Yelp Ads Are Not A Rip-Off, You Pay To Seal The Deal

Yelp built its ad business by attracting users that know what they want, just not who to buy it from -- exactly when ads are most effective. That's why I find today's VentureBeat piece by Rocky Agrawal titled "Yelp advertising is a rip-off for small?advertisers" to be ridiculous. His sources say Yelp charges a $600 CPM, or 1,000-times the standard online CPM rate. Yes, these ads are expensive, especially for low-end restaurants. But for lawyers, dentists, jewelers and mechanics with a high lifetime average revenue per customer, turning someone searching for their services on Yelp into a loyal customer is no rip-off, it can drive huge ROI.

Source: http://feedproxy.google.com/~r/Techcrunch/~3/5UAS8Oy5rJE/

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