013/09/19/yelps-jeremy-stoppelman-will-do-it-his-way/ | archive-date=August 19, 2014 | df=mdy-all }}
In 2012/13, Yelp moved into its new corporate headquarters, occupying about 150,000 square feet on 12 floors of 140 New Montgomery (the former PacBell building) in San Francisco.{{cite news|first=Sharon|last=Simonson|url=http://news.theregistrysf.com/yelp-occupies-140-new-montgomery/|title=Yelp Occupies 140 New Montgomery|newspaper=The Registry SF|date=August 19, 2013|access-date=February 8, 2015|archive-date=January 22, 2015|archive-url=https://web.archive.org/web/20150122082142/http://news.theregistrysf.com/yelp-occupies-140-new-montgomery/|url-status=live}}
The company was profitable for the first time in the second quarter of 2014, as a result of increasing ad spending by business owners and possibly from changes in Google's local search algorithm.{{cite news|url=http://www.webpronews.com/yelp-becomes-profitable-for-first-time-since-going-public-2014-07|publisher=WebProNews|title=Yelp Becomes Profitable For First Time Since Going Public|first=Chris|last=Crum|date=July 30, 2014|access-date=September 1, 2014|url-status=live|archive-url=https://web.archive.org/web/20140817182034/http://www.webpronews.com/yelp-becomes-profitable-for-first-time-since-going-public-2014-07|archive-date=August 17, 2014|df=mdy-all}} The algorithm dubbed Google Pigeon made authoritative local directory sites like Yelp and TripAdvisor more visible.{{cite web|url=http://searchengineland.com/googles-pigeon-update-solves-yelp-problem-boosts-local-directories-197949|publisher=searchengineland.com|title=Google's Pigeon Update Solves Yelp Problem, Boosts Local Directories|date=July 25, 2014|access-date=May 18, 2016|url-status=live|archive-url=https://web.archive.org/web/20160603232519/http://searchengineland.com/googles-pigeon-update-solves-yelp-problem-boosts-local-directories-197949|archive-date=June 3, 2016|df=mdy-all}} Over the course of the year, Yelp websites were launched in Mexico, Japan, and Argentina.{{cite news|title=The Toxic, Abusive, Addictive, Supportive, Codependent Relationship Between Chefs and Yelpers|first=Rebecca|last=Marx|date=July 28, 2014|url=http://www.modernluxury.com/san-francisco/story/the-toxic-abusive-addictive-supportive-codependent-relationship-between-chefs-an|newspaper=San Francisco Magazine|url-status=live|archive-url=https://web.archive.org/web/20140917113709/http://www.modernluxury.com/san-francisco/story/the-toxic-abusive-addictive-supportive-codependent-relationship-between-chefs-an|archive-date=September 17, 2014|df=mdy-all}} Also in 2014, Yelp expanded in Europe through the acquisitions of German-based restaurant review site Restaurant-Kritik and French-based CityVox.{{cite web |url=http://edgar.secdatabase.com/2722/120677415000650/filing-main.htm |title=Yelp! Inc, Form 10-K, Annual Report, Filing Date Feb 27, 2015 |publisher=secdatabase.com |access-date=May 1, 2018 |archive-date=May 2, 2018 |archive-url=https://web.archive.org/web/20180502211252/http://edgar.secdatabase.com/2722/120677415000650/filing-main.htm |url-status=live }}{{cite news|title=Yelp makes Europe its mission with back-to-back acquisitions|first=Benjamin|last=Snyder|date=October 28, 2014|url=http://fortune.com/2014/10/28/yelp-makes-europe-its-mission-with-back-to-back-acquisitions/|newspaper=Fortune Magazine|access-date=November 13, 2014|url-status=live|archive-url=https://web.archive.org/web/20141105104434/http://fortune.com/2014/10/28/yelp-makes-europe-its-mission-with-back-to-back-acquisitions/|archive-date=November 5, 2014|df=mdy-all}}{{cite news|title=Yelp Says Oui, Adds French Online Review Site Cityvox|first=Michele|last=Chandler|date=October 28, 2014|url=http://news.investors.com/technology/102814-723801-yelp-acquires-french-review-site.htm|access-date=November 13, 2014|newspaper=Investors Business Daily|url-status=live|archive-url=https://web.archive.org/web/20150122081558/http://news.investors.com/technology/102814-723801-yelp-acquires-french-review-site.htm|archive-date=January 22, 2015|df=mdy-all}}
In early February 2015, Yelp announced it bought Eat24, an online food-ordering service, for $134 million.{{cite web |url=http://edgar.secdatabase.com/2510/120677415000438/filing-main.htm |title=Yelp! Inc, Form 8-K, Current Report, Filing Date Feb 10, 2015 |publisher=secdatabase.com |access-date=May 1, 2018 |archive-date=May 2, 2018 |archive-url=https://web.archive.org/web/20180502211001/http://edgar.secdatabase.com/2510/120677415000438/filing-main.htm |url-status=live }}{{cite news|url=http://bits.blogs.nytimes.com/2015/02/10/yelp-buys-eat24-an-online-food-ordering-service-for-134-million/?_r=2|newspaper=The New York Times|access-date=February 12, 2015|title=Yelp Buys Eat24, an Online Food-Ordering Service, for $134 Million|first=Mike|last=Isaac|date=February 10, 2015|url-status=live|archive-url=https://web.archive.org/web/20150428051250/http://bits.blogs.nytimes.com/2015/02/10/yelp-buys-eat24-an-online-food-ordering-service-for-134-million/?_r=2|archive-date=April 28, 2015|df=mdy-all}}{{cite news|url=http://www.ibtimes.com/yelp-inc-yelp-stock-leaps-7-after-review-website-buys-eat24-134m-rival-grubhub-inc-1811418|title=Yelp Inc (YELP) Stock Leaps 7% After Review Website Buys Eat24 For $134M, Rival GrubHub Inc (GRUB) Drops 2%|newspaper=International Business Times|access-date=June 17, 2015|first=Jessica|last=Menton|date=February 10, 2015|url-status=live|archive-url=https://web.archive.org/web/20150820052109/http://www.ibtimes.com/yelp-inc-yelp-stock-leaps-7-after-review-website-buys-eat24-134m-rival-grubhub-inc-1811418|archive-date=August 20, 2015|df=mdy-all}} Then in August 2017, Yelp sold Eat24 to Grubhub for $287.5 million.{{cite web |url=http://pdf.secdatabase.com/1612/0001157523-17-002288.pdf |title=Yelp! Inc, Form 8-K, Current Report, Filing Date Aug 3, 2017 |publisher=secdatabase.com |access-date=May 1, 2018 |archive-date=May 2, 2018 |archive-url=https://web.archive.org/web/20180502211126/http://pdf.secdatabase.com/1612/0001157523-17-002288.pdf |url-status=live }}{{Cite news|url=https://www.theverge.com/2017/8/3/16092270/yelp-sells-eat24-to-grubhub|title=Yelp is selling Eat24 to GrubHub for $287.5 million|last=Kastrenakes|first=Jacob|date=3 August 2017|work=The Verge|access-date=3 August 2017|archive-url=https://web.archive.org/web/20170803234032/https://www.theverge.com/2017/8/3/16092270/yelp-sells-eat24-to-grubhub|archive-date=August 3, 2017|url-status=live|df=mdy-all}} The acquisition resulted in a partnership to integrate Grubhub delivery into the Yelp profiles of restaurants.{{Cite news|url=http://www.businessinsider.com/yelp-selling-eat24-grubhub-287-million-2017-8?op=1|title=Yelp's stock is skyrocketing on the news that it's selling Eat24 for $287.5 million to Grubhub|last=Oreskovic|first=Alexei|date=3 August 2017|work=Business Insider|access-date=3 August 2017|archive-url=https://web.archive.org/web/20170804174355/http://www.businessinsider.com/yelp-selling-eat24-grubhub-287-million-2017-8?op=1|archive-date=August 4, 2017|url-status=live|df=mdy-all}}
In late 2015, a "Public Services & Government" section was introduced to Yelp, and the General Services Administration began encouraging government agencies to create and monitor official government pages.{{cite news | title=The federal government wants you to review it on Yelp | newspaper=Washington Post | first=Lisa | last=Rein | date=August 18, 2015 | url=https://www.washingtonpost.com/news/federal-eye/wp/2015/08/18/the-federal-government-wants-you-to-review-it-on-yelp/ | access-date=February 9, 2016 | url-status=live | archive-url=https://web.archive.org/web/20160210003112/https://www.washingtonpost.com/news/federal-eye/wp/2015/08/18/the-federal-government-wants-you-to-review-it-on-yelp/ | archive-date=February 10, 2016 | df=mdy-all }} For example, the Transportation Security Administration created official TSA Yelp pages.{{cite web | last=Griggs | first=Brandon | title=Rude TSA agent? Review them on Yelp | website=CNN | date=August 20, 2015 | url=http://www.cnn.com/2015/08/20/travel/tsa-yelp-reviews-feat/index.html | access-date=August 20, 2015 | url-status=live | archive-url=https://web.archive.org/web/20150821084948/http://www.cnn.com/2015/08/20/travel/tsa-yelp-reviews-feat/index.html | archive-date=August 21, 2015 | df=mdy-all }}{{cite web | last=Berman | first=Russell | title=Uncle Sam Wants You—to Write Reviews on Yelp | website=The Atlantic | date=August 19, 2015 | url=https://www.theatlantic.com/politics/archive/2015/08/can-yelp-make-government-agencies-work-better/401825/ | access-date=August 20, 2015 | url-status=live | archive-url=https://web.archive.org/web/20150820230751/http://www.theatlantic.com/politics/archive/2015/08/can-yelp-make-government-agencies-work-better/401825/ | archive-date=August 20, 2015 | df=mdy-all }} Later that year Yelp began experimenting in San Francisco with consumer alerts that were added to pages about restaurants with poor hygiene scores in government inspections.{{cite news | title=How Yelp plans to clean up one of the restaurant industry's most dangerous flaws | newspaper=Washington Post | date=October 27, 2015 | url=https://www.washingtonpost.com/news/wonkblog/wp/2015/10/27/how-yelp-plans-to-clean-up-one-of-the-restaurant-industrys-most-dangerous-flaws/ | access-date=October 27, 2015 | url-status=live | archive-url=https://web.archive.org/web/20151028025809/http://www.washingtonpost.com/news/wonkblog/wp/2015/10/27/how-yelp-plans-to-clean-up-one-of-the-restaurant-industrys-most-dangerous-flaws/ | archive-date=October 28, 2015 | df=mdy-all }} Research conducted by the Boston Children's Hospital found that Yelp reviews with keywords associated with food poisoning correlates strongly with poor hygiene at the restaurant. Researchers at Columbia University used data from Yelp to identify three previously unreported restaurant-related food poisoning outbreaks.{{cite web | last=Ostrov | first=Barbara Feder | title=Can Yelp help track food poisoning outbreaks? | website=CNN | date=October 26, 2015 | url=http://www.cnn.com/2015/10/26/health/yelp-food-poisoning/index.html | access-date=October 27, 2015 | url-status=live | archive-url=https://web.archive.org/web/20151026204925/http://www.cnn.com/2015/10/26/health/yelp-food-poisoning/index.html | archive-date=October 26, 2015 | df=mdy-all }}
On November 2, 2016, concurrent with its earnings report for Q3 2016, Yelp announced it would drastically scale back its operations outside North America and halt international expansion. This resulted in the termination of essentially all international employees across Yelp's 30+ international markets from the sales, marketing, public relations, business outreach, and government relations departments. Overseas employees now primarily consist of engineering and product management staff. These layoffs affected only 175 individuals or 4% of its total workforce.{{Cite news | url=https://skift.com/2016/11/02/yelp-gives-up-on-international-growth-layoffs-probable/ | title=Yelp Gives Up on International Growth, Layoffs Probable | first=Andrew | last=Sheivachman | work=Skift | date=November 2, 2016 | url-access=limited | access-date=May 8, 2021 | archive-date=May 9, 2021 | archive-url=https://web.archive.org/web/20210509062046/https://skift.com/2016/11/02/yelp-gives-up-on-international-growth-layoffs-probable/ | url-status=live }}{{cite web |url=http://edgar.secdatabase.com/2164/115752316007172/filing-main.htm |title=Yelp! Inc, Form 8-K, Current Report, Filing Date Nov 2, 2016 |publisher=secdatabase.com |access-date=May 1, 2018 |archive-date=May 2, 2018 |archive-url=https://web.archive.org/web/20180502211257/http://edgar.secdatabase.com/2164/115752316007172/filing-main.htm |url-status=live }}{{Cite news|url=https://www.wsj.com/articles/yelp-to-halt-global-expansion-trim-workforce-by-4-1478095190|title=Yelp to Halt Global Expansion, Trim Workforce by 4%|last=Hufford|first=Austen|date=2016-11-02|newspaper=Wall Street Journal|issn=0099-9660|access-date=2016-11-21|url-status=live|archive-url=https://web.archive.org/web/20161120190811/http://www.wsj.com/articles/yelp-to-halt-global-expansion-trim-workforce-by-4-1478095190|archive-date=November 20, 2016|df=mdy-all}}
In March 2017, Yelp acquired the restaurant reservation app Nowait for $40 million.{{cite web | last=Sawers | first=Paul | title=Yelp acquires restaurant waiting list tech startup Nowait in a $40 million all-cash deal | website=VentureBeat | date=March 1, 2017 | url=https://venturebeat.com/business/yelp-acquires-restaurant-waiting-list-tech-startup-nowait-in-a-40-million-all-cash-deal/ | access-date=November 22, 2022 | archive-date=November 23, 2022 | archive-url=https://web.archive.org/web/20221123190509/https://venturebeat.com/business/yelp-acquires-restaurant-waiting-list-tech-startup-nowait-in-a-40-million-all-cash-deal/ | url-status=live }} In April 2017, Yelp acquired Wi-Fi marketing company Turnstyle Analytics for $20 million.{{cite web |url=http://edgar.secdatabase.com/2859/120677417001120/filing-main.htm |title=Yelp! Inc, Form 8-K, Current Report, Filing Date Apr 7, 2017 |publisher=secdatabase.com |access-date=May 1, 2018 |archive-date=May 2, 2018 |archive-url=https://web.archive.org/web/20180502140907/http://edgar.secdatabase.com/2859/120677417001120/filing-main.htm |url-status=live }}{{Cite news|url=https://techcrunch.com/2017/04/04/yelp-acquires-wi-fi-marketing-company-turnstyle-analytics-for-20-million/ |title=Yelp acquires Wi-Fi marketing company Turnstyle Analytics for $20 million |last=Perez |first=Sarah| website=TechCrunch| date=April 4, 2017 |url-status=live |archive-url=https://web.archive.org/web/20170404173637/https://techcrunch.com/2017/04/04/yelp-acquires-wi-fi-marketing-company-turnstyle-analytics-for-20-million/ |archive-date=April 4, 2017 |df=mdy-all}}{{Cite press release | url=https://www.businesswire.com/news/home/20170404005620/en/Yelp-Acquires-Wi-Fi-Marketing-Company-Turnstyle-Analytics | title=Yelp Acquires Wi-Fi Marketing Company Turnstyle Analytics | publisher=Business Wire | date=April 4, 2017 | access-date=May 8, 2021 | archive-date=May 10, 2021 | archive-url=https://web.archive.org/web/20210510144701/https://www.businesswire.com/news/home/20170404005620/en/Yelp-Acquires-Wi-Fi-Marketing-Company-Turnstyle-Analytics | url-status=live }}
In early 2020, Yelp listed space at 55 Hawthorne Street, San Francisco, for 235 employees as available for sublease.{{Cite web |url=https://www.sfchronicle.com/business/article/Mass-layoffs-at-Yelp-Eventbrite-show-15190391.php |title=Mass layoffs at Yelp, Eventbrite show coronavirus' damage to SF tech |access-date=April 10, 2020 |archive-date=December 27, 2020 |archive-url=https://web.archive.org/web/20201227235151/https://www.sfchronicle.com/business/article/Mass-layoffs-at-Yelp-Eventbrite-show-15190391.php |url-status=live }} Business closures and stay-at-home orders during the COVID-19 pandemic in the United States caused a massive decline in searches on Yelp (down 64–83% from March to April, depending on category) and company revenues. On April 9, the company announced it would lay off 1,000 employees, furlough about 1,100 with benefits, reduce hours for others, cut executive pay by 20–30%, and stop paying the CEO for the rest of 2020.{{cite news | url=https://blog.yelp.com/2020/04/planning-for-yelps-future | title=Planning for Yelp's Future | first=Jeremy | last=Stoppelman | author-link=Jeremy Stoppelman | work=Yelp | date=April 9, 2020 | access-date=April 10, 2020 | archive-date=April 9, 2020 | archive-url=https://web.archive.org/web/20200409142837/https://blog.yelp.com/2020/04/planning-for-yelps-future | url-status=live }}
In September 2021, Yelp announced that it was relocating its corporate headquarters to a smaller space at 350 Mission Street to be subleased from Salesforce.{{cite news |last1=DiFeliciantonio |first1=Chase |title=Yelp to relocate S.F. headquarters, aims for office return early next year |url=https://www.sfchronicle.com/tech/article/Yelp-to-relocate-S-F-headquarters-aims-for-16444733.php |access-date=10 April 2022 |work=San Francisco Chronicle |date=September 9, 2021 |archive-date=February 10, 2022 |archive-url=https://web.archive.org/web/20220210232314/https://www.sfchronicle.com/tech/article/Yelp-to-relocate-S-F-headquarters-aims-for-16444733.php |url-status=live }}
On June 1, 2023, Yelp decided to close its offices in Phoenix, Arizona and Hamburg, Germany. According to an announcement made by the company, less than 6 percent of the available workstations in these offices were being utilized. This move comes after Yelp had already shut down its New York, Chicago, and Washington, D.C. offices.{{Cite news |date=2022-06-23 |title=Yelp closes three US offices, says remote work is its future |url=https://apnews.com/article/cf96950567ca07e407f7afc2cf42052b |access-date=2022-06-24 |website=Associated Press |author=Dee-Ann Dyrbin |archive-date=June 24, 2022 |archive-url=https://web.archive.org/web/20220624170230/https://apnews.com/article/cf96950567ca07e407f7afc2cf42052b |url-status=live }}
As of mid-2023, Yelp maintains a single remaining office in the United States in San Francisco. Additionally, the company will continue its operations in Toronto, Canada, and London, United Kingdom. The closure and downsizing of these offices are expected to result in approximately $27 million in annual cost savings for Yelp during the 2023–24 fiscal year.{{cite news |last=Peck |first=Emily |url=https://www.axios.com/2023/06/01/remote-work-trends-2023-yelp |title=Yelp is down to one office in the U.S., as it leans into remote work |work=Axios |date=2023-06-01 |accessdate=2023-06-02 |archive-date=June 2, 2023 |archive-url=https://web.archive.org/web/20230602213610/https://www.axios.com/2023/06/01/remote-work-trends-2023-yelp |url-status=live }} As of February 2024, its website listed reviews for establishments in 32 countries.{{cite web |url=https://www.yelp.com/locations |title=Browse 219 cities on Yelp, all around the world! |access-date=February 28, 2024}}
Features
{{Infobox website
| name = Yelp.com
| collapsible = yes
| collapsetext = Screenshot
| screenshot = File:Yelp Mobile Home.png
| caption = The homepage of Yelp's iPhone app.
| url = {{URL|https://www.yelp.com/}}
| commercial = Yes
| type = Local online reviews
| registration = Optional
| language = 15 languages{{cite news |url=https://www.sfgate.com/restaurants/article/The-toxic-abusive-addictive-supportive-6156547.php |title=The Toxic, Abusive, Addictive, Supportive, Codependent Relationship Between Chefs and Yelpers |first=Rebecca |last=Marx | work=San Francisco Chronicle |date=July 28, 2014 |url-status=live |archive-url=https://web.archive.org/web/20140917113709/http://www.modernluxury.com/san-francisco/story/the-toxic-abusive-addictive-supportive-codependent-relationship-between-chefs-an#sthash.aQ8m9WkA.dpuf |archive-date=September 17, 2014 |df=mdy-all}}
| num_users = 142 million unique visitors per month
| programming_language = Python, Java, and a custom framework
| owner = Yelp, Inc.
| launch_date = {{start date and age|2004}}
| current_status = Online
}}
Yelp's website, Yelp.com, is a crowd-sourced local business review and social networking site. The site has pages devoted to individual locations, such as restaurants or schools, where Yelp users can submit a review of their products or services using a one to five stars rating scale. Businesses can update contact information, hours, and other basic listing information or add special deals. In addition to writing reviews, users can react to reviews, plan events, or discuss their personal lives.
78% of businesses listed on the site had a rating of three stars or better,{{cite web | title =An Introduction to Yelp Metrics | publisher=Yelp | url =https://www.yelp-press.com/company/fast-facts/default.aspx |archive-url=https://web.archive.org/web/20160825213451/https://www.yelp.com/factsheet| archive-date=August 25, 2016}} but some negative reviews were very personal or extreme. Some of the reviews are written entertainingly or creatively. As of 2014, users could give a "thumbs-up" to reviews they liked, which caused these reviews to be featured more prominently in the system. As of 2008, each day a "Review of the Day" was determined based on a vote by users.{{cite news |url=https://www.nytimes.com/2008/11/05/dining/05yelp.html |title=Eat and Tell |last=McNeil |first=Donald G.| work=The New York Times|date=November 4, 2008 | url-access=limited |url-status=live|archive-url=https://web.archive.org/web/20130521185428/http://www.nytimes.com/2008/11/05/dining/05yelp.html?_r=2&8dpc&oref=slogin&oref=slogin|archive-date=May 21, 2013|df=mdy-all}}
72% of Yelp searches are done from a mobile device. The Yelp iPhone mobile app was introduced in December 2008.{{Cite news | url=https://medium.com/@maulikmmodi94/yelp-what-happened-62c325f13235 | title=Yelp — What happened!! | first=MAULIK | last=MODI | work=Medium | date=December 1, 2019 | access-date=May 8, 2021 | archive-date=May 8, 2021 | archive-url=https://web.archive.org/web/20210508173711/https://medium.com/@maulikmmodi94/yelp-what-happened-62c325f13235 | url-status=live }}{{cite news | title=Citysearch vs. yelp on the iPhone: Can You Tell Them Apart?| url=https://techcrunch.com/2008/12/10/citysearch-vs-yelp-on-the-iphone-can-you-tell-them-apart/ | first=Erick | last=Schonfeld |work=TechCrunch | date=December 10, 2008 | url-status=live |archive-url=https://web.archive.org/web/20130331113437/http://techcrunch.com/2008/12/10/citysearch-vs-yelp-on-the-iphone-can-you-tell-them-apart/ |archive-date=March 31, 2013 |df=mdy-all}} In August 2009, Yelp released an update to the iPhone app with a hidden Easter Egg augmented reality feature called Monocle, which allowed users looking through their iPhone camera to see Yelp data on businesses seen through the camera.{{cite magazine |url=https://www.wired.com/gadgetlab/2009/08/yelp-ar/ | title=Yelp Sneaks Augmented Reality Into iPhone App | first=Brian | last=Chen | magazine=Wired | date=August 27, 2009 |url-status=live |archive-url=https://web.archive.org/web/20130215024540/http://www.wired.com/gadgetlab/2009/08/yelp-ar/ |archive-date=February 15, 2013 | df=mdy-all}} Check-in features were added in 2010.{{cite news | url=https://www.adweek.com/lostremote/yelp-adds-check-ins-on-mobile-app/ | title=Yelp adds check-ins on mobile app | first=Cory | last=Bergman | work=AdWeek | date=January 15, 2010}}
Yelp users can make restaurant reservations in Yelp through Yelp Reservations, a feature initially added in June 2010; in 2021 the service was consolidated with others into "Yelp Guest Manager".{{cite news|date=June 3, 2010|title=Yelp and OpenTable Join Forces|first=Nick|last=Bilton|access-date=January 6, 2013|url=http://bits.blogs.nytimes.com/2010/06/03/yelp-and-opentable-join-forces/?dbk|newspaper=The New York Times|url-status=live|archive-url=https://web.archive.org/web/20120919025343/http://bits.blogs.nytimes.com/2010/06/03/yelp-and-opentable-join-forces/?dbk|archive-date=September 19, 2012|df=mdy-all}}{{cite web |last1=Littman |first1=Julie |title=Yelp adds searchable 'veteran-owned' tag for businesses |url=https://www.restaurantdive.com/news/yelp-adds-searchable-veteran-owned-tag/634881/ |website=Restaurant Dive |access-date=9 December 2022 |date=25 October 2022 |archive-date=December 9, 2022 |archive-url=https://web.archive.org/web/20221209204927/https://www.restaurantdive.com/news/yelp-adds-searchable-veteran-owned-tag/634881/ |url-status=live }} Yelp's reservation features have been done through SeatMe, which was acquired by Yelp in 2013. Prior to that, Yelp had offered reservation services through OpenTable.{{cite web | last=Bilton | first=Nick | title=Yelp and OpenTable Join Forces | website=Bits Blog | date=June 4, 2010 | url=http://bits.blogs.nytimes.com/2010/06/03/yelp-and-opentable-join-forces/ | access-date=September 4, 2016 | url-status=live | archive-url=https://web.archive.org/web/20150906080022/http://bits.blogs.nytimes.com/2010/06/03/yelp-and-opentable-join-forces/ | archive-date=September 6, 2015 | df=mdy-all }} In 2013, features to have food ordered and delivered were added to Yelp{{cite news | url=https://www.latimes.com/business/la-xpm-2013-jul-09-la-fi-mo-yelp-food-delivery-takeout-20130709-story.html | title=Yelp launches food delivery and pickup service | last=Hsu | first=Tiffany | work=Los Angeles Times | date=July 9, 2013 | url-access=limited | url-status=live | archive-url=https://web.archive.org/web/20130907075637/http://articles.latimes.com/2013/jul/09/business/la-fi-mo-yelp-food-delivery-takeout-20130709 | archive-date=September 7, 2013 | df=mdy-all }} as well as the ability to view hygiene inspection scores{{cite news | url=https://www.huffpost.com/entry/yelp-restaurant-grades-health-department_n_2495636 |date=January 17, 2013 | title=Yelp Adds Health Department Grades to Restaurant Listings | first=Katherine | last=Bindley | work=HuffPost | url-status=live | archive-url=https://web.archive.org/web/20130210110421/http://www.huffingtonpost.com/2013/01/17/yelp-restaurant-grades-health-department_n_2495636.html | archive-date=February 10, 2013 | df=mdy-all}} and make appointments at spas. Yelp's content was integrated into Apple Inc.'s Siri "virtual assistant" and the mapping and directions app of Apple's September 2012 release of the iOS 6 computer operating system.{{cite web |url=http://edgar.secdatabase.com/2286/114420412042321/filing-main.htm |title=Yelp! Inc, Form 8-K, Current Report, Filing Date Aug 1, 2012 |publisher=secdatabase.com |access-date=May 1, 2018 |archive-date=May 2, 2018 |archive-url=https://web.archive.org/web/20180502141130/http://edgar.secdatabase.com/2286/114420412042321/filing-main.htm |url-status=live }}{{cite news|title=You may hate Apple Maps, but the Yelp integration is something to love|url=https://venturebeat.com/2012/09/19/yelp-ios-6/#EJZJWZDL1B2gBlOi.99|work=VentureBeat|date=September 19, 2012|access-date=January 10, 2013|first=Jennifer|last=Grove|url-status=live|archive-url=https://web.archive.org/web/20130112010136/http://venturebeat.com/2012/09/19/yelp-ios-6/#EJZJWZDL1B2gBlOi.99|archive-date=January 12, 2013|df=mdy-all}}
In March 2014, Yelp added features for ordering and scheduling manicures, flower deliveries, golf games, and legal consultations, among other things.{{cite news|title=You Can Now Order Flowers, Manicures And Legal Advice Through Yelp|date=March 24, 2015|first=Brian|last=Solomon|url=https://www.forbes.com/sites/briansolomon/2015/03/24/yelp-pushes-into-flower-delivery-golf-spa-and-club-bookings/|newspaper=Forbes|access-date=April 10, 2015|url-status=live|archive-url=https://web.archive.org/web/20150406025646/http://www.forbes.com/sites/briansolomon/2015/03/24/yelp-pushes-into-flower-delivery-golf-spa-and-club-bookings/|archive-date=April 6, 2015|df=mdy-all}} In October 2014, the company, working in collaboration with hotel search site Hipmunk, added features to book hotels through Yelp.{{cite news | title=On Yelp, Reviews With a Side of Bookings |first=Emily| last=Brennan | url=https://intransit.blogs.nytimes.com/2014/10/24/on-yelp-reviews-with-a-side-of-bookings/ | work=The New York Times |date=October 24, 2014 | url-access=limited |url-status=live |archive-url=https://web.archive.org/web/20150122081847/http://intransit.blogs.nytimes.com/2014/10/24/on-yelp-reviews-with-a-side-of-bookings/?_php=true&_type=blogs&partner=rss&emc=rss&_r=1 |archive-date=January 22, 2015 |df=mdy-all}}
Yelp started a 7–10% cash-back program at some US restaurants in 2016 through a partnership with Empyr, which links credit card purchases to online advertising.{{cite news | title=Get cash back when you dine with Yelp | url=https://www.cnet.com/how-to/how-to-get-cash-back-when-you-dine-with-yelp/ | first=Rick | last=Broida | work=CNET | date=March 3, 2017 | url-status=live | archive-url=https://web.archive.org/web/20171230114643/https://www.cnet.com/how-to/how-to-get-cash-back-when-you-dine-with-yelp/ | archive-date=December 30, 2017 | df=mdy-all }}{{cite news | url=https://www.usatoday.com/story/tech/talkingtech/2016/12/22/yelp-introduces-cash-back-program-consumers/95768842/ | title=Yelp introduces cash-back program for consumers | first=Jefferson | last=Graham | work=USA Today | date=December 22, 2016 | url-status=live | archive-url=https://web.archive.org/web/20171230061742/https://www.usatoday.com/story/tech/talkingtech/2016/12/22/yelp-introduces-cash-back-program-consumers/95768842/ | archive-date=December 30, 2017 | df=mdy-all }}{{Cite web | url=https://empyr.com/ | title=Empyr | publisher=Empyr | access-date=November 20, 2019 | archive-date=December 4, 2020 | archive-url=https://web.archive.org/web/20201204050105/https://empyr.com/ | url-status=dead }}
On February 14, 2017, Yelp launched Yelp Questions and Answers, a feature for users to ask venue-specific questions about businesses.{{cite news|url=https://techcrunch.com/2017/02/14/yelp-q-and-a/|title=Yelp launches new feature for asking and answering questions about any business|work=TechCrunch|last=Ha|first=Anthony|date=14 February 2017|access-date=15 February 2017|url-status=live|archive-url=https://web.archive.org/web/20170215005144/https://techcrunch.com/2017/02/14/yelp-q-and-a/|archive-date=February 15, 2017|df=mdy-all}}
In June 2020, Yelp launched a COVID-19 section that enables businesses to update their health and safety measures as well as their service offering changes.{{Cite web|last1=Akhil Kuduvalli|first1=Head of Consumer Product|last2=Tuesday|first2=June 16|date=2020-06-16|title=Helping Local Businesses Reopen During COVID-19 with New Products and Features|url=https://blog.yelp.com/2020/06/helping-local-businesses-reopen-during-covid-19-with-new-products-and-features|access-date=2021-02-03|website=Yelp|language=en-US|archive-date=February 7, 2021|archive-url=https://web.archive.org/web/20210207082001/https://blog.yelp.com/2020/06/helping-local-businesses-reopen-during-covid-19-with-new-products-and-features|url-status=live}} Starting January 2021, users can provide detailed feedback regarding what health and safety measures the business has implemented through editing in the COVID-19 section on Yelp business pages.{{Cite web|last1=Akhil Kuduvalli|first1=Head of Consumer Product|last2=Tuesday|first2=January 12|date=2021-01-12|title=Yelp Will Now Display User Feedback on Health and Safety Practices of Local Businesses|url=https://blog.yelp.com/2021/01/yelp-will-display-user-feedback-on-health-and-safety-practices|access-date=2021-02-03|website=Yelp|language=en-US|archive-date=January 29, 2021|archive-url=https://web.archive.org/web/20210129050052/https://blog.yelp.com/2021/01/yelp-will-display-user-feedback-on-health-and-safety-practices|url-status=live}}{{Cite web|date=2021-01-11|title=Yelp reviewers can now offer feedback on restaurants' COVID-19 health and safety practices|url=https://www.nrn.com/delivery-takeout-solutions/yelp-reviewers-can-now-offer-feedback-restaurants-covid-19-health-and|access-date=2021-02-03|website=Nation's Restaurant News|language=en|archive-date=January 25, 2021|archive-url=https://web.archive.org/web/20210125221609/https://www.nrn.com/delivery-takeout-solutions/yelp-reviewers-can-now-offer-feedback-restaurants-covid-19-health-and|url-status=live}}
In April 2023, Yelp introduced Yelp Guaranteed, which provides a refund of up to $2,500 if something goes wrong with a project. It also improved its search features with AI and added the option to add video to reviews.{{cite web |last=Malik |first=Aisha |date=April 25, 2023 |title=Yelp rolls out AI-powered search updates and the ability to add videos to reviews |url=https://techcrunch.com/2023/04/25/yelp-rolls-out-ai-powered-search-updates-and-the-ability-to-add-videos-to-reviews/ |access-date=July 23, 2024 |website=TechCrunch}} In April 2024, Yelp released Yelp Assistant, an AI chatbot that helps users find a professional for a project. It also introduced an API that allows developers to search Yelp data from other applications, and made other improvements.{{cite web |last=Lacy |first=Lisa |date=April 30, 2024 |title=Yelp Has a New AI Bot for Home Repairs, and It'll Quiz You on Your Needs |url=https://www.cnet.com/tech/services-and-software/yelp-has-a-new-ai-bot-for-home-repairs-and-itll-quiz-you-on-your-needs/ |access-date=July 23, 2024 |website=CNET}}
=Features for businesses=
Yelp added the ability for business owners to respond to reviews in 2008.{{cite news|url=http://bits.blogs.nytimes.com/2008/05/12/why-yelp-works/|work=The New York Times|last=Hansell|first=Saul|date=May 12, 2008|title=Why Yelp Works|access-date=November 27, 2013|url-status=live|archive-url=https://web.archive.org/web/20131126090632/http://bits.blogs.nytimes.com/2008/05/12/why-yelp-works/|archive-date=November 26, 2013|df=mdy-all}} Businesses can respond privately by messaging the reviewer or publicly on their profile page. In some cases, Yelp users that had a bad experience have updated their reviews more favorably due to the business's efforts to resolve their complaints. In some other cases, disputes between reviewers and business owners have led to harassment and physical altercations. The system has led to criticisms that business owners can bribe reviewers with free food or discounts to increase their rating. However, Yelp users say this rarely occurs. A business owner can "claim" a profile, which allows them to respond to reviews and see traffic reports. Businesses can also offer discounts to Yelp users that visit often using a Yelp "check in" feature.{{cite news|url=http://www.informationweek.com/smb/ebusiness/yelp-intros-check-in-offers/228300452|archive-url=https://archive.today/20131127150604/http://www.informationweek.com/smb/ebusiness/yelp-intros-check-in-offers/228300452|url-status=dead|archive-date=November 27, 2013|title=Yelp Intros Check In Offers|last=Diana|first=Alison|date=November 23, 2010|newspaper=InformationWeek|access-date=January 6, 2013}} In 2014, Yelp released an app for business owners to respond to reviews and manage their profiles from a mobile device.{{cite news|title=Yelp Gives Business Owners Stronger Voice|first=Barbara|last=Hernandez|url=http://www.nbcbayarea.com/blogs/press-here/Yelp-Gives-Business-Owners-a-Voice-286279911.html|publisher=NBC Bay Area|access-date=December 19, 2014|date=December 18, 2014|url-status=live|archive-url=https://web.archive.org/web/20150402093822/http://www.nbcbayarea.com/blogs/press-here/Yelp-Gives-Business-Owners-a-Voice-286279911.html|archive-date=April 2, 2015|df=mdy-all}} Business owners can also flag a review to be removed, if the review violates Yelp's content guidelines.{{cite web|title=How do I flag a review|url=http://www.yelp-support.com/article/How-do-I-flag-a-review?l=en_US|url-status=live|archive-url=https://web.archive.org/web/20150303053453/http://www.yelp-support.com/article/How-do-I-flag-a-review?l=en_US|archive-date=March 3, 2015|df=mdy-all}}
Yelp's revenues primarily come from selling ads and sponsored listings to small businesses. Advertisers can pay to have their listing appear at the top of search results or feature ads on the pages of their competitors. In 2016, advertising revenue grew at a rate of 30% year over year.{{cite web | url=https://s24.q4cdn.com/521204325/files/doc_financials/quarterly/2017/q2/Yelp-Investor-Presentation-2Q17.pdf | title=Yelp Investor Presentation Q2 2016 | publisher=Yelp | date=August 9, 2016 | access-date=May 8, 2021 | archive-date=May 8, 2021 | archive-url=https://web.archive.org/web/20210508173711/https://s24.q4cdn.com/521204325/files/doc_financials/quarterly/2017/q2/Yelp-Investor-Presentation-2Q17.pdf | url-status=live }} Yelp will only allow businesses with at least a three-star rating to sign up for advertising. Originally a sponsored "favorite review" could place a positive review above negative ones, but Yelp stopped offering this option in 2010 in an effort to deter the valid criticism that advertisers were able to obtain a more positive review appearance in exchange for pay.{{cite news|newspaper=Fast Company|title=Yelp Tweaks Its System for Transparency—and Lawsuit-Dodging|first=Kit|last=Eaton|date=April 5, 2010|access-date=January 6, 2013|url=http://www.fastcompany.com/1608067/yelp-tweaks-its-system-transparency-and-lawsuit-dodging|url-status=live|archive-url=https://web.archive.org/web/20130304121935/http://www.fastcompany.com/1608067/yelp-tweaks-its-system-transparency-and-lawsuit-dodging|archive-date=March 4, 2013|df=mdy-all}}{{cite news|newspaper=Los Angeles Times|title=Yelp makes two major changes in the way reviews are posted|date=April 6, 2010|first=Andrea|last=Chang|url=https://www.latimes.com/archives/la-xpm-2010-apr-06-la-fi-yelp7-2010apr07-story.html|access-date=January 6, 2013|url-status=live|archive-url=https://web.archive.org/web/20130427082915/http://articles.latimes.com/2010/apr/06/business/la-fi-yelp7-2010apr07|archive-date=April 27, 2013|df=mdy-all}}
On June 5, 2020, Yelp launched a tool to allow businesses on the platform to identify themselves as black-owned, allowing customers to search for black-owned companies they want to support.{{cite news |last1=Brown |first1=Dalvin |title=Yelp adds tool search for black-owned businesses |url=https://www.usatoday.com/story/money/2020/06/06/yelp-adding-new-tool-search-black-owned-businesses/3162943001/ |work=USA Today |date=June 6, 2020 |access-date=December 19, 2020 |archive-date=December 5, 2020 |archive-url=https://web.archive.org/web/20201205024851/https://www.usatoday.com/story/money/2020/06/06/yelp-adding-new-tool-search-black-owned-businesses/3162943001/ |url-status=live }}{{Cite news |title=Yelp is adding a new tool to easily search for black-owned businesses |url=https://www.theverge.com/2020/6/5/21281887/yelp-new-search-tool-black-owned-businesses-app-donation-matching |website=The Verge |last=Lyles |first=Taylor |date=June 5, 2020 |access-date=June 8, 2020 |archive-date=June 6, 2020 |archive-url=https://web.archive.org/web/20200606071625/https://www.theverge.com/2020/6/5/21281887/yelp-new-search-tool-black-owned-businesses-app-donation-matching |url-status=live }} There were more than 2.5 million searches for black-owned businesses on Yelp from May 25 to July 10.{{Cite news | url=https://www.cbsnews.com/news/black-owned-business-support-up-7000-percent-yelp/ | title=Yelp searches for Black-owned businesses jumped 7,000% amid protests | first=CHEVAZ | last=CLARKE | work=CBS News | date=July 22, 2020 | access-date=May 8, 2021 | archive-date=May 8, 2021 | archive-url=https://web.archive.org/web/20210508173710/https://www.cbsnews.com/news/black-owned-business-support-up-7000-percent-yelp/ | url-status=live }} Searches for black-owned businesses were up 2,400% in 2020.{{Cite news | url=https://blog.yelp.com/2021/01/yelp-names-black-owned-businesses-to-watch-in-2021 | title=Yelp Names black-Owned Businesses to Watch in 2021 | first=Brenae | last=Leary | work=Yelp | date=January 29, 2021 | access-date=May 8, 2021 | archive-date=May 8, 2021 | archive-url=https://web.archive.org/web/20210508173709/https://blog.yelp.com/2021/01/yelp-names-black-owned-businesses-to-watch-in-2021 | url-status=live }} In August 2021 Yelp added a feature to let users filter businesses based on their COVID precautions.{{cite web | last=Jones | first=Zoe Christen | title=Yelp to allow users to filter businesses based on vaccination requirements | website=CBS News | date=August 5, 2021 | url=https://www.cbsnews.com/news/yelp-restaurants-covid-vaccine-requirements/ | access-date=November 22, 2022 | archive-date=November 23, 2022 | archive-url=https://web.archive.org/web/20221123190510/https://www.cbsnews.com/news/yelp-restaurants-covid-vaccine-requirements/ | url-status=live }}
Relationship with businesses
A Harvard Business School study published in 2011 found that each "star" in a Yelp rating affected the business owner's sales by 5–9%.{{cite news |title=Fake Reviews Are Everywhere. How Can We Catch Them? |last=Gara |first=Tom | work=The Wall Street Journal |date=September 24, 2013 | url=https://blogs.wsj.com/corporate-intelligence/2013/09/24/fake-reviews-are-everywhere-how-can-we-catch-them/ |url-status=live|archive-url=https://web.archive.org/web/20170214201631/http://blogs.wsj.com/corporate-intelligence/2013/09/24/fake-reviews-are-everywhere-how-can-we-catch-them/ |archive-date=February 14, 2017 |df=mdy-all}}{{cite news | url=https://www.wsj.com/articles/SB10001424052702303847804579477644289822928 |title=Yelp Regularly Gets Subpoenas About Users |first=Angus |last=Loten |date=April 2, 2014 | work=The Wall Street Journal |url-status=live | url-access=subscription |archive-url=https://web.archive.org/web/20160422121355/http://www.wsj.com/articles/SB10001424052702303847804579477644289822928|archive-date=April 22, 2016|df=mdy-all}} A 2012 study by two University of California, Berkeley economists found that an increase from 3.5 to 4 stars on Yelp resulted in a 19% increase in the chances of the restaurant being booked during peak hours.{{cite news |url=https://www.theguardian.com/lifeandstyle/2012/sep/02/ratings-boost-restaurants |title=How online reviews are crucial to a restaurant's takings|last=Doward |first=Jamie |work=The Guardian |date=September 1, 2012 |url-status=live |archive-url=https://web.archive.org/web/20131113203121/http://www.theguardian.com/lifeandstyle/2012/sep/02/ratings-boost-restaurants |archive-date=November 13, 2013|df=mdy-all}} A 2014 survey of 300 small business owners done by Yodle found that 78% were concerned about negative reviews. Also, 43% of respondents said they felt online reviews were unfair, because there is no verification that the review is written by a legitimate customer.
Controversy and litigation
{{See also|User review#Fake reviews}}
Yelp has a complicated relationship with small businesses.{{cite news |url=https://www.bloomberg.com/news/articles/2013-09-09/yelps-newest-weapon-against-fake-reviews-lawsuits |title=Yelp's Newest Weapon Against Fake Reviews: Lawsuits | work=Bloomberg News |first=Patrick |last=Clark |date=September 9, 2013 | url-access=subscription | url-status=live |archive-url=https://web.archive.org/web/20140702005747/http://www.businessweek.com/articles/2013-09-09/yelps-newest-weapon-against-fake-reviews-lawsuits |archive-date=July 2, 2014 |df=mdy-all }} Criticism of Yelp continues to focus on the legitimacy of reviews, public statements of Yelp manipulating and blocking reviews in order to increase ad spending, as well as concerns regarding the privacy of reviewers.
=Astroturfing=
As Yelp became more influential, the phenomenon of business owners and competitors writing fake reviews, known as "astroturfing", became more prevalent.{{Cite journal | url=https://hbr.org/2020/11/how-fake-customer-reviews-do-and-dont-work | title=How Fake Customer Reviews do — and Don't — Work | journal=Harvard Business Review | date=24 November 2020 | last1=Proserpio | first1=Davide | last2=Hollenbeck | first2=Brett | last3=He | first3=Sherry | access-date=June 27, 2022 | archive-date=December 5, 2021 | archive-url=https://web.archive.org/web/20211205032344/https://hbr.org/amp/2020/11/how-fake-customer-reviews-do-and-dont-work | url-status=live }} A study from Harvard Associate Professor Michael Luca and Georgios Zervas of Boston University analyzed 316,415 reviews in Boston and found that the percentage of fake reviews rose from 6% of the site's reviews in 2006 to 20% in 2014. Yelp's own review filter identifies 25% of reviews as suspicious.{{cite news | url=https://fortune.com/2013/09/26/yelps-fake-review-problem/ | title=Yelp's fake review problem | last=Roberts |first=Daniel | work=Fortune | date=September 26, 2013 | url-status=live | archive-url=https://web.archive.org/web/20130926231147/http://tech.fortune.cnn.com/2013/09/26/yelps-fake-review-problem/ | archive-date=September 26, 2013 | df=mdy-all }}
Yelp has a proprietary algorithm that attempts to evaluate whether a review is authentic and filters out reviews that it believes are not based on a patron's actual personal experiences, as required by the site's Terms of Use.{{cite web|title=Sia Furler Seeks Revenge on Twitter and Yelp after Dry Cleaning Staff Ruins Fave Clothes|url=http://au.ibtimes.com/articles/556323/20140619/sia-furler-revenge-twitter-yelp-dry-cleaner.htm#.U7LLHKggUZw|archive-url=https://web.archive.org/web/20140714232734/http://au.ibtimes.com/articles/556323/20140619/sia-furler-revenge-twitter-yelp-dry-cleaner.htm#.U7LLHKggUZw|url-status=dead|archive-date=July 14, 2014|website=International Business Times|date=June 19, 2014|author=Ma Evelyn Castino Quilas|access-date=July 1, 2014}} The review filter was first developed two weeks after the site was founded and the company saw their "first obviously fake reviews". Filtered reviews are moved into a special area and not counted towards the businesses' star-rating. The filter sometimes filters legitimate reviews, leading to complaints from business owners. New York Attorney General Eric T. Schneiderman said Yelp has "the most aggressive" astroturfing filter out of the crowd-sourced websites it looked into. Yelp has also been criticized for not disclosing how the filter works, which it says would reveal information on how to defeat it.
Yelp also conducts "sting operations" to uncover businesses writing their own reviews.{{cite news | url=https://www.huffpost.com/entry/yelp-ceo-jeremy-stoppelman-_n_2232091 | title=Yelp CEO Jeremy Stoppelman Reveals How The Review Site Catches Phonies (Video) | work=HuffPost | date=December 3, 2012 |url-status=live |archive-url=https://web.archive.org/web/20140714213153/http://www.huffingtonpost.com/2012/12/03/yelp-ceo-jeremy-stoppelman-_n_2232091.html |archive-date=July 14, 2014|df=mdy-all}} In October 2012, Yelp placed a 90-day "consumer alert" on 150 business listings believed to have paid for reviews. The alert read "We caught someone red-handed trying to buy reviews for this business".{{cite news|url=https://www.nytimes.com/2012/10/18/technology/yelp-tries-to-halt-deceptive-reviews.html?_r=0|newspaper=The New York Times|title=Buy Reviews on Yelp, Get Black Mark|date=October 18, 2012|first=David|last=Streitfeld|access-date=November 27, 2013|url-status=live|archive-url=https://web.archive.org/web/20140402044432/http://www.nytimes.com/2012/10/18/technology/yelp-tries-to-halt-deceptive-reviews.html?_r=0|archive-date=April 2, 2014|df=mdy-all}}{{cite web|last=Vega|first=Cecilia|title=Yelp Outs Companies That Pay for Positive Reviews|url=https://abcnews.go.com/blogs/business/2012/11/yelp-outs-companies-that-pay-for-positive-reviews/|publisher=ABC News|access-date=6 June 2013|url-status=dead|archive-url=https://web.archive.org/web/20130602165217/https://abcnews.go.com/blogs/business/2012/11/yelp-outs-companies-that-pay-for-positive-reviews/|archive-date=June 2, 2013|df=mdy-all}} In June 2013, Yelp filed a lawsuit against BuyYelpReview/AdBlaze for allegedly writing fake reviews for pay.{{cite web | url=https://www.marketwatch.com/story/yelp-steps-up-campaign-against-fake-reviews-2013-09-18 | title=Yelp steps up campaign against fake reviews | last=Pimental | first=Benjamin | work=MarketWatch | date=September 18, 2013 | url-access=limited | url-status=live | archive-url=https://web.archive.org/web/20130922033904/http://www.marketwatch.com/story/yelp-steps-up-campaign-against-fake-reviews-2013-09-18 | archive-date=September 22, 2013 | df=mdy-all }}{{cite web | url=https://abcnews.go.com/blogs/business/2013/09/yelp-sues-firm-over-allegedly-posting-fake-reviews/ | title=Yelp Sues Firm Over Allegedly Posting Fake Review | publisher=ABC News | date=September 17, 2013 | access-date=September 27, 2013 | author=Kim, Suzanna | url-status=dead | archive-url=https://web.archive.org/web/20130924062829/https://abcnews.go.com/blogs/business/2013/09/yelp-sues-firm-over-allegedly-posting-fake-reviews/ | archive-date=September 24, 2013 | df=mdy-all }} In 2013, Yelp sued a lawyer it alleged was part of a group of law firms that exchanged Yelp reviews, saying that many of the firm's reviews originated from their own office. The lawyer said Yelp was trying to get revenge for his legal disputes and activism against Yelp. An effort to win dismissal of the case was denied in December 2014.{{Cite web|url = https://arstechnica.com/tech-policy/2014/12/bizarre-yelp-lawsuit-over-alleged-fake-reviews-to-finally-move-ahead/|title = Bizarre Yelp lawsuit over alleged fake reviews to finally move ahead|date = December 10, 2014|access-date = January 12, 2015|website = ars technica|last = Farivar|first = Cyrus|url-status = live|archive-url = https://web.archive.org/web/20150110042658/http://arstechnica.com/tech-policy/2014/12/bizarre-yelp-lawsuit-over-alleged-fake-reviews-to-finally-move-ahead/|archive-date = January 10, 2015|df = mdy-all}} In September 2013, Yelp cooperated with Operation Clean Turf, a sting operation by the New York Attorney General that uncovered 19 astroturfing operations. In April 2017, a Norfolk, Massachusetts, jury awarded a jewelry store over $34,000 after it determined that its competitor's employee had filed a false negative Yelp review that knowingly caused emotional distress.{{cite web|url=http://www.patriotledger.com/news/20170405/quincy-center-jeweler-wins-suit-over-yelp-review|title=Quincy Center jeweler wins suit over Yelp review|access-date=April 26, 2017|url-status=dead|archive-url=https://web.archive.org/web/20170427003703/http://www.patriotledger.com/news/20170405/quincy-center-jeweler-wins-suit-over-yelp-review|archive-date=April 27, 2017|df=mdy-all}}
In December 2019, Yelp won a court case that challenged the company's explanation of how its review recommendation software worked. The court ruling stated that "None of the evidence presented at the trial showed anything nefarious or duplicitous on the part of Yelp in connection with the assertions made in the Challenged Statements."{{Cite web|title=Demetriades v. Yelp|url=https://digitalcommons.law.scu.edu/cgi/viewcontent.cgi?article=3136&context=historical|access-date=2022-02-08|archive-date=February 8, 2022|archive-url=https://web.archive.org/web/20220208132431/https://digitalcommons.law.scu.edu/cgi/viewcontent.cgi?article=3136&context=historical|url-status=live}} This was one of a number of court cases that ruled in favor of Yelp over the years.{{Cite web|last1=Liability|first1=Eric Goldman · in Derivative|last2=Marketing|date=2020-03-01|title=Yelp Finally Defeats a False Advertising Lawsuit Over Its Review Functionality-Demetriades v. Yelp|url=https://blog.ericgoldman.org/archives/2020/03/yelp-finally-defeats-a-false-advertising-lawsuit-over-its-review-functionality-demetriades-v-yelp.htm|access-date=2022-02-08|website=Technology & Marketing Law Blog|language=en-US|archive-date=February 8, 2022|archive-url=https://web.archive.org/web/20220208132432/https://blog.ericgoldman.org/archives/2020/03/yelp-finally-defeats-a-false-advertising-lawsuit-over-its-review-functionality-demetriades-v-yelp.htm|url-status=live}}
=Alleged unfair business practices=
Yelp has a complicated relationship with small businesses. There have been allegations that Yelp has manipulated reviews based on participation in its advertising programs.{{cite news | url=https://www.latimes.com/business/technology/la-fi-tn-yelp-town-hall-reviews-20130820,0,501302.story | title=Tempers flare at Yelp's town hall for small business owners in L.A. | last=Chang | first=Andrea | work=Los Angeles Times | date=August 21, 2013 | url-access=limited | url-status=live | archive-url=https://web.archive.org/web/20130929084537/http://www.latimes.com/business/technology/la-fi-tn-yelp-town-hall-reviews-20130820,0,501302.story | archive-date=September 29, 2013 | df=mdy-all }} Many business owners have said that Yelp salespeople have offered to remove or suppress negative reviews if they purchase advertising.{{cite news |title=Yelp Blames Greedy Lawyers for Extortion Allegations |url=https://www.nbcbayarea.com/news/local/yelp-blames-greedy-lawyers-for-extortion-allegations-jw/2090383/|first=Jackson |last=West| date=March 1, 2010 | work=NBC News |url-status=live| archive-url=https://web.archive.org/web/20131112140111/http://www.nbcbayarea.com/news/tech/Yelp-Blames-Greedy-Lawyers-for-Extortion-Allegations-jw-85840862.html |archive-date=November 12, 2013 |df=mdy-all}} Others report seeing negative reviews featured prominently and positive reviews buried, and then soon afterwards, they would receive calls from Yelp attempting to sell paid advertising.{{cite news|title=Yelp accused of bullying businesses into paying for better reviews|first=Sophia|last=Harris|website=CBC News|date=January 14, 2015|url=http://www.cbc.ca/news/business/yelp-accused-of-bullying-businesses-into-paying-for-better-reviews-1.2899308|access-date=January 15, 2015|url-status=live|archive-url=https://web.archive.org/web/20150117173853/http://www.cbc.ca/news/business/yelp-accused-of-bullying-businesses-into-paying-for-better-reviews-1.2899308|archive-date=January 17, 2015|df=mdy-all}}
Yelp staff acknowledged that they had allowed their advertising partners to move their favorite review to the top of the listings as a "featured review", but said the reviews were not otherwise manipulated to favor the partner businesses. Such featured reviews were shown with a strip above them that said "One of [Insert Business Here]'s Favorite Reviews" and "This business is a Yelp sponsor."{{cite news|url=https://www.theregister.co.uk/2008/08/13/yelp_sales_pitch/|title=Yelp 'pay to play' pitch makes shops scream for help|first=Cade|last=Metz|date=August 13, 2008|work=The Register|access-date=August 20, 2008|url-status=live|archive-url=https://web.archive.org/web/20080820044259/http://www.theregister.co.uk/2008/08/13/yelp_sales_pitch/|archive-date=August 20, 2008|df=mdy-all}} The company also said it might have had some rogue salespeople that misrepresented their practices when selling advertising services. In response to the criticism of their allowing their advertising partners to manipulate the review listing, Yelp ceased its "featured review" practice in 2010.
Several lawsuits have been filed against Yelp accusing it of extorting businesses into buying advertising products. Each has been dismissed by a judge before reaching trial. In February 2010, a class-action lawsuit was filed against Yelp alleging it asked a Long Beach veterinary hospital to pay $300 a month for advertising services that included the suppression or deletion of disparaging customer reviews.{{cite magazine |url=https://www.wired.com/threatlevel/2010/02/yelp-sued-for-alleged-extortion/ |title=Yelp Accused of Extortion |last=Zetter |first=Kim |magazine=Wired |date=February 24, 2010 |url-status=live |archive-url=https://web.archive.org/web/20121222192459/http://www.wired.com/threatlevel/2010/02/yelp-sued-for-alleged-extortion |archive-date=December 22, 2012|df=mdy-all}} The following month, nine additional businesses joined the class-action lawsuit,{{cite news |last=Ali |first=Sarmad |url=https://blogs.wsj.com/digits/2010/03/17/small-businesses-join-lawsuit-against-yelp/ |title=Small Businesses Join Lawsuit Against Yelp |newspaper=The Wall Street Journal |date=March 17, 2010 |access-date=January 3, 2013 |url-status=live |archive-url=https://web.archive.org/web/20130116192515/http://blogs.wsj.com/digits/2010/03/17/small-businesses-join-lawsuit-against-yelp/ |archive-date=January 16, 2013 |df=mdy-all }} and two similar lawsuits were filed.{{cite news |url=https://www.pantagraph.com/business/review-site-yelp-under-fire-in-business-lawsuits/article_ed48d532-3380-11df-9928-001cc4c03286.html | title=Review site Yelp under fire in business' lawsuits |first=Rachel | last=Metz | agency=Associated Press | publisher=The Pantagraph | date=March 20, 2010 | url-status=live | archive-url=https://web.archive.org/web/20150923230426/http://www.businessweek.com/ap/financialnews/D9EHQGEG0.htm | archive-date=September 23, 2015| df=mdy-all}} That May the lawsuits were combined into one class-action lawsuit,{{cite news | url=https://www.mediapost.com/publications/article/173991/business-owners-seek-to-revive-payola-lawsuit-agai.html | title=Business Owners Seek To Revive Payola Lawsuit Against Yelp | last=Davis | first=Wendy | work=Media Post | date=May 4, 2012 | url-status=live | archive-url=https://web.archive.org/web/20130910104303/http://www.mediapost.com/publications/article/173991/business-owners-seek-to-revive-payola-lawsuit-agai.html#axzz2Pn05cAgv | archive-date=September 10, 2013 | df=mdy-all }} which was dismissed by San Francisco U.S. District Judge Edward Chen in 2011. Chen said the reviews were protected by the Communications Decency Act of 1996 and that there was no evidence of manipulation by Yelp.{{cite web |last=Fowler |first=Geoffrey A. |url=http://online.wsj.com/article/SB10001424052970204505304577002170423750412.html |title=Yelp Is Cleared in Lawsuit |newspaper=The Wall Street Journal |date=October 28, 2011 |access-date=January 3, 2013 |url-status=live |archive-url=https://web.archive.org/web/20121216022511/http://online.wsj.com/article/SB10001424052970204505304577002170423750412.html |archive-date=December 16, 2012 |df=mdy-all }} {{subscription required}} The plaintiffs filed an appeal.{{cite web | url=http://www.ibtimes.com/yelp-extortion-rampant-say-small-business-owners-class-action-lawsuit-against-review-bully-appealed | title=Yelp Extortion Rampant, Say Small-Business Owners As Class-Action Lawsuit Against Review 'Bully' Appealed | website=International Business Times | date=July 12, 2013 | access-date=August 4, 2013 | author=Zara, Christopher | url-status=live | archive-url=https://web.archive.org/web/20130726181503/http://www.ibtimes.com/yelp-extortion-rampant-say-small-business-owners-class-action-lawsuit-against-review-bully-appealed | archive-date=July 26, 2013 | df=mdy-all }} In September 2014, the United States Court of Appeals for the Ninth Circuit upheld the dismissal, finding that even if Yelp did manipulate reviews to favor advertisers, this would not fall under the court's legal definition of extortion.{{cite news |url=https://www.sfgate.com/news/article/Yelp-can-give-paying-clients-better-ratings-5731200.php |title=Yelp can manipulate ratings, court rules |first=Bob | last=Egelko | work=San Francisco Chronicle |date=September 4, 2014 |url-status=live|archive-url=https://web.archive.org/web/20140926140834/http://www.sfgate.com/news/article/Yelp-can-give-paying-clients-better-ratings-5731200.php |archive-date=September 26, 2014 |df=mdy-all}}{{cite news | title=Court Decides Yelp Can Change Ratings | url=https://www.nytimes.com/2014/09/05/business/court-decides-yelp-can-change-ratings.html |agency=Associated Press | work=The New York Times |date=September 4, 2014 | url-access=limited |url-status=live | archive-url=https://web.archive.org/web/20141006080620/http://www.nytimes.com/2014/09/05/business/court-decides-yelp-can-change-ratings.html?_r=0 | archive-date=October 6, 2014 | df=mdy-all}}{{cite news | title=Court Sides With San Francisco-Based Yelp In Lawsuit From Small Business Owners | url=https://sanfrancisco.cbslocal.com/2014/09/04/court-sides-with-san-francisco-based-yelp-in-lawsuit-from-small-business-owners-9th-circuit-court-of-appeals-online-reviews/ | work=CBS News | date=September 4, 2014 | url-status=live | archive-url=https://web.archive.org/web/20141006103104/http://sanfrancisco.cbslocal.com/2014/09/04/court-sides-with-san-francisco-based-yelp-in-lawsuit-from-small-business-owners-9th-circuit-court-of-appeals-online-reviews/ |archive-date=October 6, 2014 |df=mdy-all}}
In August 2013, Yelp launched a series of town hall style meetings in 22 major American cities in an effort to address concerns among local business owners. Many attendees expressed frustration with seeing Yelp remove positive reviews after they declined to advertise, receiving reviews from users that never entered the establishment, and other issues.{{cite news | url=https://www.latimes.com/business/la-fi-yelp-town-hall-20130822,0,4360994.story | title=Yelp gets an earful from L.A. business owners | newspaper=Los Angeles Times | date=August 21, 2013 | access-date=September 2, 2013 | author=Chang, Andrea | url-status=live | archive-url=https://web.archive.org/web/20130826211758/http://www.latimes.com/business/la-fi-yelp-town-hall-20130822,0,4360994.story | archive-date=August 26, 2013 | df=mdy-all }} A 2011 "working paper" published by Harvard Business School from Harvard Associate Professor Michael Luca and Georgios Zervas of Boston University found that there was no significant statistical correlation between being a Yelp advertiser and having more favorable reviews.{{citation|title=Fake It Till You Make It: Reputation, Competition, and Yelp Review Fraud|first1=Michael|last1=Luca|first2=Georgios|last2=Zervas|date=November 8, 2013|access-date=September 28, 2014|url=http://www.hbs.edu/faculty/Pages/item.aspx?num=45151|url-status=live|archive-url=https://web.archive.org/web/20140922075315/http://www.hbs.edu/faculty/Pages/item.aspx?num=45151|archive-date=September 22, 2014|df=mdy-all}} The Federal Trade Commission received 2,046 complaints about Yelp from 2008 to 2014, most from small businesses regarding allegedly unfair or fake reviews or negative reviews that appear after declining to advertise.{{cite news | title=Yelp Reviews Brew a Fight Over Free Speech vs. Fairness | url=https://www.wsj.com/articles/SB10001424052702303847804579477633444768964| first=Angus | last=Loten | work=The Wall Street Journal | date=April 2, 2014 | url-access=subscription | url-status=live | archive-url=https://web.archive.org/web/20141217040719/http://www.wsj.com/articles/SB10001424052702303847804579477633444768964 | archive-date=December 17, 2014| df=mdy-all}} According to Yelp, the Federal Trade Commission finished a second examination of Yelp's practices in 2015 and in both cases did not pursue an action against the company.{{cite news | title=Yelp Says FTC Won't Act on Complaints About Its Reviews | first=Rolfe | last=Winkler | url=https://blogs.wsj.com/digits/2015/01/06/yelp-says-ftc-wont-act-on-complaints-about-its-reviews/ | work=The Wall Street Journal | date=January 6, 2015 | url-access=subscription | url-status=live | archive-url=https://web.archive.org/web/20150107074748/http://blogs.wsj.com/digits/2015/01/06/yelp-says-ftc-wont-act-on-complaints-about-its-reviews/ | archive-date=January 7, 2015 | df=mdy-all}}{{cite news | url=https://money.cnn.com/2015/01/07/technology/ftc-yelp-reviews/ | title=Yelp: You can trust our reviews | first=Sara | last=O'Brien | website=CNN | date=January 7, 2015 | url-status=live | archive-url=https://web.archive.org/web/20150107170158/http://money.cnn.com/2015/01/07/technology/ftc-yelp-reviews/ | archive-date=January 7, 2015 | df=mdy-all}}
Journalist David Lazarus of the Los Angeles Times also criticized Yelp in 2014 for the practice of selling competitors' ads to run on top of business listings and then offering to have the ads removed as part of a paid feature.{{cite news | title=Yelp's practices sound to some like extortion | url=https://www.latimes.com/business/la-xpm-2014-mar-31-la-fi-lazarus-20140401-story.html | work=Los Angeles Times |date=March 31, 2014 | url-access=limited | url-status=live |archive-url=https://web.archive.org/web/20150211195958/http://articles.latimes.com/2014/mar/31/business/la-fi-lazarus-20140401 |archive-date=February 11, 2015| df=mdy-all}}
The 2019 film Billion Dollar Bully documents Yelp's alleged business practices.{{cite news|url=http://www.ibtimes.com/yelp-movie-san-francisco-filmmaker-takes-billion-dollar-bully-1843536|title=Yelp The Movie: San Francisco Filmmaker Takes On 'Billion Dollar Bully'|first=Christopher|last=Zara|work=International Business Times|date=March 11, 2015|url-status=live|archive-url=https://web.archive.org/web/20150315033732/http://www.ibtimes.com/yelp-movie-san-francisco-filmmaker-takes-billion-dollar-bully-1843536|archive-date=March 15, 2015}}
In 2018, in the case Hassell v. Bird, the California Supreme Court held by a narrow 4–3 margin that a business cannot force Yelp to remove a review, even if the review is defamatory of the business.{{cite web | title=California high court: Yelp can't be ordered to remove posts | website=AP News | url=https://www.apnews.com/62dd5ebf5fac4f04810ce80f39df77d4/California-high-court:-Yelp-can%27t-be-ordered-to-remove-posts | access-date=July 7, 2018 | quote=Online review site Yelp.com cannot be ordered to remove posts against a San Francisco law firm that a judge determined were defamatory, a divided California Supreme Court ruled Monday in a closely watched case that internet companies warned could be used to silence online speech. | date=July 2, 2018 | archive-date=July 2, 2018 | archive-url=https://web.archive.org/web/20180702231352/https://www.apnews.com/62dd5ebf5fac4f04810ce80f39df77d4/California-high-court:-Yelp-can%27t-be-ordered-to-remove-posts | url-status=live }}{{Cite court |url=http://www.courts.ca.gov/opinions/documents/S235968.PDF |title=Archived copy |access-date=July 4, 2018 |archive-date=November 19, 2018 |archive-url=https://web.archive.org/web/20181119124812/http://www.courts.ca.gov/opinions/documents/S235968.PDF |url-status=dead }}
A 2019 investigation by Vice News and the podcast Underunderstood found that in some cases, Yelp was replacing restaurant's direct phone numbers with numbers that routed through GrubHub, which would then charge restaurants for the calls under marketing agreements GrubHub has with restaurants.{{Cite web |url=https://www.vice.com/en/article/yelp-is-sneakily-replacing-restaurants-phone-numbers-so-grubhub-can-take-a-cut/ |title=Yelp is Screwing Over Restaurants By Quietly Replacing Their Phone Numbers |date=August 6, 2019 |access-date=August 7, 2019 |archive-date=September 21, 2020 |archive-url=https://web.archive.org/web/20200921152808/https://www.vice.com/en_us/article/wjwebw/yelp-is-sneakily-replacing-restaurants-phone-numbers-so-grubhub-can-take-a-cut |url-status=live }}
=Political expression and politically motivated ratings=
Eater reported that between 2012 and 2015, a number of users who review restaurants on the site have posted reviews that contained comments about the political activities and political views of businesses and their owners or have submitted ratings affected by political motivations. The article found that in some instances, the Yelp review area for a business has become flooded with such review submissions after a business was involved in politically sensitive action. Yelp has removed reviews of this nature and has tried to suppress their submission.{{cite news|title=Why Yelp Emerged as a Site for Social Protest|first=Amy|last=McKeever|date=May 19, 2015|url=http://www.eater.com/2015/5/19/8588185/yelp-social-protest-trolling-memories-pizza|publisher=Eater|access-date=May 22, 2015|url-status=live|archive-url=https://web.archive.org/web/20150521234144/http://www.eater.com/2015/5/19/8588185/yelp-social-protest-trolling-memories-pizza|archive-date=May 21, 2015|df=mdy-all |work=Eater}}
=Litigation over review content=
According to data compiled in 2014 by the Wall Street Journal, Yelp receives about six subpoenas a month asking for the names of anonymous reviewers, mostly from business owners seeking litigation against those writing negative reviews. In 2012, the Alexandria Circuit Court and the Virginia Court of Appeals{{cite web|title=Yelp Is In Court Deal With Free Speech Issues Yet Again|first=Jillian|last=D'Onfro|date=April 4, 2014|url=http://www.businessinsider.com/yelp-free-speech-defamation-2014-4#ixzz3ASk4cg1X|website=Business Insider|url-status=live|archive-url=https://web.archive.org/web/20150508035332/http://www.businessinsider.com/yelp-free-speech-defamation-2014-4#ixzz3ASk4cg1X|archive-date=May 8, 2015|df=mdy-all}} held Yelp in contempt for refusing to disclose the identities of seven reviewers who anonymously criticized a carpet-cleaning business. In 2014, Yelp appealed to the Virginia Supreme Court.{{cite news|title=Yelp battles to keep local reviewers anonymous|date=April 4, 2014|first=Eric|last=Sherman|access-date=July 4, 2014|url=http://www.cbsnews.com/news/yelp-battles-to-keep-local-reviewers-anonymous/|publisher=ABC News|url-status=live|archive-url=https://web.archive.org/web/20140715002256/http://www.cbsnews.com/news/yelp-battles-to-keep-local-reviewers-anonymous/|archive-date=July 15, 2014|df=mdy-all}} A popular public argument in favor of Yelp at the time was that a ruling against Yelp would negatively affect free speech online. The judge from an early ruling said that if the reviewers did not actually use the businesses' services, their communications would be false claims not protected by free speech laws.{{cite news|title=Facebook, Google, Twitter side with Yelp in Virginia Supreme Court case, report says|url=http://www.syracuse.com/news/index.ssf/2014/11/facebook_google_twitter_side_with_yelp_in_virginia_supreme_court_case_regarding.html|newspaper=Syracuse|first=Allie|last=Healy|date=November 4, 2014|access-date=November 13, 2014|url-status=live|archive-url=https://web.archive.org/web/20141108041341/http://www.syracuse.com/news/index.ssf/2014/11/facebook_google_twitter_side_with_yelp_in_virginia_supreme_court_case_regarding.html|archive-date=November 8, 2014|df=mdy-all}} The Virginia Supreme Court ruled that Yelp, a non-resident company in the state of Virginia, could not be subpoenaed by a lower court.{{Cite web|url=https://www.foster.com/duff-on-hospitality-law/virginia-supreme-court-holds-that-yelp-cannot-be-subpoenaed-in-virginia|title=Virginia Supreme Court Holds that Yelp! Cannot be Subpoenaed in Virginia|last=Duff|first=Greg|date=April 24, 2015|website=Foster Garvey|access-date=January 3, 2020|archive-date=January 3, 2020|archive-url=https://web.archive.org/web/20200103175558/https://www.foster.com/duff-on-hospitality-law/virginia-supreme-court-holds-that-yelp-cannot-be-subpoenaed-in-virginia|url-status=live}} Also in 2014, a California state law was enacted that prohibits businesses from using "disparagement clauses" in their contracts or terms of use that allow them to sue or fine customers that write negatively about them online.{{cite news|title=Congress's Fight for Your Right to Yelp|first=Laura|last=Ryan|url=http://www.nationaljournal.com/tech/congress-fight-for-your-right-to-yelp-20140915|access-date=September 16, 2014|newspaper=National Journal|date=September 15, 2014|url-status=dead|archive-url=https://web.archive.org/web/20140915162934/http://www.nationaljournal.com/tech/congress-fight-for-your-right-to-yelp-20140915|archive-date=September 15, 2014|df=mdy-all}}{{cite news|title=Yelp without fear, says new California law|first=Doug|last=Gross|publisher=CNN|url=http://www.cnn.com/2014/09/12/tech/web/california-law-yelp/|access-date=September 16, 2014|date=September 12, 2014|url-status=live|archive-url=https://web.archive.org/web/20140916064835/http://www.cnn.com/2014/09/12/tech/web/california-law-yelp/|archive-date=September 16, 2014|df=mdy-all}}
=Investigations=
A 2020 Business Insider investigation questioned the culture, ethics and practices within Yelp.{{cite web|url=https://www.businessinsider.com/yelp-insiders-disturbing-stories-high-pressure-corporate-sales-culture-2020-11|title=Heavy drinking, sex tapes, and a pyramid scheme: Yelp insiders speak out about the company's high-pressure sales culture|publisher=Business Insider|access-date=7 November 2020|archive-date=November 7, 2020|archive-url=https://web.archive.org/web/20201107130502/https://www.businessinsider.com/yelp-insiders-disturbing-stories-high-pressure-corporate-sales-culture-2020-11|url-status=live}}{{cite web|url=https://www.businessinsider.com/yelp-sales-tactics-insiders-say-sales-reps-misleading-aggressive-2020-10|title=Yelp sales tactics: Insiders say sales reps are misleading, aggressive|publisher=Business Insider|access-date=7 November 2020|archive-date=November 1, 2020|archive-url=https://web.archive.org/web/20201101001914/https://www.businessinsider.com/yelp-sales-tactics-insiders-say-sales-reps-misleading-aggressive-2020-10|url-status=live}} An April 2022 Vice article highlighted that some Elite reviewers use their status to sell reviews.{{cite web|url=https://www.vice.com/en/article/buy-yelp-elite-reviews/|title=The Trusted Yelp 'Elite' Reviewers Who Sell Their Reviews for Cash|date=April 26, 2022|publisher=Vice|access-date=28 April 2022|archive-date=April 28, 2022|archive-url=https://web.archive.org/web/20220428063051/https://www.vice.com/en/article/qjbqvd/buy-yelp-elite-reviews|url-status=live}}
Community
According to Inc. Magazine most reviewers (sometimes called "Yelpers") are "well-intentioned" and write reviews in order to express themselves, improve their writing, or to be creative. In some cases, they write reviews in order to lash out at corporate interests or businesses they dislike. Reviewers may also be motivated by badges and honors, such as being the first to review a new location, or by praise and attention from other users. Many reviews are written in an entertaining or creative manner. Users can give a review a "thumbs-up" rating, which will cause it to be ranked higher in the review listings.{{cite news | url=https://www.latimes.com/local/la-xpm-2013-apr-20-la-me-banks-yelp-20130420-story.html | title=Turning a critical eye on Yelp | last=Banks | first=Sandy | work=Los Angeles Times | date=April 20, 2013 | url-access=limited | url-status=live | archive-url=https://web.archive.org/web/20140423055240/http://www.latimes.com/news/local/la-me-banks-yelp-20130420,0,7824145,full.column | archive-date=April 23, 2014 | df=mdy-all }} Each day a "Review of the Day" is determined based on a vote by users. According to The Discourse of Online Consumer Reviews many Yelp reviewers are internet-savvy adults aged 18–25 or "suburban baby boomers".
Reviewers are encouraged to use real names and photos.{{cite book|last=Vasquez|first=Camilla|title=The Discourse of Online Consumer Reviews|url=https://books.google.com/books?id=a2p7AwAAQBAJ&pg=PT6|date=June 19, 2014|publisher=Bloomsbury Publishing|isbn=978-1-4411-9684-2|url-status=live|archive-url=https://web.archive.org/web/20160501081714/https://books.google.com/books?id=a2p7AwAAQBAJ&pg=PT6|archive-date=May 1, 2016|df=mdy-all}} Each year members of the Yelp community are invited or self-nominated to the "Yelp Elite Squad" and some are accepted based on an evaluation of the quality and frequency of their reviews. Members may nominate other reviewers for elite status. Users must use their real name and photo on Yelp to qualify for the Elite Squad. To accept a nomination, members must not own a business. Elite Squad Yelpers are governed by a council and estimated to include several thousand members. Yelp does not disclose how the Yelp Elite are selected.{{cite magazine|date=June 2, 2011|title=Yelp's Online Reviewing Mafia|url=http://www.businessweek.com/magazine/content/11_24/b4232083260194.htm|access-date=March 20, 2013|magazine=BusinessWeek|url-status=dead|archive-url=https://web.archive.org/web/20130308040026/http://www.businessweek.com/magazine/content/11_24/b4232083260194.htm|archive-date=March 8, 2013|df=mdy-all}} Elite Squad members are given different color badges based on how long they've been an elite member. The Yelp Elite Squad originated with parties Yelp began throwing for members in 2005, and in 2006 it was formally codified; the name came from a joking reference to prolific reviewers that were invited to Yelp parties as the "Yelp Elite Squad"." Members are invited to special opening parties, given gifts, and receive other perks.{{cite news|title=For some Yelp reviewers, it pays to be Elite|first=Jen|last=Harris|url=https://www.latimes.com/food/la-fo-0502-yelp-20150502-story.html|newspaper=Los Angeles Times|access-date=May 8, 2015|date=May 1, 2015|url-status=live|archive-url=https://web.archive.org/web/20150505052750/http://www.latimes.com/food/la-fo-0502-yelp-20150502-story.html|archive-date=May 5, 2015|df=mdy-all}} As of 2017, there are over 80 local Elite Squads in North America.
As of 2017, Yelp employed a staff of over 80 community managers that organize parties for prolific reviewers, send encouraging messages to reviewers, and host classes for small business owners. Yelp reviewers are not required to disclose their identity, but Yelp encourages them to do so.
See also
{{Portal|Companies}}
References
{{reflist}}
External links
- Official websites
- [https://www.yelp.com United States]
- [https://www.yelp.co.uk United Kingdom]
- [https://yelpreservations.com Yelp Reservations official website]
{{Finance links
| name = Yelp Inc.
| symbol = YELP
| reuters = YELP.O
| bloomberg = YELP:US
| sec_cik = YELP
| yahoo = YELP
| google = YELP
}}
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{{Authority control}}
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