Yelp may not be the first name that pops into mind for artificial intelligence (AI), but according to Chief Product Officer Craig Saldanha, AI is already reshaping how users interact with the platform. In fact, many of Yelp's latest features focus on AI advancements, from new AI-powered summaries to an intelligent assistant designed to link consumers with service providers. I had the chance to interview Saldanha—an Amazon veteran—to discuss Yelp’s innovative AI strategy.
Our conversation also covered Yelp's competitive edge in the AI landscape, the ways it leverages AI to enhance the authenticity of user reviews, and its strategy in the rapidly evolving local discovery market, particularly against platforms like TikTok. The following highlights our discussion, edited for brevity and clarity.
Recent announcements from Yelp heavily emphasize AI. Can you elaborate on what AI means for Yelp?
Craig Saldanha: To start, our mission remains unchanged; we aim to connect consumers with outstanding local businesses. We've been investing in AI for over a decade, but breakthroughs in generative AI and large language models (LLMs) have opened new avenues for us. The standout feature of Yelp is our extensive pool of hundreds of millions of reviews. LLMs allow us to analyze this wealth of data in unprecedented ways, presenting users with highly relevant and personalized information.
We understand users come to Yelp to engage with fellow consumers or professionals, drawn by our authentic content from real people. We’ll never compromise that authenticity. Instead, we use AI to streamline the process and enhance these connections.
When users come to Yelp, we see their journey as three phases. First, they arrive with clear search intent—whether they're looking for a plumber or a cozy lunch spot. Next, we help them explore various options before they select a business to connect with. Finally, we facilitate that connection, employing AI at each step to make the experience smoother.
In refining search intent, our sophisticated AI models dissect user queries like “Mediterranean restaurant” to determine both the restaurants displayed and the order in which they appear. With the rise of LLMs, we can now handle more nuanced searches. For instance, if my wife is seeking specific Indian spices, the system can familiarize itself with the context of that ingredient, thanks to our extensive review database.
Now, when I search for a rare spice, the results not only reflect my specific query but also highlight relevant snippets from consumer reviews, making the process feel tailored and personal.
Previously, if users looked for tacos, we would provide a list of taco restaurants. Now, we can analyze every consumer-submitted photo and showcase just those tacos.
Excitingly, we are extending these capabilities beyond Yelp with our new Yelp Fusion API. For example, a third-party travel website can ask for "kid-friendly brunch spots open after 11," and our API can return personalized recommendations, broadening our reach significantly.
How does Yelp differentiate itself in the competitive AI landscape?
While having a top-tier AI team is beneficial, our true strength lies in our unique data set. The authenticity of our user-generated content—particularly nuanced reviews—is what keeps customers engaged. We harness available natural language processing models to solve many problems, but we excel in areas involving deeper user connections, like Yelp Assistant.
Previously, we introduced the "request a quote" feature for instant quotes from service providers, continually improving this process through innovations like Yelp Guaranteed.
Our recent backend upgrade to neural networks enables precise matches, allowing users to describe a problem, such as a damp wall, and for Yelp to suggest the right service provider.
How do you maintain the authenticity of user reviews as AI becomes more integrated into Yelp?
First and foremost, using generative AI to fabricate reviews is strictly against our policies. We continuously work to ensure the integrity of reviews, guarding against bots and solicited feedback. Our commitment to authentic content has been integral to our platform since day one, and we employ advanced technology to stay ahead of potential abuses.
We recognize that contributors want their reviews to be valued. To encourage thoughtful input, our AI now offers prompts to help users elaborate on their experiences while writing. For example, if you mention the ambiance, you might receive a nudge to discuss the food or service.
Additionally, we feature user photos prominently on our new visually rich home feed, enhancing the visibility of reviews.
We ensure that user contributions remain central to the experience. Instead of simply providing answers, we connect users directly to the reviewer, simplifying the search for specific experiences.
Moreover, we close the loop with our reviewers, offering feedback to show how their contributions have impacted overall engagement with businesses.
Looking forward, what developments do you anticipate for AI at Yelp?
We're exploring innovative ways to integrate photos, videos, and descriptions for a comprehensive understanding of experiences. Using AI to weave together all this user-generated content will provide a richer, more authentic insight into places.
On the business side, we focus intensely on matching high-intent consumers with the right professionals. We’re dedicated to fine-tuning our matching algorithms and tools, ensuring that businesses receive tailored strategies to attract leads effectively.
For consumers, as AI continues to evolve, it may soon be possible to find the right business or service simply by sharing a photo or video. While we haven't reached that point yet, it's a logical progression.
How does Yelp differentiate itself in the changing local discovery landscape?
Yelp stands out with the breadth and depth of our reviews, offering the collective wisdom of many voices rather than the singular perspectives often found in influencer-driven platforms. This holistic view of businesses allows users to make informed choices.
Our extensive coverage of categories—from dining to home services—and our balanced rating distribution set us apart. While many social media platforms focus on extreme experiences, our review balance offers users a comprehensive understanding of businesses, allowing them to make decisions based on a broader range of perspectives.
This balance and depth of reviews demonstrate why Yelp continues to be a leader in local discovery, even amidst the rising competition of platforms like TikTok.
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