Yelp may not be the first company that comes to mind when discussing artificial intelligence (AI), but Chief Product Officer Craig Saldanha emphasizes that AI is already transforming the Yelp experience. In recent years, Yelp has made significant advancements in AI, incorporating it into various aspects of their platform, such as AI-powered summaries and an AI assistant. I had the opportunity to speak with Saldanha about Yelp’s AI strategy and how they are leveraging AI without compromising the authenticity of user reviews. We also delved into Yelp’s competition with emerging platforms like TikTok in the field of local discovery.
Yelp’s mission has always been to connect consumers with great local businesses, and they have been investing in AI for over a decade. However, recent advancements in generative AI and other language model models (LLMs) have allowed Yelp to take full advantage of their vast database of user-generated reviews. LLMs enable Yelp to parse through this data quickly and accurately, presenting relevant information to users in a precise and personalized way. This allows users to find exactly what they are looking for, whether it’s a specific Indian spice or tacos at a local restaurant.
Saldanha highlights the three key phases of the consumer journey on Yelp: defining search intent, selecting businesses, and making connections. AI plays a role in each of these phases. For example, when users search for a specific type of restaurant, Yelp’s sophisticated model understands their intent and determines the order in which relevant restaurants are displayed. With LLMs, users can search for even more specific items and find them with ease. AI also helps users make connections by facilitating seamless interactions with other users and service providers.
Yelp’s AI capabilities extend beyond their platform through the recently introduced Yelp Fusion API. This allows third-party websites, such as travel sites, to access personalized information from Yelp. For example, a user can ask where to find a Sunday brunch that is open after 11 and kid-friendly, and the API will provide tailored recommendations. This expansion of Yelp’s AI reach enables them to assist a larger number of consumers simultaneously.
In order for Yelp to differentiate itself in the AI field, they rely heavily on their unique dataset rather than groundbreaking core technologies. While their AI team is essential, the core value proposition of Yelp lies in its user-generated content. Yelp harnesses off-the-shelf models for tasks like finding relevant snippets from reviews, but their technological prowess shines in areas like Yelp Assistant. By using neural networks and deep understanding of different types of professionals, Yelp is able to match users with the right service providers and help them solve a variety of problems.
Maintaining the authenticity of user reviews is crucial for Yelp, especially with the rise of generative AI content. Yelp has implemented stringent measures to validate the authenticity of reviews and prevent the use of AI-generated content. They have invested in sophisticated solutions to identify and remove fraudulent reviews from bots or solicited sources. Yelp remains committed to upholding the integrity of their platform and constantly adapts to stay ahead of potential bad actors.
While some may worry that the integration of AI and summary tools may discourage users from writing thoughtful reviews, Saldanha believes that AI will actually enhance both the quantity and quality of reviews. Yelp’s AI tools nudge users with prompts to help them remember specific aspects of their experience. Additionally, photos play a crucial role in providing visual context to reviews. Yelp’s redesigned home feed is visually rich and prioritizes user-generated photos and videos, making them more discoverable.
Yelp ensures that user reviews remain a central part of the platform by featuring them prominently. Instead of immediately presenting users with answers or summaries, Yelp connects users directly to the reviews. This approach allows users to engage with the reviewer and find their specific experiences. Yelp also provides feedback to users who write reviews, informing them about the impact of their reviews on businesses and other users. This feedback loop provides users with a sense of validation and motivation to continue writing reviews.
Looking to the future, Yelp aims to create a comprehensive experience of businesses through the integration of pictures, videos, and descriptions. They utilize AI to combine these elements and offer users a 360-degree view of businesses, enabling them to make informed decisions. On the business side, Yelp is focusing on improving matching algorithms to connect the right professionals with high intent consumers. They also provide AI-driven recommendations for businesses regarding their marketing budgets. Additionally, Yelp continues to explore ways to use AI to streamline the qualification process for leads and support professionals in their interactions with users.
As the local discovery landscape evolves with platforms like TikTok gaining popularity, Yelp differentiates itself in several ways. Firstly, Yelp’s breadth of categories sets it apart from platforms that primarily focus on restaurants and décor. Yelp covers a wide range of categories, including plumbing, roofing, accountants, lawyers, and doctors. Secondly, Yelp offers a balance of views through its even distribution of ratings. Unlike platforms where extreme opinions dominate, Yelp provides a more nuanced and reliable perspective.
In conclusion, Yelp has successfully integrated AI into various aspects of its platform, enhancing the user experience and connecting consumers with local businesses. Through advancements in LLMs, Yelp can parse through their vast database of reviews and present personalized information to users. They prioritize the authenticity of user reviews and employ strict measures to prevent the use of AI-generated content. Yelp continues to leverage AI to improve matching algorithms, provide recommendations, and support professionals in their interactions with users. With their unique dataset and commitment to fostering balanced and reliable perspectives, Yelp stands out in the field of local discovery.
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