Companyreview
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Zach Rygwelski reviewed a company that connects people to local businesses. It was founded in 2004 and went public in 2012. While the company has seen strong revenue growth in recent years, adding features like hygiene scores, the review predicted it may struggle long-term due to increased competition from larger companies that could render its services obsolete.
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Companyreview
- 1. Zach Rygwelski EECS 441 Company Review
- 2. Sample Products “To connect people with great local businesses”
- 3. Financial Information Revenue: 121.32M Qtrly Revenue Growth (yoy): 63.10%
- 4. History First Launched October 2004 Founders Jeremy Stoppelman and Russel Simmons Went Public March 2, 2012
- 5. What’s Hot Adding hygiene scores restaurant reviews 2012 Study from UC Berkeley July 2010 to October 2010 data
- 6. Secret Sauce User trust Filter reviews First to review reward
- 7. Interesting Story User posted criticizing review Business Owner retaliates
- 8. Competition
- 9. Prediction Too many competitors Bigger companies will render it obsolete
- 10. Questions?
Editor's Notes
- Slogan: How it works: type what and whereScreen shot: Ratings and Comments / business addr, hours, parking Users/businesses can update the listings
- First Launched: Founders worked for PayPal. Company started as an email recommendation service. San Fran. 2008 first expanded to another location, Manhattan. Canadian office 2008. 2009 other countries. 2009 was in negotiations to be bought out by google for $500000.
- Recently:Facebook Graph search. Kind of in response, Yelp announced more data will be placed on their page. Stoppelman said doesn’t help finances, but puts “positive impact on society”. 3.5 to 4 stars (30 – 49% sellout for 7pm bookings). We see what good ratings mean to businesses. We’ll see this later
- Users trust – Online community - Have users who are trusted more than others. “Reputation”. Interests, length of membership. There are some filters that yelp uses to keep suspicious posts and reviews.
- 2009 Sean C posted review saying diane’s book store was a mess. … Shows you what a bad review can do to a business and how powerful yelp is. Going back two slides how much it can help…..
- Citysearch – one of earliest competitors. Overtook page view count in 2008. Basically the same. Allows nominations/votes for most popular places. Seamless – Online food ordering sercive. Search what/where. Yahoo!/Google local – Facebook Graph search – photos all my friends/family are in – dentists my friends like – food my friends like
- Facebook has Users – Once the product gets big enough and Facebook gets feedback and makes its product better – it will overtake yelpGoogle local – such a large business