We all love a good recommendation, which is one of the reasons Yelp is so successful.

The review website works by collecting recommendations from users for virtually every type of business, from restaurants and dry cleaners to car mechanics.

Yelp was recently named by Nielsen as the most visited and trusted review site, so today we're looking under the bonnet.

Small beginnings

Yelp was launched in New York a decade ago by former PayPal employees Jeremy Stoppelman and Russel Simmons. 

In 2009 Yelp rebuffed a US$500 million buyout offer from Google, then a US$1 billion offer from Yahoo.

The site is now active in 98 cities and 20 countries around the globe. Yelp launched in Australia in November 2011.

Big business

Over a typical month Yelp sees 132 million visitors, who browse some 57 million reviews.

Yelp isn't just for consumers though, at last count there were 74,000 business accounts active on the site.

There are also 80,000 deals currently live on Yelp.

Shopahoilics

Yelpers are a generally well heeled lot, and like to spend. 

Over 60 per cent of users have a college education, and most users are aged between 35 – 54.

One third of Yelpers earn over US$100,000 per annum, with shopping the most popular category on the site. 

Cash for comment

Being big on Yelp can be very good for business.

A massive 98 per cent of Yelp users have made a purchase at a business they found on Yelp, and 80 per cent of users say they visit Yelp with the intention of making a purchase. 

If you enjoyed this article then subscribe FREE to the twice weekly SMK Digital Bulletin, click here now or visit www.smk.net.au/subscribe.

Also, click here download a FREE SMK Insghts Program. This FREE programs features 131 must-know social stats covering Facebook, Twitter, LinkedIn, YouTube and Instagram. Keep on top of the latest social facts and figures relating to usage rates, demographics, spending trends, content performance and best practice benchmarks. A MUST for every marketer!