Yelp.com is Extorting Businesses?

Yelp.com is a popular website that I have advocated for on this site and countless times to my friends, family, and other online contacts.

The idea of Yelp.com is simple: it’s an online site where anyone can leave a review on any business or address. For example, are you looking for a Chinese restaurant in NE Portland, Oregon? Yelp can help steer you in the direction of one and give you first-hand reviews of patrons to help form your opinion.

However, according to the East Bay Express, the newspaper has found many instances of Yelp.com sales people calling restaurants and, for a price, offering to move negative reviews down on the page.

This would make the business appear more appealing because, to an unknowing Yelp user, the positive reviews for the restaurant would bubble to the top, making that restaurant’s reviews more favorable.

This is outright EXTORTION with a capital E, if the allegations are true! Depending on how this shakes out, I may stop Yelping immediately.

I have some contacts at Yelp and will be following up with what I find out!

UPDATE: Yelp.com’s CEO responded with a blog post.

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This entry was posted on Thursday, February 19th, 2009 at 8:05 am and is filed under mobile, tech news/notes, useful-info. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

4 Responses to “Yelp.com is Extorting Businesses?”

Varun February 19th, 2009 at 12:20 pm

Well I have used Yelp too and was pretty pleased with their service and ratings ..

but now i might have to look for an alternative site !

Yelp gets accused of extortion and blackmail- Is Yelp unethical? | Techmeme@MyRecap February 19th, 2009 at 3:20 pm

[...] news has certaily led to far reaching consequences and as Jason Harris from techcraver.com says, “[t]his is outright EXTORTION with a capital E, if the allegations are true! Depending [...]

Jose February 19th, 2009 at 3:30 pm

I have always heard about these shady stories and this is a confirmation of Yelp’s bad practices.

Here is a free alternative to Yelp for local businesses: http://www.rateitall.com/promote

Yelp sur le banc des accusés pour corruption et chantage | Techmeme@MyRecap February 23rd, 2009 at 11:48 am

[...] l’affaire a déjà eu de profondes répercussions, et comme l’affirme Jason Harris sur techcraver.com : « si les accusations sont confirmées, alors il s’agit d’une CORRUPTION flagrante, avec [...]

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