Cherry Creek Valley Businesses Yelping About ‘Yelp’

Cherry Creek Valley Businesses Yelping About ‘Yelp’

by Mark Smiley

Yelp, founded in 2004, is a multinational corporation based in San Francisco that develops, hosts and markets Yelp.com which publishes reviews about local businesses. This crowd sourced review website has an estimated value of over $2.3 billion. This giant company has tactics that some business owners in the Cherry Creek Valley find manipulative and overly aggressive. Their sales techniques and the way reviews are posted under individual businesses have been called into question.

Yelp purportedly pays large sums to be one of the first sites to come up on any Google search of your business and a bad review can be devastating to your business. Last year four persons in California were sued by businesses for negative reviews on Yelp. Denver’s Fox31 News reported that Footprint Floors asserted in court that a negative review in Yelp by a couple in Jefferson County caused the company to lose 167 projects and $625,000 in revenue over an eight-month period and they sued the couple.

Powerful Company

Critics assert that the potential for manipulation of negative and positive reviews is the key to the power, abuse and control that Yelp has.

“Yelp is the largest review company in the world, they’re a powerful company,” said Nick Peret, owner of Summa Media in Denver. “A powerful large company that is pretty much taking that power and to take advantage of the small businesses.”

Yelp relies on posted online reviews and opinions from consumers who have bought product or visited a business such as a restaurant, shop, or local service. The common term from someone who posts multiple reviews is “Yelper.” Yelp is the bulletin board and search engine to find reviews of nearby businesses.

Questionable Reviews Lead To Lawsuits

In general, companies from around the country claim that Yelp favors businesses that advertise with them by highlighting their search results and reviews. Some local business owners say Yelp account executives tried to persuade them to buy ads by offering to make negative reviews disappear. Yelp says it does nothing to manipulate reviews, aside from allowing advertisers to choose one review they would like to feature at the top of the page about their business.

Outspoken Critic: David Sandusky, owner of Idea Chíc in Glendale, indicates Yelp has a reputation among some business owners of manipulating reviews and suggesting businesses pay for advertising on their platform to have those reviews improve.

Advertising packages with Yelp range in price. Some offer free advertising valued at $300 and then a plan of $300 per month after that. Others require an initial investment of $1,200 with a monthly cost of $600. Whatever the cost is, small businesses claim the sales calls to encourage participation are relentless. “Putting it mildly, we are overly contacted by their sales team about advertising,” said David Sandusky, owner of Idea Chíc in Glendale. “The reputation they have had for a long time is manipulating reviews and challenging businesses to pay on the advertising after their promotion ends.”

This manipulation was at the center of a 2010 lawsuit filed by multiple companies and it took four years to reach a decision. The lawsuit essentially alleged that the heavily funded startup runs an “extortion scheme” and has “unscrupulous sales practices” in place to generate revenue, in which the company’s employees call businesses demanding monthly payments in the guise of advertising contracts, in exchange for removing or modifying negative reviews.

Judges tossed this lawsuit in 2014, writing that Yelp’s threats of “economic harm” were, “at most, hard bargaining.” In addition, more than 2,000 complaints about Yelp have also been filed with the Federal Trade Commission, which has scrutinized Yelp’s ad-sales tactics and “recommendation” software, used to highlight reviews deemed the most useful to consumers.

In 2015, the FTC decided to close its inquiry without taking any action. After the decision, Yelp posted this response on their blog: “The FTC looked into our recommendation software, what we say to businesses about it, what our salespeople say about our advertising programs, and how we ensure that our employees are not able to manipulate the ratings and reviews that we display on our platform. After nearly a year of scrutiny, the FTC decided to close its investigation without taking further action. This marked the second time that the FTC had looked at our advertising practices and ended its inquiry without further action.”

Local Businesses Speak Out

But how can this many business owners who have witnessed or been victimized by these tactics all be wrong? Is it simply the sophisticated software that filters out negative reviews for advertisers while at the same time, removes positive reviews for businesses who do not pay for advertising? These cases were first heard eight years ago and the conversation around Yelp’s approach with small businesses is still relevant today. “It’s too big of a mystery and there have been too many complaints to say there isn’t something going on,” said Peret.

One business owner refused to be named for fear of retaliation from Yelp and said: “I got a 5-star review from a gentleman I don’t even know and this person had only ‘Yelped’ twice in his life so they decided that he wasn’t a legitimate Yelper and they removed his 5-star review from my account. Had I paid them, they would have probably left it there. Somebody gave us 1- star that also only Yelped twice in his life and they didn’t take that one off.”

Reviews disappearing is not the only thing called into question. Where the reviews appear on a business’s page is also questioned. Yelp has control of what order the reviews posted appear. “It’s not chronological, it’s however Yelp decides how they’re going to put your reviews on there,” said Hopi Mondale, owner of Salvage Restaurant in Aurora. “And it’s very detrimental to the business because people do rely on social media and other apps to get their opinions on things.”

Sean Kaiser, franchise owner of The Egg and I at Leetsdale and Holly in Denver, took it a step further: “They [Yelp] never came out and said that your strong reviews will be at the top and your bad reviews will be at the bottom. But it was implied.” That was during

Yelp’s courting of The Egg and I to become an advertiser. “I’ve spoken to Yelp about advertising and what the costs were around that and we seriously looked at it and we decided it just wasn’t a good fit for us because of the demographic we appeal to,” said Kaiser.

Advertising With Yelp

Whether advertising with Yelp produces revenue for businesses is difficult to determine. A recent report by Harvard Business School found that restaurants which advertised in Yelp increased their Yelp page views by 25%. Getting directions, browsing the company’s website, and calling the restaurant increased by 18%, 9%, and 13% respectively. However, it was unclear whether it boosted revenues although online reviews increased by 5% which would seem to indicate success. Cherry Creek Valley businesses don’t agree. “I have never once heard one of my prospects or clients say yes, we are getting clients from Yelp advertising,” said Peret.

Peret continued, “My first experience with Yelp was working for a marketing company that worked with small businesses. I would talk to hundreds of small business owners. I would talk to all these people that Yelp would convince to advertise with them because of the nonstop phone calls and it never produced any results. Now you’re spending hundreds of dollars every month on advertising and it’s not producing any kind of return on investment.”

Other business owners echo this sentiment. “I’ve had people in my business development group that have done some advertising with Yelp and really felt like they weren’t getting their value out of the advertising they were putting into it,” said Kaiser. “I know a lot of business owners and I have never heard anything positive from anybody after the free promotion [$300 worth of free advertising], said Sandusky.

Yelp’s Technology Works Well

That is not to say that the technology and the reviews don’t work or help. “As a concept, I think having review sites is beneficial to any business,” said Kaiser.

“Typically, when people are looking at reviews, from the population, what they’re looking at is the same complaints over and over again. That’s when they get turned off to a business.”

The dashboard for a business utilizing the free account is also helpful. After setting up his free account for Idea Chíc, Sandusky saw their first customer walk through the door within days. He is happy with the analytics.

Yelp also stands by its product and defends itself, “The reason millions of people around the world use Yelp every day to find great local businesses is because they trust the content. That’s why we take so many steps to prevent gaming of our system and to protect consumers and business owners alike — and why we would never do anything to jeopardize that trust.”

The “gaming of our system” is what is being called into question. “I’ve heard so many times from so many local business owners that there’s a manipulated review,” said Sandusky. “The business owners that have told me these sorts of stories say that these [posted reviews] aren’t even from their customers so they can’t track where this is coming from which is a challenging situation.” In some instances, competitors post negative reviews which Yelp attempts to filter out.

Yelp has been under scrutiny for nearly a decade. An upcoming documentary film called Billion Dollar Bully about Yelp and its alleged business practices takes an investigative look into accusations that Yelp is “running a mob-like extortion racket against business owners who refuse, or can’t afford to pay-to-play.” The film is directed by Kaylie Milliken and produced by Prost Productions.

The 82-minute film was completed in December 2015 but has only been released to Kickstarter supporters and film industry professionals to determine the best path for distribution. When released, it is sure to stir the conversation even more.

Yelp has been accused of strong arm sales techniques, rigging the way reviews appear, and giving preferential treatment to those who advertise. Thus far, Yelp has done well in the court system. How they do in the court of opinion is another matter.

New Orleans Is The Big Easy — Denver Now The Big Sleazy

New Orleans Is The Big Easy — Denver Now The Big Sleazy

You may be more than aware of two great scams that are about to be perpetrated on the solid citizens of the Mile High City.

The first one is Amazon’s second headquarters. The second one is, although rejected once before, the return of the Winter Olympics.

This is where I always say, “Maybe it’s just me.” But Denver Mayor Michael Hancock and Colorado Governor John Hickenlooper have pulled together what is now being called an “exploratory committee” to pursue the Winter Olympics.

The Denver Post published a partial list of the attendees. When you’ve got a government meeting called by two of the most powerful politicians in Colorado, excluding Michael Bennett (because Cory Gardner certainly would not make that list), aren’t there some sort of laws and rules that meetings must be conducted in public? I think it’s called “sunshine.”

And it’s amazing to view the names of some of the invited attendees. (My invitation was lost in the mail.) Read these names. These people, as someone once said, have looted the public treasury before. There are people on this list that are paid by the taxpayers. Where’s the outrage? These laws require these meetings be held open to the public.

So lets ask ourselves why the Brownstein law firm was there. Gee, that’s a tough one. The IMA Financial Group. Xcel Energy. Liberty Global. SGM Capitol. And my favorite one, Mayor Wellington Webb with the Webb Group International. This is but a sample of the well-known downhill skiers, snowboarders and ice skaters that will be presenting you the Olympic Games.

I read a really interesting piece on the Internet titled “Ten Olympic Games that Bankrupted Their Cities.” What a hose job these events have caused. You all remember 1992 Albertville.

Another biggie, the 1998 Nagano Winter Olympics. The games ran at a loss, say the Japanese press, and the full cost may never be known. And later, members of that committee ordered all of their records, 90 volumes, to be burned.

2006 Sydney Summer Games, they forecast 8-10 million tourists were going to show up to visit — who didn’t show up. They got about 2.5 million and their expectations were never realized. Taxpayers got the hickey.

2004 Athens Summer Olympics many people believe helped kick Greece into bankruptcy.

2006 Turin, Italy Olympic Games — shortfall $95 million. That at one time was as much as $176 million, threatening Turin with bankruptcy.

And how about those 2010 Vancouver Winter Olympics. The city had to step in with financing after the Olympic Village developer ran out of money. Vancouver also had to grapple with a billion dollars in debt, including $730 million incurred by the Olympic Village.

Doesn’t it make you wanna dance?

And couple this major con job with rolling out the red carpet for Amazon and read some exposés about working for Jeff Bezos, it’s like working on a slave ship. Fellow Denverites, fellow Coloradans this is your clarion call. Keep these people away from you.

If you open your front door or roll down your car window can you smell the Vaseline? Get ready for all the hard-hitting investigative reports that will follow this column about the snow job headed your way. Winkie, winkie. By the way what in the heck is Peyton Manning doing on this committee? See you in church.

 

Major League Rugby And CBS Sports Network Announce Television Partnership

Major League Rugby And CBS Sports Network Announce Television Partnership

First National TV Partnership In Domestic Professional Rugby
by Glen Richardson

Nationally Televised: Major League Rugby, which includes the Glendale Raptors, will be broadcast on CBS Sports Network beginning in April 2018. This marks the first national television partnership in the history of American professional rugby.

Major League Rugby (MLR) and CBS Sports Network have announced an exclusive, multi-year television partnership. CBS Sports Network will televise the inaugural season of the new start-up league beginning in April 2018, marking the first national television partnership in the history of American professional rugby.

The Glendale Raptors who call Infinity Park their home were founded in 2007 and now, 11 years later, will be broadcast to all homes carrying the CBS Sports Network. “We are thrilled to announce this partnership,” said Glendale Mayor Mike Dunafon. “The exposure this will give our city is another way we are building upon the vision we had over a decade ago.”

CBS Sports Network will televise a 13-game package with 10 weeks of regular season coverage — highlighted by a Major League Rugby Game of the Week — and two weeks of postseason coverage in 2018, including the semifinals and the first MLR Championship Game.

“We look forward to being the television home of Major League Rugby,” said Dan Weinberg, Executive Vice President of Programming, CBS Sports. “MLR will showcase the speed, power and agility of this exciting sport and we are excited for the launch in April.”

“Partnering with CBS Sports Network is a great step for Major League Rugby and for the sport of rugby in America,” said Major League Rugby Commissioner Dean Howes. “There is no question that rugby is growing fast in the U.S. market. A successful professional league is a critical component of that growth. Television partnerships are incredibly important to any professional league, and we are excited to chart a path to success together with CBS Sports Network.”

Major League Rugby will launch with seven teams in Austin, Houston, Glendale (Colorado), New Orleans, San Diego, Seattle and Salt Lake City (Utah). Each is a key rugby market with a long history of support for the game. The members have strong, local and civic-minded ownership groups with deep ties to their communities and have established grassroots programs, venues in place or in development, and a player pool featuring the best players in North America, reinforced by up to five international signings in the 15-player, Rugby Union format.

For more information on the Glendale Raptors, visit www.glendaleraptors.com. For more information on CBS Sports Network, including a full programming schedule, go to www.cbssportsnetwork.com.

The A-Train From Hell

The A-Train From Hell

‘Train To The Plane’ Terrorizes Neighborhoods
by Mark Smiley

Hellish Nightmare: The A-Line Train To The Plane was to be RTD’s crowning achievement. Instead, it has become the A-Train from Hell for many citizens.

The A-Line train to Denver International Airport (DIA) was supposed to be an exemplary and shining light for RTD’s Light Rail System. However, Front Range citizens were sold a bill of goods in the 2004 election when they approved a tax increase. Voters envisioned a state-of-the-art rapid transit train going from Union Station to DIA. RTD even gave it its highest moniker, The A-Train. But for many citizens of Denver and surrounding communities, it has become the A-Train from Hell.

It has been causing injuries, driving residents from their homes with its loud horns, and has suffered innumerable malfunctions, causing major delays and having passengers miss flights on a regular basis. In fact, the train was struck by lightning twice in 2017 (May and June). The June, 2017 lightning strike forced 81 passengers to be evacuated and walk along a 50-foot-high bridge after a nearly two-hour delay. The entire 23-mile stretch of the A-Line was shut down for close to six hours. Many potential passengers that were relying on this mode of transportation had to find alternative options to the airport.

The reason RTD chose commuter rail over light rail is the ability to run longer stretches of track with fewer stations, travel at speeds up to 80 mph, and have the capacity to transport more passengers. But, the entire system has been a headache for everyone involved since it was launched.

The original plan called for quiet zones but because of countless problems with the crossing technology and switching and signaling, the Federal Railroad Administration (FRA) forced RTD to deploy human beings at each crossing known as the “flag men.” They are stationed at each of the 11 crossings along the A-Line to monitor each train that goes by and ensure automobiles and pedestrians do not cross the track.

RTD pays each flag man $13 per hour and by the time it is all said and done, the total cost of having them at these intersections may come close to $12 million. The flag men are necessary 24 hours per day because of timing glitches on the grade crossings. Part of the timing issue is that the gates are lowered earlier than needed and stay down up to 20 seconds longer than is federally mandated.

The aforementioned quiet zones allow trains to forgo sounding their horns at crossings as long as certain safety measures such as flashers, sturdier railroad gates, upgraded railroad circuitry and raised medians are in place to protect motorists. Up to this

Déjà vu: Many remember the computerized baggage-handling system at DIA and how it was a disaster causing mass chaos and massive delayed luggage retrieval.

point, the FRA has determined that the crossings do not meet these standards. Therefore, the horns must be blown. And, since it started, residents in neighborhoods, such as Park Hill, Clayton and Stapleton, have heard the horns blow almost 340,000 times.

“The Elyria-Swansea and Globeville neighborhoods of Denver have been treated like garbage for generations,” said former Denver City Councilman Ed Thomas. “They have been treated this way for two reasons. Elected officials believe that people that live in those neighborhoods do not matter and they themselves do not live there so they don’t have to live with their decisions.”

This issue has plagued the train since its inception in April 2016. Notwithstanding the fact, that after one year of these glitches which continue to cause delays and scheduling snafus, RTD claims they had solved the problem. Federal regulators signed off on and were satisfied that the timing issues were fixed, bu

Guest Complaints: Guests of the DoubleTree Hotel, which is situated one block from the train tracks, have complained of the loud horns that blare all evening. The hotel offers sound machines, ear plugs, and box fans to help drown out the deafening noise.

t the Colorado Public Utilities Commission did not agree and denied RTD’s certification the same week back in September 2017.

A hearing on this matter is set for March but might be heard as early as February 15, 2018, if there is no objection from the Union Pacific and BNSF railroads. The Colorado Public Utilities Commission administrative law judge Robert Garvey will hear the case and decide whether the gate crossings are operational and safe. If he rules in favor, the flag men can be removed.

These scheduled hearings, and the fact that the A-Line train that has been blasting through neighborhoods for nearly two years, offer little comfort for residents of Park Hill and surrounding neighborhoods.

The sound of loud train horns bellow through otherwise sleepy neighborhoods. The RTD A-Line Train to Denver International Airport blasts through neighborhoods with horn sounds at a federally mandated 96 decibels. That is comparable to a motorcycle revving up a few feet away. The reason for these horns is due to technological glitches that have tainted the “train to the plane.”

Trains cross these intersections nearly 5,000 times per month and blare the horns four times for a total of 20 seconds each time. The deafening horn has neighbors up in arms. “I can’t believe how loud those trains are and I live seven blocks away,” said Julie Buckner. “There is no break from the noise. It’s constant.” Buckner lives seven blocks away but some homes are just 1-1/2 blocks from the crossings.

The DoubleTree Hotel on the north side of Smith Road on Quebec Street is located just one block from the train tracks and guests of the hotel are surprised when they check in and are offered noise machines, ear plugs, and box fans. “I will never stay at this hotel again,” said Joan Kelleher from Flint, Michigan. “The sound of the train echoed through my room all night long. What is the deal?”

Under the Train Horn Rule (49 CFR Part 222), locomotive engineers must begin to sound train horns at least 15 seconds, and no more than 20 seconds, in advance of all public grade crossings. The maximum volume level for the train horn is 110 decibels which is a new requirement.

RTD has the horns sounds close to the maximum allowed decibels and according to a letter sent to The Denver Post, residents can hear it as far as the Montclair neighborhood which is 25 blocks away at 12th Avenue and Elizabeth Street.

Some residents of Denver are having déjà vu as they remember the baggage claim issues at DIA. The computerized baggage-handling system was an unmitigated disaster whi

System Failure: RTD operates the 23-mile stretch of the A-Line train from Union Station to Denver International Airport. Many have been affected by the technological glitches that have plagued this system for nearly two years.

ch caused mass chaos. It was plagued by serious mechanical and software problems that has a ripple effect even today.

When the trains in between concourses broke down the day before Thanksgiving in 2017, people wondered if everything DIA is associated with turns sour. If the bad luck continues, RTD’s A-Line Train To The Plane will be next in a long line of failures associated with the airport.