Social media and Wall Street have long had an awkward relationship. For some time, investors have been aware of the power and influence of Web-based media, but how they can profit from it has been less than clear. But when Yelp debuted on the NYSE in March, investors cheered, sending the stock up 64% on the first day of trading. Yelp has had its share of troubles since then: some investors have worried about the firm’s strategy to grow revenue from mobile users, while others remain loyal because they like the company’s business model of extracting advertising revenue from the very businesses that consumers are using the service to learn about. As Kendall Whitehouse, director of new media at the University of Pennsylvania’s Wharton School, says, “One of the things that is attractive about Yelp is the site’s closeness to the user’s purchase decision. Someone looking up a restaurant review in Yelp is very likely planning to go out to eat somewhere. And that should be easy to monetize.”
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1. Yelp IPO
Full List
Top 10 Business Blunders
- 10. Goldman Sachs’ Muppetgate
- 9. Walmart’s Mexican Bribery Scandal
- 8. Apple and Book Publishers Collude to Raise E-Book Prices
- 7. The Chesapeake Energy Corporate-Governance Scandal
- 6. Never-Ending European Debt Crisis
- 5. Apple Drops Google Maps from the iPhone
- 4. JPMorgan’s $9 Billion Trading Loss
- 3. Standard Chartered Fined for Money Laundering
- 2. Facebook IPO
- 1. LIBOR Rate-Rigging Scandal
Top 10 Business Deals
- 10. Apple Drops Google Maps
- 9. Softbank Buys 70% Stake in Sprint Nextel
- 8. Yahoo Hires Marissa Mayer as Its New CEO
- 7. President Obama and a Republican Congress Pass the JOBS Act
- 6. Apple and HTC’s Landmark Patent Agreement
- 5. T-Mobile Acquires MetroPCS
- 4. Facebook Buys Instagram for $1 Billion
- 3. $25 Billion Mortgage-Fraud Settlement
- 2. Yahoo Sells Half of Stake in Alibaba
- 1. Yelp IPO
Top 10 Recession and Budget Trends
- 10. Fast Food Goes Gourmet
- 9. Travel Fees Aren’t Just at the Airport Anymore
- 8. Small Cars Are the Next Big Thing
- 7. The Rise of the Irrational Consumer
- 6. Gas Prices Hit Record Highs — Again
- 5. More Americans Are Unbanked
- 4. Student Debt Surpasses Credit-Card Debt
- 3. Retailers Hit Back at ‘Showrooming’
- 2. U.S. Consumers Shed Debt — Then Start Taking It On Again
- 1. The Real Estate Market Finally Hits Bottom
Top 10 Commercials
- 10. Round Up Your Mates for a Guinness
- 9. The Guardian’s Three Little Pigs
- 8. This is SportsCenter – John Clayton
- 7. BGH’s Dads in Briefs Campaign
- 6. Will Ferrell for Old Milwaukee
- 5. DirecTV’s “Don’t Wake Up in a Roadside Ditch” Campaign
- 4. Procter & Gamble’s “Thank You Mom”
- 3. Lena Dunham’s “Your First Time”
- 2. Samsung’s “Next Big Thing”
- 1. Clint Eastwood’s Chrysler Super Bowl Ad