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Yahoo search engine partners with Yelp

In a bid to claw back ground against Google and Microsoft, Yahoo's search engine has begun incorporating information from Yelp's local merchant reviews.

Yahoo has partnered with online review firm Yelp in a bid to improve its search engine.

Ratings and excerpts from Yelp's merchant reviews began to appear in Yahoo's search results on Thursday Australian time.

Yahoo hopes the snippets from Yelp's popular service will encourage people to use its search engine when they're looking for information about a specific city.

For Yelp, the partnership could generate more money and polish its brand.

Financial terms of the partnership, rumours of which leaked out in February, weren't disclosed.

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Boosting search traffic is a high priority for Yahoo CEO Marissa Mayer because the queries spawn insights into users' interests.

That knowledge can then be used to sell advertising.

Yahoo ranks a distant third in internet search behind Google and Bing, which is operated by Microsoft.

Neither of those search engines will be able to highlight Yelp's material in the same way Yahoo now can.

Google had been showing Yelp snippets in its search engine a few years ago, prompting Yelp to complain that it was being cheated out of revenue and traffic.

After US anti-trust regulators opened an investigation in 2011 into whether Google was trying to stifle competition, the company stopped using Yelp's reviews in its local search results.

Yahoo's search market share has been steadily slipping since the company began relying on Microsoft's technology to produce most of its results in 2010.

That alliance still gives Yahoo the flexibility to add other features to its search results.

Microsoft also helps sell some of the advertising displayed alongside Yahoo's search results.

Ad revenue initially slumped after Microsoft and Yahoo joined forces, but the numbers have been looking better during the past two years.

After subtracting ad commissions, Yahoo's search revenue last year rose 6 per cent to $US1.7 billion ($A1.90 billion).

Yelp's revenue last year totalled $US233 million, a 69 per cent increase from the previous year.


2 min read

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Source: AAP


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