Google-Zagat Is About Content, Local And Travel (GOOG)

Google's acquisition of Zagat is very smart. 

The biggest thing is that it gives Google the best local content in one fell swoop, as well as relationships with thousands of local advertisers. 

Google tried to buy Yelp but failed because Yelp wants to stay independent.

Now Google can plug the best local content into its many products and have the best local search product. 

This is important because local is the next big online advertising opportunity. Daily deals are just the tip of the iceberg.

Local businesses are spending billions on ofline advertising and for over 10 years we have been waiting for an event to tip the scales and get them to start spending online. Daily deals are that trigger event: now thousands of merchants have tried advertising online and have found it to be successful, and they will be much more open to spending on other kinds of online advertising, whether it's search or social media or something else.

By buying Zagat, Google establishes a crucial presence in that burgeoning market, both on the consumer side (excellent content distributed through Google's universe) and on the business side (most local merchants know Zagat and are open to working with them).  

Imagine pulling out your Android phone, looking up local restaurants on Google Maps, seeing Zagat reviews for restaurants around you, and perhaps a coupon for some of them. This is potentially huge. 

Other aspects to the deal:

It's a content play, which Google previously shied from. Now Google is officially in the business of content written by humans. It's a very "Larry Page" deal: ambitious, out of left field, and very clever. It's also a travel deal: Google is very serious about travel, as shown by its ITA deal, and Zagat doesn't just do restaurants but hotels. In the travel industry, the money isn't in flights bookings, but in hotel bookings. This is exactly the kind of deal that, if they were smart, Yahoo or AOL should have done. AOL especially has been trying to get into local without success and has had a strategy of acquiring premium media brands. 

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Travel shoppers react badly to Facebook Like buttons: report

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Posted 18 August 2011 10:59am by Graham Charlton with 0 comments

Consumers on travel sites had an overwhelmingly negative reaction to Facebook 'Like' buttons, seeing this as a unnecessary distraction, according to a travel usability study. 

The study from Usabilia used 800 participants and looked at the user experience on airline, hotel and travel comparison websites. 

Here are just a few highlights from the report, as well as a couple of infographics based on the data...

Social media can work very well on travel sites, but much depends on the context. For example, Hyatt links to its YouTube channel so users can see videos of hotel rooms and facilities before they book. 

The addition of reviews from sites like TripAdvisor can also be incredibly useful for consumers, and makes perfect sense for travel firms, as users are just going to head there anyway. 

However, the context is all important, and asking consumers to 'Like' a page during the search and booking process may not be the best approach. 

According to the report: 

Participants strongly disliked the buttons and stated they “really hate the pushy appearance of a company asking for an endorsement” or “begging” a user to ‘Like’ their company or brand without any bene?t to the user. 

A better solution would be to include 'like' buttons in follow up emails or surveys. If customers have enjoyed their journey or the hotel, then they will be predisposed to hitting the button.

Also, some incentive such as a discount on future bookings may provide more of a reason for people to click. 

This is a task that should be easy for users to complete, and all airlines need to do is provide a clear link from the homepage. This was a 'one-click test'. 

The infographic below shows the time taken to find boarding passes on the various sites (click image for a larger version): 

Users were able to find the boarding pass (online check-in) link most easily and quickly on the Delta airlines website. All it takes is a nice clear link: 

Finding a boarding pass on the KLM website took longer: 

As the heatmap shows, several users failed to click the correct link. In fact, just 39% got the right link. The relative clutter of the KLM homepage compared to Delta's was one factor. 

The study tested first impressions of a hotel website's homepage, and the elements which convey trust. The logo and the brand awareness was the top factor, cited by 48% of participants.  

This infographic shows the importance of factors like clean design and social media (click for larger version): 

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