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What Google's Acquisition of Zagat Might Mean for Small Businesses

Monday, September 12, 2011 by Michelle Hartley

With its infinite buying power Google has now acquired Zagat, one of the first and most trusted rating and review systems for restaurants and hotels. Started more than 32 years ago by Nina and Tim Zagat, the company began from the couples desire to spread around the best places to eat, drink, sleep, and shop.

It was huge success story in a world before the internet. The Zagat Survey inspired a generation of entrepreneurs and small business owners everywhere. The guide was printed in a tall and skinny format so it could fit in a back pocket. Now, Zagat's database of reviews will be integrated into Google's search and Maps to help increase Google's location-based network. Previously, Google reproduced reviews from Yelp and Citysearch, but dropped the service due to the threat of an anti-trust law suit. These reviews will be combined with Google's database of addresses, phone numbers, and hours. Now, Google strives to be the main source of review finding for all markets.

This news comes at a time when Google has been criticized for the negative effect it has had on some small businesses. A recent article in the New York Times related several businesses' stories concerning problems Google has created for them. Several companies have found their Google Place's listing has been marked as "Permanently Closed". This problem originates when a user clicks on a section titled "report a problem with a listing" and then clicks "this place is permanently closed." Google states they review the claims and they do their "best to ensure the accuracy of a listing before updating it," but to the fair number of healthy businesses labeled as closed demonstrate otherwise.

At Switchfast, we can vouch that this is a real issue. This exact problem happened to a client of ours. Luckily, our SEO team was able to work with the business to resolve the issue quickly. While our client was lucky enough to catch this problem early, many other businesses out there aren't so lucky. Some businesses don't check their online presence every day or other businesses who find this problem quickly often have to wait a few days or weeks before Google can re-review their claim and correct it.

What we can all hope is now that Google has acquired Zagat, they will focus on making Google Places more user friendly for both businesses and patrons. With that in mind, hopefully Google will take more time to review these alleged claims before labeling a thriving business "permanently closed."

Only time will tell if this problem will be solved. As a fair and necessary warning to all businesses -- be aware of your online presence. Finding problems like this early is important to ensure you won't lose business over a vicious competitor and a careless mistake.

Until next time -

Michelle Hartley

Switchfast Technologies
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