Google Buys Zagat to Expand Local Search Capabilities
Google has agreed to buy Zagat, the guide to restaurants around the country, in an effort to better position its mobile local search capabilities. The New York Times is reporting that the acquisition will open the door for Google to capitalize on the $140 billion that small businesses spend on local advertising.
“There’s lots and lots of empirical data that reviews are very influential and powerful, more than anything but recommendations from friends,” Greg Sterling, a senior analyst studying local businesses online at Opus Research, told The New York Times. “And as Google is able to maintain its centrality in that online-offline relationship, including in mobile, then the advertisers show up because Google is the destination.”