Another week… another major deal goes down. Indeed, the food and restaurant tech services industry is becoming more competitive than ever.
In a deal reportedly worth $134 million, online review site Yelp has bought food delivery network Eat24. The acquisition comes on the heels of India-based Zomato snapping up restaurant reviews site Urbanspoon. The Yelp-Eat24 deal also means that Yelp is positioning itself to be in direct competition with GrubHub, a leading food delivery and restaurant takeout platform which staged one of the biggest IPOs last year.
“Online and mobile food ordering is still in its infancy and restaurant and food searches are extremely popular on Yelp,” wrote Yelp CEO Jeremy Stoppelman in a company blog post. “We believe that the acquisition of Eat24 will allow us to build a better, more seamless ordering experience for consumers that we can grow through 2015 and beyond.”
Added Nadav Sharon, Eat24 CEO: “This is an incredible opportunity to further connect with Yelp’s highly engaged users and to expand our reach to even more local businesses on its platform. Yelp has the power to take us where we’ve always dreamed of going, and a zillion times faster than doing it ourselves. Our companies share the mission of creating a better eating experience for consumers. EAT24 and Yelp are soulmates, and now we are married. So let’s make babies!”
Eat24 was founded in 2008, and has since grown to offer online ordering services to more than 20,000 restaurants in the U.S. It also offers consumers useful information like restaurant ratings, Yelp reviews, online coupons, and restaurant location. Previously, Yelp has partnered with Eat24 in enabling direct transactions on Yelp’s desktop and mobile app through Yelp Platform. The new acquisition will allow Yelp to offer an all-in-one solution (including online ordering and delivery services) and a new revenue stream in its growing restaurant listing platform.
If you’re a business owner looking to monitor and manage your reviews and ratings on Yelp, Eat24, GrubHub, Urbanspoon, and all other major review sites for restaurants, check out ReviewTrackers. Our award-winning review monitoring and reputation management platform lets you listen closely and respond promptly to what customers are saying online. Sign up today for a free trial and discover why thousands of restaurateurs love our software!